I stumbled across this thread after a friend told me about what you guys had been going thru with your stock price. My buddy follows this stock and gave me a call today after reading the companys press release. He read it to me over the phone and wanted to know if it brought back any memories. After listening and getting half sick, thinking about the same type of press release from a company I was involved with over a year ago, i checked the posts. Dejuvu.
Well that was then, a painful expensive year ago. The company was Centennial Technoligies, (CTN). It went from 50's to mid 20's in about a month. The company came out with a staement very similar to ACRT, "we nknow of no material reason for a drop in our stock price.....blah blah blah". Heres an exceprt from the Boston Globe:
>>>>
Date: TUESDAY, February 4, 1997
Page: C1
Section: Business
Only a few weeks ago, Centennial Technologies Inc. of Billerica seemed to be the kind of success story high-tech investors dream about.
Centennial's surging stock graduated to the New York Stock Exchange in November, little more than two years after the company went public. It finished 1996 as the best-performing stock on the Big Board, up a stunning 447 percent.
But the dream stock of 1996 has quickly turned into the investor nightmare of 1997, plunging 59 percent since the big ball dropped in Times Square. Centennial shares, once pushed hard by momentum investors, now are being hammered by short-sellers in a flood of trading.
An average of more than 1.1 million Centennial shares have changed hands daily since the first of the year, more than six times the stock's average daily volume last year. Short interest -- the number of shares borrowed and then sold, on the bet the price will fall and the shares could be repaid at a cheaper price -- has soared from 343,170 shares in September to 2.9 million shares in January.
Centennial's story doesn't follow the usual high-tech disaster script, at least so far. There have been no sudden losses or important defections. The company Thursday reported quarterly profits from operations up 179 percent and sales ahead by 273 percent. Its stock has since plunged from 34 1/4 to 21, including a decline of 2 3/4 yesterday.
So what's the problem? <<<<<<<<<<<<<<<<<<<<<<<<<<<<,
Well a lot of us hung on........knowing that it would return to its orignal
#'s. Well about a week later some more headlines & surprise from CTN. Again Boston Globe Excerts:
>>>>>>.CENTENNIAL FIRES CEO, PROBES ACCURACY OF FINANCIAL REPORTS
COMPANY SAYS IT HAS 'SIGNIFICANT QUESTIONS' ABOUT POSSIBLE ERRORS IN PAST STELLAR EARNINGS
Centennial Technologies Inc., Wall Street's Cinderella stock of 1996, looked like pumpkin pie yesterday.
Centennial stock never opened for trading. The Billerica company said its directors fired chief executive Emanuel Pinez, relieved chief financial officer James M. Murphy of his duties, and were investigating the accuracy of the company's own financial.................
It got better>>>>>>>>>>>>>>>>>>
A LONG, STRANGE ROAD
Standing in a rumpled gray suit before a federal judge in Boston last week, the fired chief executive of Centennial Technologies Inc. seemed stunned at how far his fortunes had tumbled.
Emanuel Pinez, the silver-haired, self-portrayed international jet-setter, who was arrested and charged with masterminding a brazen financial scam at the Billerica computer parts company, could be heard muttering to himself: ''I can't believe it.''<<<<<<<<<<<<<<<
Well Manny, I f_cking couldn't believe it either. Along with all thge others that lost millions of bucks on this scam.
In shoet the company was delisted, now otc, under CENL, today was in the 2's..........from 58 to 1......................................................
I'm not suggesting you have a similar situation, you have to make that call. Just don't think it can never happen, going to $1.00. Cause it can...............
If your interested, go to the CTN thread on SI, yep its still there and go back to posts, Jan 96 thru Feb...........
Sorry for the long post.................Good Luck
Ron |
