3 million + shares traded, lots of blocks, somebody bought, somebody sold. Stock had strong support at 10-10 1/4. I bought a lot more today at 10 after having bought some yesterday at 12 1/8. Given the news, I put the stock into the high risk/high reward category. On the plus side, they have some solid games that will sell. On the negative side, I suspect that re-orders were disappointing. I wonder if the retailers aren't stocking up the way they normally would expecting game sales in general to be slow. Anyone have solid information that might prove/disprove this theory?
The real question mark with this company right now and the reason I believe so many people sold is How could they sell so many games (based on the number of new games they put out, the relatively good reviews, and the higher revenues they've stated) and STILL NOT MAKE MONEY? I figure the people that sold gave up on management - it just seems rediculous. On the other hand, the people that bought include:
1. value players - management could be changed, someone could take them over, management could wake up
2. Day traders - stock has bottomed to 10 quite a few times with a nice run to 14 soon after (40%)
3. Short sellers locking in their gains - most of the easy money has been made on the down side, maybe a little more can be squeezed out of this over the next few days but they run a greater risk that it may turn quickly. I think they'll need real conviction or good timing to short at these levels.
I bought at 12 as a value play, I bought at 10 as a trade. I'm going to hold until I get a better grasp of their mangement. If they are as good as some people on this board believe than we should be getting some credible explanations and concrete proposals on how they plan to fix their problems. We shall see said the blind man. Joe C. |
