I think we can tell by the comments on this threat, the conflicting numbers for overseas quotes, reports about missing whisper numbers, and disappointing the momentum players that ASND is a very complicated stock. It's not a simple GE type thing where if they beat the numbers by a penny, the stock will go up the next day.
ASND is one of those stocks that momentum money cycles into and out of very quickly. It was out in December when it was at 23, and it was in July 1997, when ASND was at 60, and I THINK it is in now at 42. I think some of it is going to leave on Monday. That will put downward pressure on the price, as people "sell on the news."
The "other hand" is also true. Fund money will move in to some degree as managers get an indication that ASND is being run by mature management and that the numbers are okay. This will put upward pressure on the stock.
The point is that as investors/traders we can make money either way. There is no right or wrong in this stock short to medium term, only long term. If you buy the shares and some in the money puts, you can probably make money on both. Similarly, if you sell some calls, you'll probably get a chance to buy them back for a lower price sometime in the next few months. Let's not get caught up in who's "right." Let's take a look at all the things moving the price and do what we can to make money. For a stock like ASND, the moral is to have a long term view (fairly long anyway) and be on both sides in the short term for reasons of trading opportunities and to avoid the short term pain of sitting on a "loser" for months.
Everyone can be happy. Good luck on Monday.
Matt |
