<<I don't know, John, but I have a hard time imagining anyone actually PANICING to buy MPRS, eh?>>
Well, when AKLM finally reported positive earnings, the stock price doubled in a week. I would call that panic buying. On top of that, AKLM has 50 mil shares outstanding, MPRS only has 6 million shares now. Simple supply and demand laws would indicate that with a smaller supply of shares, the stock should rise quicker on good news. Look at KTEL, don't they have only 900,000 share outstanding? Short supply (and alot of foolishness) has brought the stock to rediculous levels.
In a sea of overpriced stocks, I think that if Microprose can prove itself, there might be a scramble by value investors to pick up shares. Also, somebody accumulated around 3 million shares a month or two back after the price fell to 1 1/2. There was a week of heavy volume (at a price < 2) before everyone jumped in and the stock went to 2 3/8. At the time, I was speculating that a brokerage firm was taking a quiet position in MPRS, and possibly planning to "tout" it as the "next AKLM" some time in the future. If we get good news, maybe that will happen.
Just some thoughts,
John |
