IMO, going to the Amex is a losing proposition.
If you want your company to get "lost," get it listed on the Amex. Contrary to popular belief, the Amex is a less liquid exchange than Nasdaq. Let's face it, when most investors "scan" through the stock tables in the WSJ or the local newspaper, they rarely take the time to view the Amex table.
Furthermore, by listing on the Amex, you sort of alienate the boutique firms (like H&Q) who cover your stock. These boutique firms' Nasdaq market making departments are profit centers for the firms. Hence, there is less incentive for an analyst to "pound the table" on an Amex-listed stock, vis-a-vis a Nasdaq stock, since no trading income can be realized by the firm on a listed stock.
I would be willing to wager that within two years, they go back to Nasdaq. |
