The price of a companies shares are based on expectations of future earnings, not upon who happens to to be the beneficial owners. Heavy selling coupled with pulled bids below can make a stock drop even precipitously, but if there is no change in earnings expectations, a few buyers will perceive the price is a bargain and bid the shares right back up. This is the essence of successful investment. You have to determine what company's share price is inelastic relative to marginal demand and is elastic relative to large marginal supply. It's difficult unless you know how to properly analyze every trade to assess which companies are in this position. You don't need to do that. You just take a position in a company which has a good story, is coming out of a base, and spends most of its trading time on the downside but also has rising bottoms. ATHM is just such an issue. HLIT isn't.
Several months ago SUNW, NSCP, Jermoluk, Medin, various officers and directors sold stock when ATHM was in the '30s. Lots of guys including you howled how negative that was. I told you that it was just guys cashing in because they needed or wanted the money. To extrapolate this into some negative assessment is so stupid it's laughable. It is especially stupid because if some big name does it, it must be right. You will never learn that the big names don't have a clue any more than you. They're weak, so they aren't going to admit that. The public wouldn't believe them anyway because the public needs to believe in myths. All this imagining and believing only doom those who engage in it to failure.
By the way I noticed E. Floyd is selling some shares in HLIT. Aren't you concerned or is that only selling a little because he needs the money? |
