Suspect this rally in CVG isn't due to the "new contracts" signing as much as it is the "sucker play" before the shares plunge due to approximately a 10fold share availability.
The recent CSN split date/ratio announcement stated thus:
The New York Stock Exchange is expected to begin trading in shares of Cincinnati Bell minus its Convergys business on a when-issued basis in early December.
Now tomorrow is the 9th, and that about does it for "early in December" unless I can't divide 31 days by 3...(early, mid,late=3 periods of Dec.)
Furthermore, before this run,
CVG was trading at 12,
and CSN was trading at 22ish...
Now CVG is at 20ish
and CSN is at 34...
looks like about a $12-14 spread t'me...
Bet it's getting ready to get whacked back to 12ish...any takers?
This puppy is just not internet/sexy enough, altho' the block volume and %vol increase over daily average was interesting t'day....
If I'm wrong, I'll be back in in a wink...but CVG stock doesn't
do well in market swoons.
Couple this fact with the lack of sex appeal for cable billing business or CLEC CSN..., and toss in potential for market swoon with articles of impeachement looming....
well, plodding CSN and CBIS/CVG just doesn't attract the momentum boys which delight in orbiting less stodgy stock selections.
Good luck to all...If I'm wrong and this puppy starts running northward, I'll be back in before I can pop up over here and tell y'all that I "hopped back on..."
For now, I took my CVG chips off dah table, today...all of them, except the when issued shares. Covered calls should take care o'them.
O/49r |
