Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : Leap Wireless International (LWIN) -- Ignore unavailable to you. Want to Upgrade?

To: Pierre who wrote (1473)	2/21/2002 10:27:43 PM
From: pcstel	Read Replies (2) \| Respond to of 2737

Pierre: Uck!! Just got back from La Costa! Well they did it! Hard to believe.. I didn't think they would be able to get it below $5. I thought maybe LWIN would defend it! I don't know if they were legally able to within the confines of the VF agreements. What you have just witnessed was a "professional take down".. If you watched the pattern every morning! There would be very large market sell orders placed just after the opening bell, maybe with maybe with market short sell orders in conjunction. They lobbed 10-20 million in Market Cap. off of the stock with a 50K share Market Sell. The professionals have been all over this stock! In previous days, You would see the Bid/Ask like 10,000/500 showing support, and the bid would disappear as fast as it appeared. Followed by a lower share price! I would assume the pattern was similar today. As Jon points out $23 to $4, and the bonds barely budge! The stock has lost 50% of it's value in 5 trading days and now sells for .28 x Cash. Simply Professional Manipulation! That's why the other day I said I was tempted to buy some on "margin" but better sense prevented such foolishnes(Thank God!!). Depends on how many on margin did not get out today! Panic could set in tomorrow, and Forced account liquidations (not corporate, we have lots of cash!) on Monday! Just Ugly!! Here is the 5 Day Nextel chart when they went unmarginable. Once it breaks through $5. It's panic time. Three days later. The shorts cover! finance.yahoo.com Some companies defend their stock from such preditory actions! If they did it this easy this time. They will be back in the future! LWIN needs to draw the line on this kind of activity. Here is a case study of a company that defends it's stock against such actions. finance.yahoo.com Notice the line of defense is drawn at $5. The company starts repurchasing their stock at $5. The Professionals finally give up and cover, and move on to easier pickins'. Only a round of M&A mania will scare them away at this point! Harvey has allot of work to do! I am going to go over the Vendor Finance Agreements to see if this affects things in any format! If they can get it below $7, then they can probably get it below $5. No matter how good the fundamentals are! Fear is on their side! The closer if gets to $5 the more "margin players" sell out at a loss! Watch Sprint PCS! If they can get it into the $6 dollar range. Then they will probably get it below $5! A sad day, but a strong reminder about buying on margin. PCSTEL