April 30, 2009
– Comments (3) |
RELATED TICKERS: SQNM
DNDN part II, watch this do same thing as DNDN...
SQNM trading near cash value, this was $25+ not too long ago.
I am expecting to see big insider buys now that SQNM is below $5, that will be the hint that Everything will work out like it did at DNDN.
Insiders started buying SQNM at $16 when its stock went down from $25+
Not trading at cash or even book. It is trading at 2x tangible book now. Not low considering their problems.
You might be right about it being an over-reaction, but I think what scared people is that this came out of R&D, it wasn't some desperate brand manager who snapped and started making things up. If the lab workers who did the studies and handled the data are dirty, SQNM could have a very big problem - they got an independent committee to investigate all of their programs, so it's not being taken lightly. Their product is actually a technique and its interpretation, and if that technique is compromised they're selling thin air. Stylli couldn't give any details on what's going on during the CC because the investigation is still ongoing, and I don't think that helped.