Re: Here we go with the *&$&( dumping again... now 1.16 eom
in response to
by
posted on
Mar 20, 2014 11:38PM
I liked a previous post earlier today..something about the fundamental information in which this investment was made has not changed in two weeks. The SP did change, but frankly all the parameters of this investment premise are still there...PTK is simply two weeks closer to the end goal and the next NR.
Some momentum traders, day (or very short term) traders, who ride 52 week high winners that have a spike in volume (TA triggered buys) likely took some of the air out of the ptk's sails in the last 2 weeks as they exited. To be honest, we were going to lose those guys at some point anyway. Some will be back on the next leg up when we hit new 52 weeks highs and re-spike on volume. Investments like this don't typically go straight up every day due to the varied investment horizons and desired return variables of each investor/trader (a given).
PTK's share price has never represented its true risk adjusted value. Meaning: If there was a say, for pure example purposes, a 35% probability (very conservative, I think it is much higher) of this being the next very big thing in semiconductors one has to think...the next big thing in semiconductors would be worth what 5B? 10B? 20B? 50B?more? Multiply whatever you believe "the next biggest in semi conductors" would be worth in 5 years with your personal estimated probability of ptk being it, reverse engineer with a net present value calculation back...the result: our SP should be many, many, many dollars right now (risk adjusted price).
The truth of the matter is – PTK is on the Venture Exchange. And this is not what one would call a true "efficient market" where each stock is effectively handicapped based on all known information to the penny accurately. Apple, sitting on major exchange and well known, is handicapped to the penny at exactly what it should be based on the efficient market theory. There is enough of the cross section of investors, and enough investors in total who have enough information on the investment to provide an efficient handicapping of the future value to the penny. PTK, not so much right now.
My point. SP means less right now (although it feels dam good when goes up –must admit). Management maximizing shareholder value over time via tapping the MASSIVE potential of PTK - means everything. The end game.