This blog is mainly about the spectacular train wreck at The Sacramento Bee and its parent company, the McClatchy Company. But I also post about current events, the Iraq and Afghanistan wars, politics, anything else that grabs my attention. Take a look around this blog, hope you enjoy it.
Thursday, February 19, 2009
Will McClatchy break the "sub- 50 cent" barrier?
McClatchy (MNI) shares ended Wednesday at 51 cents a share. It looks like just a matter of time before MNI falls under 50 cents. . .
12 comments:
Anonymous
said...
No wonder stock is sliding. In the surreal world of McClatchy management, the chiefs seem to believe they are so much smarter than everyone else, that the shareholders would not notice their ineptitude. Look at the layoffs. Total secrecy. Yeah, right. Let's just post the most ridiculous rumors we've heard and see which one sticks. I'm betting the company won't last the year.
It probably will within the hour but I would not expect it to stay at .50. There should be some short covering at that level and frankly, it only takes 15 or 20k to move the stock several cents now.
I could be wrong, but, .50 cents is a significant level.
..They're the victims of preditory lenders, I tell ya. How can McClatchy be expected to have known that buying the KR whale would mean they'd have to , you know, pay for it. ..But back to the question...can they go below 4 bits ? Indubitably.
Beside selling Obama trinkets, MNI has a new marketing gimmick.
News Alert: The McClatchy Company is proud to offer ‘Goose Egg’ stock certificates for sale. We HOPE to CHANGE your mind about the ‘fowl’ executives that feathered their nests while thinking everyone else is just a Yolk-el.
Is there such a thing as a 25Ȼ firewall? -- .25 cents is a psychological floor, but only because we are conditioned to rounding off. Movement below .50 will be much harder coming as almost all retail investors have been shaken out and there are still in excess of 17,000,000 shares short interest. Every nickel below .50 cents will be a prime exit point for the shorts who drive the price up when they cover.
Question: Could MNI’s [Pruitt/BOD] stockholders, keep this stock price fluctuating indefinitely? Or, is this an ‘out of company’ buying/selling deal? -- To do something like that would be entirely counter productive. Their primary concern at this point is to find a way to get the price back over 1.00 and to stop the free fall of their market cap.
Frankly though, it is out of their hands. They don't have the cash to prop it up on their own. Half of their public float is betting that they will go under completely and the other half are large institutions that have been soaked to the bone, hoping to find a way to get better than 10 cents on the dollar. As things stand today, if every single share traded were covering their short interest alone, it would take in excess of 60 days to cover all the trades. Interestingly the previous 2 week period the short interest actually increased. That is as damning as it gets, when your stock is selling for .80 and people are betting that it will go down.
McClatchy (MNI) shares ended Wednesday at 51 cents a share. It looks like just a matter of time before MNI falls under 50 cents.
12 comments:
No wonder stock is sliding. In the surreal world of McClatchy management, the chiefs seem to believe they are so much smarter than everyone else, that the shareholders would not notice their ineptitude. Look at the layoffs. Total secrecy. Yeah, right. Let's just post the most ridiculous rumors we've heard and see which one sticks. I'm betting the company won't last the year.
It probably will within the hour but I would not expect it to stay at .50. There should be some short covering at that level and frankly, it only takes 15 or 20k to move the stock several cents now.
I could be wrong, but, .50 cents is a significant level.
..They're the victims of preditory lenders, I tell ya. How can McClatchy be expected to have known that buying the KR whale would mean they'd have to , you know, pay for it.
..But back to the question...can they go below 4 bits ? Indubitably.
As posted before, there was an important $5.00 firewall.
Now there is a 50Ȼ firewall.
Is there such a thing as a 25Ȼ firewall?
Or is the next firewall 1Ȼ?
Beside selling Obama trinkets, MNI has a new marketing gimmick.
News Alert:
The McClatchy Company is proud to offer ‘Goose Egg’ stock certificates for sale. We HOPE to CHANGE your mind about the ‘fowl’ executives that feathered their nests while thinking everyone else is just a Yolk-el.
Anon 9:09 We have a winner!! Very Funny Thanks!
Is there such a thing as a 25Ȼ firewall?
--
.25 cents is a psychological floor, but only because we are conditioned to rounding off. Movement below .50 will be much harder coming as almost all retail investors have been shaken out and there are still in excess of 17,000,000 shares short interest. Every nickel below .50 cents will be a prime exit point for the shorts who drive the price up when they cover.
Poster: “frankly, it only takes 15 or 20k to move the stock several cents now.”
Question:
Could MNI’s [Pruitt/BOD] stockholders, keep this stock price fluctuating indefinitely?
Or, is this an ‘out of company’ buying/selling deal?
Question:
Could MNI’s [Pruitt/BOD] stockholders, keep this stock price fluctuating indefinitely?
Or, is this an ‘out of company’ buying/selling deal?
--
To do something like that would be entirely counter productive. Their primary concern at this point is to find a way to get the price back over 1.00 and to stop the free fall of their market cap.
Frankly though, it is out of their hands. They don't have the cash to prop it up on their own. Half of their public float is betting that they will go under completely and the other half are large institutions that have been soaked to the bone, hoping to find a way to get better than 10 cents on the dollar.
As things stand today, if every single share traded were covering their short interest alone, it would take in excess of 60 days to cover all the trades. Interestingly the previous 2 week period the short interest actually increased. That is as damning as it gets, when your stock is selling for .80 and people are betting that it will go down.
Market Cap Opened @42.11M
Market Cap Closed @41.28M
9 Days Ago Closed @58.62M
11:27 AM
Once again, hat tip to you, I get it.
MNI BREACHES .50, ,47 cents!
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