Dear,
every thing adds up that too for a stock like SGH which was under attack on all fronts as if there was a co ordinated campaign to blow it to pieces.
Imagine 100 million extra stock that came into the market as shorts plus 200 million others and no buyers and all instos trying to get out.
Current price is not real price of SGH under normal circumstances.
Read the message below.
Just a reminder and some simple calculations about the numbers of SGH and how and why SGH fell to the levels where one cant even dream.
Issued stock 350 million approx.
40-50 held by directors/employees etc etc. That leaves say 200 million issued stock which was with the genera linvestors and was more liquid.
Then comes all the media coverage at all levels 24 X 7 how SGH was a dead company.
Then come nearly 100 million shorts flooding the market for sale with other 200 million.
IMAGINE THE EXCESS SUPPLY OF THE STOCK.
No buyers of SUBSTANCE as INSTOS getting out.
Hence this disastrous fall.
Most think it cant go back as fast.
I THINK IT CAN GO BACK AS FAST too if the performance of the comapny shows it is OK.
Many have to get back in and many who will be in the money will like to add and what about the INSTOS.
U think they will stay on the sidelines for ever.
No way.
SGH can go back ASX 200 and then ASX 100.
They wont B able to wait then.
SGH Price at posting:
26.5¢ Sentiment: Buy Disclosure: Held
