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Re: dshade post# 17000

Tuesday, 06/10/2014 9:16:52 AM

Tuesday, June 10, 2014 9:16:52 AM

Post# of 46480
cut and pasted from SA..

In patent infringement cases, a Markman hearing can help outline what is at stake in the trial. It's a pretrial hearing during which a judge examines evidence and the meanings of relevant key words used in a patent claim. This "Claim Construction Hearing" can ultimately put a value on the alleged infringement. The judge also decides on how the language of the patent is to be interpreted, making this pre-trial hearing a seminal part of the lawsuit. Recently, several companies have made the news as their stocks jumped following their Markman hearings. Vringo (VRNG), Parkervision (PRKR), and VirnetX Holding Corp (VHC) have all seen their stock prices move following their Markman hearings, and savvy investors and writers for Seeking Alpha have let us know the time to get in is before the hearing.

The key to maximizing the value from these Markman hearings is to get in before the hearing takes place. In the case of VRNG, the stock began a run up in the weeks before the hearing, trading at $2.72 on May 23, 2012. One day after the ruling, which was favorable to VRNG, the stock closed at $4.36. VHC has seen multiple jumps in its stock from favorable Markman hearings; one of the biggest percentage jumps coming from a hearing early on July 30, 2009, where its stoc kdoubled from $1.48 to $3.00. PRKR traded at $2.43 the day of the hearing on February 20, 2013. The next day the stock closed up considerably, at $4.21 a share, with a market cap of over $340 million. Parkervision has done this without any revenue, and it will not be commercializing a product in the near term.