Hovnanian Enterprises Class A (HOV)

[Eurotradr]

The simple fact they are proposing a RS will keep the stock at these levels or lower. It is a self fulfilling prophecy. It also confirms the fact the company is not expecting or planning any PR that would raise the PPS to the $1.00 range. No one in their right mind would make a substantial investment in a company proposing a RS unless they have information unknown to the market.

I have a large position and underwater. I bet large based on the historic, year after year, year end run-up which to my dismay did not happen this year. I will wait until after the RS when you can be assured of further PPS decline to average down.