Constellation 3D (fka CDDD)

[Caradoc]

As posted elsewhere:

CDDD, developer of high density flourescent-technology data storage technology (15 or 20 times DVD capacity), was recently trading at 5 to 6 dollars: http://quote.yahoo.com/q?s=CDDD&d=c&t=3m&l=on&z=m&q=l
and was added to the Russel 3000 on 1 July (announced 9 July) http://biz.yahoo.com/prnews/010709/hsm006.html

On 12 July, analyst Kathy Chu (Dow Jones
Newswires) apparently misinterpreted a financial move involving warrants and dropped her bombshell. The company responded the next day http://biz.yahoo.com/bw/010713/2281.html , quoting Ms Chu and correcting her interpretation, but the damage had been done. Stock hit 52-week low of $2.46 the same day.

Even press releases on 16 and 17 July regarding partnering with subsidiary of AOL largely responsible for developing DVD technology failed to take stock back up. Why? Turns out that the drop had triggered a snowball effect: "...certain shareholders informing us that a significant amount of shares held by them were liquidated due to margin calls that they experienced." Without naming Ms Chu, this press release alludes to comments regarding warrants and states -- in a release subject to scrutiny by the SEC -- "Nothing can be further from the truth." It also reports progress in developing a writeable (WORM) version of their product.
http://biz.yahoo.com/bw/010719/2381.html

The above may constitute more of a strange series of events than what could be called "market manipulation," but there's little doubt that market makers were doing their thing during the formation of this strange chart:
http://quote.yahoo.com/q?s=CDDD&d=5d

Bottom line: a company trading in the five-to-six dollar range before announcing recent technical progress and its partnering relationship with an AOL subsidiary closed today at 3.39.

Tried to be as accurate as I could in the above. "Bombshell" may be a loaded word but that's certainly the effect it had on those who couldn't meet their margin calls.

Here's personal opinion: Nearterm, high probability of snapping back to last week's levels plus some delta for progress on WORM plus more for involvement by AOL, a company that spends more than Ford but less than GM on advertising its products.
http://www.investorshub.com/boards/read_msg.asp?message_id=146945

Long term, be aware that C3D isn't repeating Sony's mistake in the beta-versus-VHS wars. This time, the best technology will be available to all manufacturers. Downwardly compatible with CD and DVD and cheap to produce, these disks will be the "VHS tape" that we'll all use to record High Definition Television (HDTV) a few years from now. Still risky since it hasn't happened yet, but returns should be measured in orders of magnitude; i.e., thousands of percent.

For more info, corporate website: http://www.c-3d.net/
and independent website: http://www.FMDinsider.com/

Caradoc