So what is holding TMPS share price back?
Temporarily, maybe the contract award appeal. But this is just delay in my opinion. The chances of defeat seem so slight that it shouldn’t affect the share price by very much.
The idea of a foreclosure on the debt appears to me to be even more remote. A creditor can’t just take away secured assets without process. In this case if the creditor tried to foreclose, the company has a duty to try to protect its shareholders, so that same creditor in this case would risk all kids of shareholder suits if he didn’t act to try to reorganize or do something in the interests of the shareholders/owners. With the Navy contract in hand, it should 1) be easy to maintain capital for the company, and 2) be very dangerous for the major shareholder/ creditor to try to just dump his shareholders/co-owners. Surely the major shareholder would benefit greatly for the share price to rise, as would the vendors supplying and servicing the company’s jets. I just don’t buy the idea of bankrupting TMPS by its major shareholder.
So I think that the main holdback is merely that the company does not yet issue financial reports, has not cured NASDAQ missed requirements, and perhaps legal issues such as having an unknown acting CEO. But with the Navy contract in hand, this all should be in the clean-up process.
Conclusion: share price should soon be rising in anticipation of positive news in these areas. Since the stock is not well known, I believe that the price will rise even more after positive news, because anticipation doesn’t do much for thinly-followed stocks.
Go TMPS!
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