Wave Systems Corp. (fka WAVXQ)

[SPIN]

Snack it would appear that someone interested in bidding $1.36 @ today's open would have been able to purchase 17,400 shares @ or below that price.

http://host.businessweek.com/businessweek/Historical_Quotes.html?Symbol=WAVX&StartDate=12%2F26%2....

i wouldn't be that "someone" though b/c the risk/reward parameters don't justify speculating IMO.

the "benefit of the doubt" leeway that previously existed is gone for me. simply cannot rationalize myself into buying wavx (& think it'll get cheaper anyway, which is sorta beside the point).

the mgmt of this company has done things behind the scenes like Founders' Shares that S/Hs didn't find out about until months later & that makes the caveat emptor here too much for me. it could all end horribly w/a trading halt & an open below $1.

of course, it's still possible that mgmt could be completely exonerated & it rallies back to $1.80. but even then there are still going to be 7M shares overhanging the bid & sub $2 prices are on the horizon well into the forseeable future.

i don't wanna be on the wrong side of this if it goes bad b/c a 50% haircut remains far more possible than a 100% rally IMO.

too much risk & not nearly enough reward.

i'll wait for the dust to settle & re-evaluate when the SEC finishes its inquiry. if mgmt is completely exonerated, i'll miss a little bit of the upside, but i'll also be insulated from having my capital cut in half.

as it stands, i have no intention whatsoever of owning wavx. the sidelines is the safest place right now & maybe things will change enough for me to reconsider, but for now it's a broken stock w/a ton of shares on the sell side (whenever they do get registered) & a serious stigma that will take a great deal of good news to mitigate.

best of luck to those of you doing all the heavy lifting of holding -- it takes some serious guts & if your collective trust is warranted, you'll be appropriately rewarded.

if not, well, it'll be an absolute bloodbath & CNBC will be sure to broadcast it worldwide.

ring-side seats are (risk) free.

regards & happy holidays.