The smart people (who were buying in the single digits) are the ones who have at the very least, scaled down their full position, into a partial position.
The dumb ones are the ones that refuse to sell because you think, for some strange reason, this stock HAS TO be worth $60.00 per share (why, $60?). FWIW, with all the financings, looking at a number (stock price) is stupid; better to look at the market cap of the company. IMO, it is going to take some time for ARIA to digest the current market cap, as most of the ponatinib potential (all of it?) is built into the current price. '113 is the next leg up, not ponatinib sales. In fact, where I sit, I think ponatinib sales will actually be the albatross around the stocks neck going forward because people are going to scrutinze them too much.
Three things happened recently:
1. CEO finally taking profits;
2. Competing ALK getting Breakthrough Designation;
3. Ponatinib sales (weekly) are off (but who really cares? they will make the quarter numbers with ease).
The stock is fully invested. At 80% institutional onwership, theres not a lot more buyers and the story might be getting stale. Enter '113....its really the driver from here on out. Ponatinib is all "numbers" now....its now a fundamental story, rather than a breakthrough drug story. It's sentiment.
Just my thoughts....that's all. I am pretty comfortable watching from the sidelines but truly hope it goes higher for longs. (I just hope the longs who own this at a basis in the single digits arent the ones complaining about the price going down - rather, that should be coming from those who paid $23+)
