Zeev's Turnips Patch-No Politics (ZEEV)

[alohamart]

My worry about ABLE would be it would transform from a 1.5 million float highly volatile trading stock that tracks oil movements to potentially nearly 10 times the shares outstanding and primarily a company with travel plazas. I'm not sure how to value those travel plazas (why would such a company be worth 3 times more than what it sold for in February?) or why such a company would trade with high volatility and track oil as it has in the past. If a significant number of all those $3 shares get sold (which seems highly likely from the AAP seller getting that windfall), the float would increase dramatically and it would put heavy pressure on the stock.

Since apparently the AAP owner also is a large ABLE insider, it doesn't seem likely that the $3 share price would be increased in the deal. It seems like a fishy insider deal to me -- a red flag anyway. It also seems fishy that AAP paid about $7.50 per share to Harrington last December for about 40% of the company, about double the market price and above where the stock had ever traded before, for those shares.

In any case, ABLE would not be the same company any more, by far, after this deal, which I believe was supposed to be completed this month. All this is enough to keep me away from buying the stock at current levels.