Replies to post #157270 on Elite Pharmaceuticals Inc (ELTP)

[John_Langston]

Shareholders do not like defensive and secretive CEOs

OMG; they picked the wrong penny stock. LMAO

[Investormax2009]

Oh please give an example of the secrets Nasrat has kept. And please - We all want to hear how defensive he was in today's call... Max

[no2koolaid]

I have to agree, shareholders view defensive CEOs and being less than transparent. However, this illustrates the dilemma NH faces and the different choices he appears to be making.

I guess we would have to ask him...How has transparency worked out for you, Nasrat? And the answer is likely to be... "Not as well as I would have liked." If you recall, NH has been variously and differently described as a cheerleader, as misleading (on targets and communication), as someone doing something that others dare not do (e.g., suggesting nothing can stop Elite), and as having made statements that suggest inexperience or a lack of probity. So, to describe him as secretive would be disingenuous and misleading.

However, I do agree he is being defensive and there was one aspect of his discussion that illustrates that point...Remember what he said in response to Chad Zack? "If someone is selling the stock and someone is buying it...that doesn't generate any money for Elite." So, the reality is he, as any CEO, is concerned with making their company operationally effective. And, while shareholders are de facto company owners, as CEO Nasrat's goals are about developing products to generate revenue not increase the share price because, if we are to believe Peter Lynch and others, in the long term the share price will reflect the value of the company. In the short term, it is reflective of the price traders can buy and sell for.

And to that last point...Are you aware that the average shorting going on for the last seven trading days is 37%! That is an astounding number. And while there is no chart that forecasts the action, there is one that reflects the reality and here it is...http://otcshortreport.com/index.php?index=eltp&action=view#.VYG2e-tjfVI