The shorts barely hold 3.5% of the float.
Even if all short positions had to cover it’d be worth a blip...a barely green day on a chart otherwise buried in red.
Less than 1.8 million shares short.
That’s less than 25% the average daily volume to cover.
I personally love the stock and the new direction with alcohol and sanitizers and the shift away from ethanol.
I initiated a new position yesterday @$6.05 so I’m long SFOR but I have some questions for PEIX:
1.) The HC Wainwright connection seems super shady to me. How can a management company like HC hold a position that wasn’t disclosed and then issue such a lofty share price target without it being insider trading or at the very least a conflict of interest?
2.) Why would PEIX offer $75 Million in shares? At the time of the filings the stock had soared from $0.22 to over $4.00 per share. Why not use the cash on hand to buy back their own shares? Why dilute the shareholder?
3.) Yes, a run from $0.22 to $11.44 is nothing to complain about BUT what about the investors who bought years ago at $15.00 or $19.00 and suffered massive losses from those prices down to $0.22?
Those investors finally saw a glimmer of hope on this monster run to $11.44 only to see the stock priced nearly cut in half ($5.92 yesterday) over the last few days because of this highly dilutive offering.
Like I said, I’m long PEIX but these are serious concerns. I would love to see SFOR be a long term play for me but I’ll sell the moment a profitable trade turns into a break even event or a loss.