Replies to post #1602 on ZAGG Incorporated (ZAGG)

[ThePennyGuru]

You are kidding right? Zagg is a Nasdaq stock trading 3 million shares a day. Liquidity, LMAO. It is a hedgefund taking it in the shorts.

[P2O I'm from MO]

I doubt that any of this has anything to do with the volume seen (☺):

 
 Issued 50,000 new warrants for Investor Relations (exercisable at $ 9.05/share immediate vesting) 
 Issued 92,541 new stock options (estimated weighted-average fair price of $4.98) 
 Issued 195,234 new shares - exercise of stock options ($300,114 or $1.537/share) 
 Issued 151,877 new shares - exercise of warrants ($197,590 or $1.30/share) 
 Issued 10.439 new shares to consultant ($100,000 expensed or $9.579/share) 
 Granted 237,800 shares of restricted stock (estimated weighted-average fair price of $7.11 vested linearly over 3 years) 
 

Source: 10Q for 3/31/2011

[SevenTenEleven]

It's more likely that the MMs are shorting naked to create liquidity. But they're by no means exempt from buyins. - janice shell

It is likely they are part of the short selling. If they are going naked on trades to "create liquidity", they are flooding the market with selling resistance. They could only protect their short selling clients for so long before they are all forced to buyin.

This one could be painful.