Why would they invest in the first place if they d
Post# of 32993
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Posted On: 04/25/2019 1:28:08 PM
Re: manfromjax #14687
Why would they invest in the first place if they didn't believe it would go above $3.13 or the warrant strike price of $3.44 (ok one can think of the warrants were free). I don't see why it makes sense to sell at a loss so quickly. If they held and it goes above $3.44 and they exercise the warrants, they not only have profit on the warrants but also on the shares at $3.13.
It seems to me if they have such low confidence in the company they are willing to part with their shares at a loss (and the selling continues at lower prices than $2.85 so a bigger loss than that for those shares) they would not have invested in the first place.
Maybe I'm missing something but I do think institutional investors hang in there for at least a month at the bare minimum and not sell on the first day of trading or even in the few few weeks.
It seems to me if they have such low confidence in the company they are willing to part with their shares at a loss (and the selling continues at lower prices than $2.85 so a bigger loss than that for those shares) they would not have invested in the first place.
Maybe I'm missing something but I do think institutional investors hang in there for at least a month at the bare minimum and not sell on the first day of trading or even in the few few weeks.
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