Circling the drain - companies at risk of insolvency

S

stock_trad3r

energy

ACI
BTU
JRCC (too cheap to short, too little return on puts)
ANR

retail

MSO
JCP
SHLD

transportation

DRYS
YRCW
NAV
CHK

technology

BBRY
NQ (assuming the muddy report is true)


anyone have others they want to add to the list?
 
I've been learning to trade stocks priced less than $10, and from what I have seen by back testing, a larger than random number of companies whose stock sells for less than $5/share tend to "disappear," i.e. go out of business or are forced to look for an acquirer in order to continue. I have some penny stock dvds from 2007-8, and so many of the tickers used as chart examples have since ceased to trade. That doesn't mean you cant make money trading them in the meanwhile, but it sure does warn one from taking a long term "investment" stake in any cheap stock.
 
Quote from Swan Noir:

Do you really think DRYS is in danger of going under? That would surprise me in a time of rising freight rates.
More...

Drys and
Free are riding the wave of shipping rates. I think free is going to 5 soon.
 
You must log in or register to reply here.
Back
Top