LiveDeal (LIVE) not such a good deal?

uptik2000

uptik2000

Massive run-up, stock split, just ahead of CEO options vest (at $5) and after a new deal with a broker(third tier at best) to issue shares.

Seems quite sketchy to me. Doing more DD tonight but toss out some info if ya got any.
This company is in the daily deal biz (like Groupon, LivingSocial etc.). Their big claim is that they're going to be better b/c they allow companies to issue deals in real-time. Really zero barrier to entry in this already crowded space.

I have NO position in this stock currently.
 
the CEO is free to exercise his options on Feb 14th

everyone loves charts, so how about this?:D
 

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gaj said:
thankfully, i could get shares today. hadn't been able to get any shares since more than a week ago.
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Nice! I couldn't get any...but we still have time. The veil has been lifted. :)
I don't think they'll let this fall too far before FEb 12-14th
 
uptik2000 said:
Nice! I couldn't get any...but we still have time. The veil has been lifted. :)
I don't think they'll let this fall too far before FEb 12-14th
More...

couldn't get a locate again today through several clearing firms. i trade mainly intraday.

i forgot - i did get a locate a couple days ago, but with a very high borrowing rate. that cost of borrowing makes it risk/reward prohibitive for a longer term short. especially with the chance of it being called in or not being able to get any additional shares to short.
 
well, i got a much smaller position, and am probably tempting fate a little, but when it couldn't hold the bounce (a little before 2 pm), i decided to get some shares again. soon after, the locate was gone.

and i just saw this junk article on yahoo from the "stock market media group" (formerly "stock house group")
http://finance.yahoo.com/news/livedeal-inc-announced-forward-stock-174500598.html

headline? "LiveDeal, Inc.'s Announced Forward Stock Split Leaves Short Positions Nervous" .

the junk release was a generic "ooh, someone on seeking alpha put up a negative article on the company, those nasty shorts!" followed by this wonderful quote:

"Any pull back before the split means the stock will have a more attractive entry price after the split, thus ensuring more investors can afford the lower price"

wow. an $18 stock that investors can't afford. and (according to SMMG's disclosure page) LIVE pays them a minimum of $250 each time they put out anything. amazing.
 
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