IT Manager's Journal: IT Investor's Journal: Why the Pox is on SCOX
Aug 17, 2004, 17:30 (1 Talkback[s])
(Other stories by Melanie Hollands)
"SCOX is a dying stock, but it will take a while to get to zero.
There's no technical support at its current levels ($4.50 to $5);
however, it has no upside technically. It also has no upside
fundamentally, unless something changes dramatically at the
company, which I don't see happening. The stock has fallen more
than 78 percent since Oct. 16, 2003--the date of the PIPE deal.
That's a lousy return for shareholders--particularly for PIPE
holders who held large positions.
"So, if I'd invested in SCO's October 2003 deal, and with the
stock going south like a duck in winter, what would I do? The short
answer is I'd find ways to hedge the investment while also selling