kadee79
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S.W. Ga., zone 8b, out in the boonies!
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Post by kadee79 on Aug 29, 2011 14:35:18 GMT -5
I think most of you know that I just dabble with stocks. I don't have a lot of $$ invested and have made LOTS of mistakes & made a few $$ too.
Any way, I unknowingly bought some foreign stock...it was what is considered "penny stock". It has been awhile since I bought it & if I remember correctly (without looking it up) I think I paid like 0.72 per share.
Today I got some paper in the mail that seems to be an offer from another company to buy my stock for $3.35 per share and it is presently showing at $3.54 on the ticker.
To sell it thru my brokerage firm, I would have to go thru a broker on the phone (can't do it on the net) which would end up costing me a full brokerage fee for the transaction.
If you were in my position and had been waiting for the stock to come back up before selling (I have been since the last market drop).....what would you do???
The price of the full brokerage fee would be about the same as the difference in the offer & where it is trading today....around $35.
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ModE98
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Post by ModE98 on Aug 29, 2011 15:00:48 GMT -5
Well, if I was in your position, I'd be inclined to "take the money and run". Assuming you do not have have an on-line brokerage account (why not?), would sell at the $3.54 or better should it go up a few pennies more to lock in the price. Others may have other ideas. Whatever, it still ends up with your personal final decision.... so good luck. Sounds like you ran into a lucky one. Since we know nothing about the specific company, this may be as good as it gets.
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kadee79
Senior Associate
S.W. Ga., zone 8b, out in the boonies!
Joined: Mar 30, 2011 15:12:55 GMT -5
Posts: 10,871
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Post by kadee79 on Aug 29, 2011 16:03:17 GMT -5
It has been as high as 3.97 & as low as 1.66 in the past 52 wks. It has been staying in the 3.5? range for awhile except for the market drop.
It was one that I bought & just didn't pay any attention to for over a year! Yep, lucky!
I was thinking like you said...take the money & run!
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architecto25
Well-Known Member
Each birthday makes a man a little older...... the best way.
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Post by architecto25 on Aug 29, 2011 16:49:43 GMT -5
Just make sure you do all your homework. Cost per share can be a little deceiving...if there's been a
reverse stock split somewhere along the line? Have you or can you pull up a graph (range from where you bought it until present day?). How active is the stock?... is it traded every day?.....and a little thought for you..." You never go broke taking a profit". You dun Good.!!!
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kadee79
Senior Associate
S.W. Ga., zone 8b, out in the boonies!
Joined: Mar 30, 2011 15:12:55 GMT -5
Posts: 10,871
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Post by kadee79 on Aug 29, 2011 17:51:57 GMT -5
I get letters from the brokerage when there is a split...either way. I've had a couple reverse on me before. So that isn't a worry. From what I'm reading in the info sent, the company making the offer tried to talk to the one they want, evidently about buying it or buying in and they wouldn't meet. So this company is trying to accumulate stock thru private acquisitions?  But I was looking to get out anyway. Just not sure how much more room it has going up. Yep, can't go broke making a profit & my aim is always at 20% including brokerage fees...don't always win but I have a few times. If it wasn't foreign I might consider trying to get some of the company doing the buying...just a small dab, just to see where it went...but I don't like doing this with foreign...too many problems for old me to deal with! |
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ModE98
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Post by ModE98 on Aug 30, 2011 9:47:50 GMT -5
Just a thought... we are in a sloppy market, which in my op is more likely to decline than advance given the state of our economy and ECU financial problems. Ah, decisions, decisions, decisions |
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kadee79
Senior Associate
S.W. Ga., zone 8b, out in the boonies!
Joined: Mar 30, 2011 15:12:55 GMT -5
Posts: 10,871
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Post by kadee79 on Aug 30, 2011 19:12:24 GMT -5
Yep! And it went up today to 3.67 but the offer is good until Sept. 22! So I may just wait a week to see what happens.
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ModE98
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Post by ModE98 on Aug 31, 2011 15:16:58 GMT -5
Clarkr says that all his P&F stats indicate a positive market now. So keep fingers crossed and good wishes.
Perhaps you will continue to have some uptrend with your foreign spec. May the market treat you well.
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kadee79
Senior Associate
S.W. Ga., zone 8b, out in the boonies!
Joined: Mar 30, 2011 15:12:55 GMT -5
Posts: 10,871
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Post by kadee79 on Aug 31, 2011 15:25:10 GMT -5
Thanks!  |
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kadee79
Senior Associate
S.W. Ga., zone 8b, out in the boonies!
Joined: Mar 30, 2011 15:12:55 GMT -5
Posts: 10,871
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Post by kadee79 on Sept 23, 2011 16:12:38 GMT -5
I have an update on this.
The company whose stock I own sent out letters & info sheets asking everyone to NOT contract for the price of $3.35 per share as it wasn't realistic to the value of the company. I got not only snail mail, I also got several emails about it.
Now, after the company has sent this to all their share holders the buyer has said they will up their bid...to $3.98 per share! Yipee!!! The company endorses this figure and has asked all shareholders to go with the sale.
Just waiting on all the paperwork now.
Nice little profit for me. ;D
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ModE98
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Post by ModE98 on Sept 24, 2011 8:15:33 GMT -5
Glad you came out so nice on this one. Lady Luck was on your side. Congrats!
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