ACUS has taken a gut shot with reports that Imagify "showed evidence of hypertension, decreased blood pressure and abnormal behavior" in its animal testing. Down over 50% in a single day, it sounds like investors are running scared as well.
We were banking on the successful trial of Imagify to catapult the company into the $1+/s range. However, it appears to have hit a snag and needs to prove it can overcome said side effects and limit the risk it poses to users.
We know ACUS has been contacted by the Exchange for consistently trading under $1/s. If Imagify doesn't work out and ACUS can't bail themselves out of existing debt issues, the results could spell doom for the company. The ongoing trials are clearly uncertain. I motion to hold our position and keep ACUS on our watch list. If we jump the gun and buy even 100 shares at $.35/s, we may end up holding pink slips in a few months and we can't afford to take another bath on a poor investment.
3 comments:
Also, CX is back over the $10/s mark for the first time in over two months. The company just refinanced their debt and shareholders appear to be gaining confidence in them. We certainly have a lot more ground to cover, but it's better than continued losses.
A few months ago ACUS received $20M in financing through senior convertible notes through (Cephalon?) from what I remember - I read yesterday that that deal was cancelled - which can't be good in the midst of a credit crisis. That being said I do think there is still money to be made in ACUS but not without further understanding and knowledge of what to expect (queue papa strati - though his 500K shares might of been sold yesterday,too). I also do think that there are just too many "winner winner chicken dinner" type stocks out there for us to keep feeling the need to mess with uber-speculative stocks like ACUS when we already have a speculative stock in ESLR. We need to think bigger and better... imagine if we got BAC at $10/share?? or GE at $12.80?? Those are slam dunks with strong balance sheets, low P/E ratios, and high yields.
obviously there is money to be made in speculative stocks, but we need to do our research because even though you can make 3000% gains if they pull through, you can lose 100% just as easily. I've spent countless hours upon hours reading into ESLR and their prospects, and I think the same should be done with any other speculative stock before we nose-dive into it.
That's it I'm done.
Patrick Flynn
StockPicksByFlynn.com
so to clarify - if someone can come forward with some positive info about ACUS, then perhaps we are at a good buy range right now. ACUS CEO stated that while there are negative side effects in animal trials, human trials have shown little side effects and the ones that have been showing up are consistent with other products in the same class as Imagify.
Post a Comment