Can someone please explain SIGM?

Discussion in 'Stocks' started by andread, Jun 28, 2006.

  1. andread


    I would really like to know how a stock can lose 21% in 2 days without a reason. Is it market manipulation? Institutions dumping the stock? Just a bearish market?

    Any explanation appreciated. Thanks
  2. Hmm, let's see:

    P/E = 106

    Book Value = $ 1.90

    Below 200 and 50 day moving average.

    And they're still losing money...all this may not be a reason for this particular drop, but why would anyone invest in a $200 mil cap stock that makes no money anyway?

    I just looked on I really have no opinion about it since we don't trade these kind of things.

  3. andread


    yes, I've seen that. I assume that this is the reason why it has been going down for months: an overvalued stock being dumped.
    Yet, I'm surprised by the intensity of the sudden change. I would expect some fluctuations, but this... no news, no special events, nothing. Is it normal? Could it also go up like that for no reason?

    Sorry for the newbie's questions :) Thanks for the answer
  4. It already did 'go up like that for no reason'.

    Good eye, thanks. Where were you at $17 pal?
  5. andread


    Thinking about starting to trade :)

  6. Don't mind the roughneck. :)

    Best of Luck to you. :)
  7. DJ MARKET TALK: Sigma Designs Down After Report On Options

    Tue Jun 27 15:37:19 2006 EDT

    Edited by Paul Vigna

    (call: 201-938-5172; e-mail:

    MARKET TALK can be found using N/DJMT

    3:37 (Dow Jones) Sigma Designs (SIGM) down 12% after a report yesterday from
    shareholder-services firm Glass Lewis suggests the company may have backdated
    stock options. "For every fiscal year except one, from fiscal 1995 through
    fiscal 2006, most of these executives' options grants were favorably timed,"
    the report says. Executives who received the favorably timed options include
    Chairman Thinh Tran as well as other current management. "In the four most
    recent fiscal years, the company failed on numerous occasions to disclose
    questionably timed option grants in a timely fashion." SIGM down 11% at $8.93.


    (END) Dow Jones Newswires

    06-27-06 1537ET

    Copyright (c) 2006 Dow Jones & Company, Inc.
  8. andread


    Ah, so I did miss something.
    So I guess the free news sources I look at are not really the best. Fair enough, they are free.
    In some time I'll have to start looking at a good service.

    Thanks a lot
  9. You get what you pay for.
  10. Albrady


    #10     Jul 6, 2006