The guy exercised his option to buy that was granted in October of 2001. He had until 2011 to do it. BFD. Or do you think Cramer and this guy have something going over approx. $314K net proceeds. If so, how much does the guy pay Cramer on the shares he was vested in four years ago? And is that amount enough for Cramer, who probably makes at least seven figures per year, to risk his career at TSC and the CNBC gig as well as his personal reputation?
max401 wrote: "The guy exercised his option to buy that was granted in October of 2001. He had until 2011 to do it. BFD." "Or do you think Cramer and this guy have something going over approx. $314K net proceeds. If so, how much does the guy pay Cramer on the shares he was vested in four years ago? And is that amount enough for Cramer, who probably makes at least seven figures per year, to risk his career at TSC and the CNBC gig as well as his personal reputation? " First of all Max, you didn't even know where to find the documentation for the above transaction, so I am not sure your opinion means much. Secondly, it's interesting that the guy had all the way to 2011 to sell, but decided to do it the day after it was pumped on mad money. Thirdly, JC's personal reputation is about shot anyway, so that doesn't matter. I am not saying anything went on between the two, but Cramer gave no real reason the stock should be bought, just that it should. It's a company that has changed its business, bought a company to increase rev by a large percentage but not on an organic basis. It has added considerable overhead and it jumps by 25% or so because Cramer says it's a buy? Whatever, but the timing of the sale of 200,000 shares seems opportunistic at the least and it sure doesn't seem that the executive had much confidence in those 200,000 shares to do much between now and 2011 now does it?
Pure conjecture on all counts. Cramer's reputation is shot? So he might as well take a piece of $315K to screw up his seven figure income? This guy would have been a lot more opportunistic to unload last December for a higher price. How do you know that he may have simply needed some cash? Taxes, new house, put it in bonds/KMRT/GE? BTW, he still has another 200,000+ shares left. Maybe he's waiting to to work Cramer down on his commission.
All I said was that it was convenient. The guy still sold 1/3 of his holdings at about $2.20. Doesn't sound like he has a whole lot of confidence in the stock from here and Cramer helped him out one way or another. In addition, once again, Cramer gave no reasons for liking CMGI.
You have nothing going for your thoughts. Insiders are selling at all companies at all different times. Maybe it was "convenient" that Gary Smith charted CMGI (chart link below). Or maybe these recent news stories were "convenient" also: [$$] Trading: Greatness Is a Game of Inches at RealMoney by TheStreet.com (Tue, Mar 15) Capital Irrelevance Motley Fool (Mon, Mar 14) CMGI Swings to 2Q Profit on Acquisition Associated Press (Mon, Mar 14) Before the Bell-Avocent falls, CMGI rises at Reuters (Mon, Mar 14) CMGI posts 2nd-qtr profit aided by acquisition at Reuters (Mon, Mar 14) CMGI INC Files SEC form 8-K, Results of Operations, Financial Statements and Exhibits EDGAR Online (Mon, Mar 14) CMGI Announces Second Quarter Fiscal 2005 Financial Results Business Wire (Mon, Mar 14) Q2 2005 CMGI Earnings Release - Before Market Open CCBN (Mon, Mar 14)
That's quite impressive. You can cut and paste news headlines. Is that (and the profound "insiders are selling at all companies at all different times") all you have going for your thoughts? The facts are that the company reported over double the revs, the stock ran on that then tanked as people may have realized that the increase was all due to an acq. In addition the company made money in the qtr vs a loss in the year ago period. However, CFO was worse than the year ago period and significantly less than NI. Maybe a red flag, maybe not. The next thing you know, Jim C. is touting the stock, it gets a pop, and an insider sells a big chunk of stock at the lofty price of about $2. It is just very coincidental and if Jim is so sincere, I would like to hear his reasoning for touting the stock other than hitting a button that shows bulls on the screen and makes bull noises. Are you sure I shouldn't address you as Jim401?
Could be, but it is an interesting one though. You are quite the defender of Jim C and if the above is the best thought you have then he is probably better off without your help.