Internet Patents Corporation (PTNT) recently announced it initiated 3 lawsuits against the following companies for patent infringement: eBags, TellApart, General Automobile Insurance Services, and Active Network (ACTV). IPC is trading well below net cash, and presents one of the best asymmetrical trades I've seen in a long time: good upside potential, limited downside.
If IPC prevails, investors could realize a 2X to 10X return. If IPC were to lose all these lawsuits, investors who got in at the recent $3.50 level would probably come close to breaking even. After an in-depth analysis of IPC and its patent portfolio, I have quadrupled my original position.
In 1996, when the Internet was in its...
Only subscribers can access this article, which is part of the PRO research library covering 3,768 different stocks.
Growing numbers of fund managers and other investment professionals subscribe to Seeking Alpha PRO for equity research that is unavailable elsewhere, so they can: