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 (NYSE: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 infancy, IPC,...
|FREE||SA PRO MEMBERS|
|IDEA GENERATOR||X||Exclusive access to 10 PRO ideas every day|
|INVESTING IDEAS LIBRARY||X||Exclusive access to PRO library of more than 15,000 ideas|
|SECTOR EXPERT NETWORK||X||Exclusive access to all sector experts for direct consultation|
|PERFORMANCE TRACKING||X||Track performance of all PRO stock ideas|
|PROFESSIONAL TOOLS||X||Professional Idea Filters to zero-in based on industry, market cap and more|