sheldond's  Instablog

sheldond
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I have a private small company with a few different revenue streams. I survive off of one particular stream and invest the other smaller streams into the market. I consider myself a longterm value investor and am not risk averse. I have three seperate portfolios each holding one third of my... More
  • IBIO After Dilution A Trade With Big Upside! 15 comments
    Apr 26, 2013 10:49 AM | about stocks: IBIO, MNKD

    I know a lot of people out there hate dilution when they are a stockholder. It feels like the company just gave away your money. I know it makes people mad and it also scares away investors because maybe it shows that the leadership is not using funds properly. I get it if your mad.

    I however often look at these opportunities as one way for the little guy to have a good entry position into a stock. This was the same process that led me to buy MNKD under two dollars. That being said the company must demonstrate an ability to use acquired funds to manage operations for the next year. The company should also have some positive future income generators. In IBIO's case they have a promising and growing line of vaccines that should be a necessity for millions if not billions of future humans. I wont bother to go into details because it is impossible to quantify and has a large range. I am confident in knowing that the earnings can be amazing even if the company has difficulty marketing its products at first.

    IBIO is not all roses and therefore required a capital raise. It also has a 5/28/13 lock up expiration which might cause a sell off but I believe management will wait for higher prices as the company will have a lot of interest once it starts bringing products to market. I think they have enough cash for the next six months to a year. Once interest comes back this could double. I would most likely take some profits at a 50% gain.

    LONG IBIO

    Disclosure: I am long MNKD, IBIO.

    Additional disclosure: I am not a professional stock advisor. Please do your own due diligence before buying any securities as they carry inherent risks and may lose or gain value. I am not affiliated with any companies mentioned and these are my own opinions.

    Stocks: IBIO, MNKD
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Comments (15)
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  • Joe Springer
    , contributor
    Comments (2650) | Send Message
     
    Nice - and fair - article sheldond, I agree this is an intriguing play, big upside potential playing on a long term trend that should only get better.
    26 Apr 2013, 11:07 AM Reply Like
  • sheldond
    , contributor
    Comments (1449) | Send Message
     
    Author’s reply » Thanks! Joe I appreciate the comments. It leaves room for some DD....I will be working on a more quant oriented article...and just wanted to put it out there before it runs.

     

    Best,

     

    DCSIII
    26 Apr 2013, 11:13 AM Reply Like
  • sheldond
    , contributor
    Comments (1449) | Send Message
     
    Author’s reply » I believe now is the time. Well worth the wait.
    11 Jun 2013, 05:28 PM Reply Like
  • sheldond
    , contributor
    Comments (1449) | Send Message
     
    Author’s reply » July sounds good for IBIO finally holding its gain from .39 ......now at above .52 and already has spiked to .60 once..... Nothing phenomenal just a good solid gain....
    11 Jul 2013, 06:04 PM Reply Like
  • ctrace
    , contributor
    Comments (111) | Send Message
     
    What's your thinking on IBIO now, sheldond? To somebody who's aware of the stock for the first time?
    30 Aug 2013, 01:21 PM Reply Like
  • Hrich14
    , contributor
    Comment (1) | Send Message
     
    Love the article Sheldond i agree completely
    Best, HWR
    12 Dec 2013, 10:25 PM Reply Like
  • sheldond
    , contributor
    Comments (1449) | Send Message
     
    Author’s reply » The time has come for $IBIO. The best part of the idea is that I wrote this at the bottom. The stock has spiked repeatedly and then settled back down. It has been a good long hold and a great trade vehicle for me in the last year. Although I believe I was early, it was the perfect entry.

     

    When you can get an entry like that it is just a matter of patience.

     

    Although tempted to write more ideas, It can hurt my competitive advantage because of my style. That is why I use stocktalks to share some short term ideas.

     

    Good luck.

     

    D
    28 Aug 2014, 09:42 AM Reply Like
  • sheldond
    , contributor
    Comments (1449) | Send Message
     
    Author’s reply » Not bad for a longterm play so far...
    6 Oct 2014, 01:14 PM Reply Like
  • sheldond
    , contributor
    Comments (1449) | Send Message
     
    Author’s reply » Boom 4 bagger.
    10 Oct 2014, 02:38 PM Reply Like
  • kyse
    , contributor
    Comment (1) | Send Message
     
    Nice call. Well done, Sheldon.
    10 Oct 2014, 05:36 PM Reply Like
  • kidkodak
    , contributor
    Comments (91) | Send Message
     
    Without the ebola virus the stock would have done nothing.
    I wouldn't be patting myself on the back so hard based on mere luck.....
    good Luck tho!
    15 Oct 2014, 08:33 AM Reply Like
  • sheldond
    , contributor
    Comments (1449) | Send Message
     
    Author’s reply » Without Ebola I had a 100% gain. I understand the luck of the spike but was fine without it. Luck is when preperation meets opportunity. I also posted when I sold so I took advantage of the opportunity. I will read your comments and ideas to see if they have any merit but from your tone I would guess you think this is gambling. I disagree but to each their own. I have not had the longterm results I have had by luck or worrying about others opinions. I play a lone hand and I like to win. Sometimes everything goes your way and sometimes it doesn't.

     

    The reason this worked was entry price and patience. I did not know Ebola was coming but I did know the trade was low risk high reward. do you really consider it random. I have done it quite a few times with quite a few stocks. I think you need the luck. My record speaks for itself.

     

    How many 9 baggers a have you written about or suggested. The back patting aside....I tend to get excited when making money off of a deep value pick. It is difficult not to. The potential was there and the stock has spiked many times. I took advantage of it repeatedly. Sorry if my exuberance offends.....

     

    Don't worry the sugar high of profits is wearing off and I am off to find my next one.

     

    Best,

     

    D
    15 Oct 2014, 08:52 AM Reply Like
  • sheldond
    , contributor
    Comments (1449) | Send Message
     
    Author’s reply » Kid Kodak aka negative Nancy....I read your comments...all 36 of them. all non actionable but derisive. i hope that makes you feel better but it does not make you money.

     

    You employ sarcasm (the weapon of the weak) and seem to think you add value. Try and be a better person first and then work on your investing.

     

    Best,

     

    D
    15 Oct 2014, 08:57 AM Reply Like
  • Seekingalpha2112
    , contributor
    Comment (1) | Send Message
     
    Sheldon, read your comments on ibio, very realistic. do you think biotech is worth keeping tabs on, or is it just a hot sector because of current circumstances globally? Thx.
    21 Oct 2014, 11:26 AM Reply Like
  • sheldond
    , contributor
    Comments (1449) | Send Message
     
    Author’s reply » Biotech is always worth looking at and tomorrow's heroes are hope is always alive somewhere in biotech. A very volatile and unforgiving sector.

     

    Continued medical advances and ease of restrictions to new treatments means there is always an opportunity in the sector.

     

    D
    21 Oct 2014, 12:56 PM Reply Like
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