Seeking Alpha

Longbow unloads NQ Mobile stake, shares remain higher

  • Within hours of disclosing it has taken an 8.04% stake in NQ Mobile (NQ +14.1%), Longbow Research discloses it has exited its NQ position, no doubt while booking a nice profit. (amended 13G)
  • NQ shares dipped following the disclosure, but remain sharply higher on the day.
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Comments (6)
  • same123
    , contributor
    Comments (117) | Send Message
     
    like i read on yahoo message boards.

     

    better knowing they sold, this way we know 2 1/2 million shares wont becoming at us. The market gobbled it up and the stock is still higher.
    31 Oct 2013, 02:59 PM Reply Like
  • Egor Romanyuk
    , contributor
    Comments (6) | Send Message
     
    that explains the 4 million share surge in the volume, i wonder which hedge got the news from Longbow before selling off to buy on the lower end
    31 Oct 2013, 03:11 PM Reply Like
  • Philip Marlowe
    , contributor
    Comments (1210) | Send Message
     
    I smell another hedge fund strategy, God help us. It is the buy-file-sell strategy.
    31 Oct 2013, 05:08 PM Reply Like
  • Money NQ
    , contributor
    Comments (46) | Send Message
     
    And what exactly does that mean
    31 Oct 2013, 06:24 PM Reply Like
  • Philip Marlowe
    , contributor
    Comments (1210) | Send Message
     
    It means that a hedge fund will buy shares, file a form with SEC say that they bought shares, then wait for the news of that filing to spread. Retail investors will then say that the company is attracting hedge fund interest and will start buying and lift the stock price. The hedge fund will then sell at the higher price.

     

    I suppose the lesson here is not to be so influenced by what hedge funds do.
    31 Oct 2013, 06:43 PM Reply Like
  • Money NQ
    , contributor
    Comments (46) | Send Message
     
    but isn't that a good thing
    31 Oct 2013, 06:46 PM Reply Like
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