PPHM(D): Peregrine Pharmaceuticals

[maritska]

I' ve been a shareholder with this company for a couple of weeks. I got in, not really by logic, merely because it feld good (woman hey)
The stock did go up a little but now it's a bit dramatic I think. There was a reverse split 1:5. I ended up with 365 pieces at 3,33.
My question: is a reverse split always negative? Even if the company has a couple of Phase II clinicals?

[DogDayTrader]

I' ve been a shareholder with this company for a couple of weeks. I got in, not really by logic, merely because it feld good (woman hey)
The stock did go up a little but now it's a bit dramatic I think. There was a reverse split 1:5. I ended up with 365 pieces at 3,33.
My question: is a reverse split always negative? Even if the company has a couple of Phase II clinicals?

In answer to your question, no a reverse split is not always negative. There is no change in share price as some think (don't know how), only the amount of shares held changes. There are several reasons that a company would want to initiate a reverse split. Issuing a reverse split to keep up the PPS so that it is not de-listed from an exchange would be one example.

[maritska]

Okay, th@nx for the reply. I got scared today and sold at 2,77.... It doesn't feel good anymore to keep the shares.
So not really a hot stock anymore hey!

[DogDayTrader]

NP, glad I could help. Despite today's candle (bullish engulfing) their recent performance does not look good. Considering they have been steadily sliding down since early Sept. and their 20 and 50 day MA's are on the decline, I think you made the right choice.