Why Is The Stock Price Dropping?

[Jim G]

Stock price could go to $0.00 is why. Happens all the time with development-stage companies like ELIO. If you owned 1,000 shares, you might be happy taking $10K out if you feared riding it down to zero.

I do NOT think that ELIO will go bust, or that it drops significantly below $12, but anything is possible. The stock market can be a very ruthless place to play if you aren't well-connected.

I would HOPE that the big money investors in ELIO (I have to assume that there are some) would want to defend the stock price,and will start buying up stock soon to stabilize the pps. The lower pps goes, the more leverage VC investors have in negotiating terms favorable to them and not so favorable to current shareholders.

 

[HonestTex]

Stock price could go to $0.00 is why. Happens all the time with development-stage companies like ELIO. If you owned 1,000 shares, you might be happy taking $10K out if you feared riding it down to zero.

I do NOT think that ELIO will go bust, or that it drops significantly below $12, but anything is possible. The stock market can be a very ruthless place to play if you aren't well-connected.

I would HOPE that the big money investors in ELIO (I have to assume that there are some) would want to defend the stock price,and will start buying up stock soon to stabilize the pps. The lower pps goes, the more leverage VC investors have in negotiating terms favorable to them and not so favorable to current shareholders.

Would said big money investors want to keep it above $12, or wait for $10 to be able to buy more?
I'm a novice and don't understand the strategies.

 

[RUCRAYZE]

Would said big money investors want to keep it above $12, or wait for $10 to be able to buy more?
I'm a novice and don't understand the strategies.

you're not alone, it has always amazed me that why, should a person so good at investing need/want anyone else,
for example, why would a supposedly successful real estate investor, want to share his success(selling DVD's/classes), which will create clones who will dilute his pool of successful properties. If you can predict any market you don't need to sell yourself, just go ahead quietly and make your gazzilions. Why sell a guide that teaches winning poker - just go out and win.
If it were so easy algorithms /computers could/would always win.
Stock brokers make money selling and buying for their clients i.e. they can't lose, if they could predict with certainty why bother wasting time with clients, just sit back and watch your profits, just ask Bernie Madoff, he had the inside line.

 

[Ty]

I still have mine... Will keep it till I can sell half to pay for my Elio... Then keep the other half till rich.

 

[Elio Amazed]

 

[bunchathrees]

time to do dollar cost averaging ?? (read that in the highly technical -Money Mag

DCA is a decent strategy if you want to keep increasing your stake. You do pay brokers fees for each execution, so give that some thought in regards to how frequently you buy.

I see this as a viable stock in the very high risk category. Money you invest here is money you should be able to completely lose. That said, there is a real risk of making serious returns if the product gets launched and is somewhat near the design goals.

Free advice is worth every penny.

 

[TCBronson]

Any price below $12 is a buying opportunity in my opinion. If it gets below $10 I plan to try to buy another 100 shares.

 

[Jim G]

Would said big money investors want to keep it above $12, or wait for $10 to be able to buy more?
I'm a novice and don't understand the strategies.

I was referring to big money investors in the stock at $12, who would have an interest in seeing the stock price stabilize above where they bought it. Don't know if there ARE any, however. For big money not yet in who want in, they obviously want the pps to continue to drop before they start buying.... and I suspect a lot lower than $10.00....

Like I said, investing is a ruthless game, and small guys can get crushed. The good news for current investors is that the stock is non-marginable, and therefore they can wait it out all the wild gyrations.

 

[dandydon]

I didn't bail but, I wasn't going to lose money.
I only put down $100 non-refundable in 2013 after seeing the car
and meeting Paul Elio in Ft.Worth Texas.
I just want the car, so I invested in the crowdfunding to the tune of $5000!
When the stock came on the market and the price shot up I scrambled to
get my stock. Only to find most brokers wouldn't touch it because of changes
several years back to SEC regulations.
I had to move all my accounts to a new brokerage just to get my stock,
while a few lucky people made some quick money.
I felt Roush coming on board would help the stock, but then this news of
the 100 cars going to fleets for testing........well I'm not losing any of my money.
So I sold half my shares, and got my money back. I did my part to help Elio!
It's now up to them to make this thing fly.
All I'm going to do now is wait on my car....................P.S. I stopped watching
Breaking Bad at the end of season 4, when everything was good....Craig

i think your post is the only one i saw that said you sold some of your stock. i was'nt able to find a broker that would handle mine so i could sell. has anyone else been able to sell? if so,what broker did you use?

 

[Ekh]

You forgot the part about the local sports team which didn't sport as well as their competition, Sub-Saharan weather, and the latest info on artificial sweeteners.

When it shot up right out of the gate it was artificially high. In terms of underlying net worth of the company, $12 is way over priced. If you want to speculate, be prepared to take your losses. If you want to hang on for better or worse hoping for eventual appreciation, relax -- that's several years away. In the mean time we may see price vacillations based on the news about the car. if you want to get out, and it bounces to 20 or more, JUMP! You might even want to get out at 16-18, which is plenty of profit for a short term plunge like Elio Motors.

Again, you either bought to support the company or because you're a speculator -- NOT because the stock is a good value-based investment.