Oh, That Linear Stock!

On the Edge Financial Daily on 2nd Sept 2010: Linear sees entry of new white knight

• PN17-status company Linear Corporation Bhd is beginning to see some light at the end of the tunnel after the entry of a white knight with the appointment of three new directors, who are planning to put the company back on its feet again...

Naturally the stock rallied the next day and oh... it's highlighted on the Edge Financial Daily too! P

Linear rallies to more than 2-month high

• Linear Corporation Bhd’s shares rallied to a more than two-month high of 15 sen, as investor sentiment in the Practice Note 17 company perked up with the entry of a white knight.
  
  The counter was actively traded yesterday with 15.86 million shares changing hands. It hit an intra-day high of 18.5 sen and closed 6.5 sen or 76.5% higher at 15 sen, its highest level since June 28...

76.5% higher!!!!

oO oO

!!!!!!!!!!!!!!!!!!!!!

Life is good or what!

:P

Here's the blazing trail....




Yes, the stock actually rallied more than 76.5%!!!!

On the 1st Sep 2010, the stock closed at 9 sen.

On the 2nd Sep 2010, it opened at 10 sen and hit a high of 19 sen!

Incredible eh?

Life is not good.... it's amazingly, wonderfully good!

So this so called white knight tale drove the stock into the orbit on the 2nd.

And the company made the following announcement on the 3rd Sep 2010.

Linear Corporation Berhad ("Linear" or "Company") Article in the Edge Financial Daily, Thursday, 2nd September 2010 - Linear sees entry of new white knight

Bursa asks Linear to respond to the following statements in the Edge article...

• "It is learnt that the previous white knight, who owned a 19.92%stake in Linear via privately held Crystal Insight Sdn Bhd has sold his stake to this new white knight some three weeks ago."

Linear answer...

• We have not been notified of any change to shareholdings of Crystal Insight Sdn. Bhd. which owns the 19.9% stake in Linear.

And yesterday Linear Corporation Berhad ("Linear" or "Company") Article in the Edge Financial Daily, Thursday, 2nd September 2010 - Linear sees entry of new white knight

• After due and diligent enquiries with all the directors, major shareholders and all such persons reasonably familiar, we wish to state that there is no change in the shareholding of Crystal Insight Sdn. Bhd. which owns the 19.9% stake in Linear.

And here we go again.

The Edge Financial Daily writes.... the stock flies to the orbit... the company denies what's said.... and the cycle repeats and repeats and repeats again.

Now think about it again for a moment...

If such company is not tradeable... how?

Yes, think about it... if we are not given a chance to buy or sell such a stock... and we see such 'stuff' happening all the time.... how?

Where's the credibility?

Remember the stock that soared and soared just because the company said it had talks? Yeah just talks without discussing any names and any details. And the stock soars!

Disclaimer
1. I am a nobody.
2. I am not responsible for anyone's investments.
3. I am not a sotong. :D
4. I am certainly not an independent investment advisor.
5. Since I am not an in dependant investment advisor, I cannot guarantee that you should lose money.
6. Most important, I find no motivation to talk about stock price movements. Yeah, I do not indulge in guessing what a stock price will or will not do. So please spare me all the chats that you think this stock will go down by so much or this stock will soar by so much.