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 Post subject: Thq being delisted on Nasdaq
PostPosted: Tue Jan 31, 2012 6:33 am 
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Joined: Sun Aug 28, 2011 6:05 pm
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Well this morning I read that Nasdaq will delist thq because of massive loses and a share under a dollar. I don't know if this sinking ship can be saved.


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 Post subject: Re: Thq being delisted on Nasdaq
PostPosted: Tue Jan 31, 2012 10:23 am 
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Joined: Tue Apr 19, 2011 9:32 am
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Spalliero wrote:
Well this morning I read that Nasdaq will delist thq because of massive loses and a share under a dollar. I don't know if this sinking ship can be saved.


Now there's optimism :)

THQ is not alone in having faced delisting, Atari has been in that situation twice before and to the best of my knowledge is still going strong.

Thq have till july 23rd and need to present 10 consecutive days of stock price above $1 before that date. This maybe explains why they have been unwilling to reveal hard and fast plans about DMO, they simply don't know if they will still be a going concern after that.
However they have a solid portfolio of games being released before then, so it is more than possible that they will have confidence in themselves being able to claw their way back up in time, making long term plans such as the future of DMO more sound.

OFC speculators could be busily making hay from the falling THQ stock price http://www.telegraph.co.uk/finance/3050 ... alues.html THQ has proven to be quite profitable in the past so there seems to be the possibility that the stock price is being driven down partly by short selling, a strategy that only works should you be able to sell the stock in the hopes of buying it back cheaper.
On the other side of that coin you have a situation wherein the devalued stock is from a company that is liable to rebound quickly offering the potential for a sizeable return. When stock of this kind becomes cheap enough people buy in and that in turn begins to drive the prices up again.
It will all depend on the confidence the market has that the company will bounce back and it is just too soon to judge at the moment, try in a month or two, we should have a clearer idea by then.

As for THQ it'self, well they will reveal their plans to deal with this in 2 days time and this decision will doubtless both include details on their plans for DMO and effect confidence in their stock.


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