SWNE 0.20
SWNE is a speical reverse split round up play. These special round up reverse split plays can be extremely profitable. The last one was NWNO about one week ago, these bought the shares before the revesse split turned their little gamble from $11 to $1500 in a few days.
"SWNE 1-500 R/S No shareholder will be reduced below 500 shares. N/C to Mariner's Choice International Inc (MCII). "
Bought 500 shares with $100, after the resverse split, because of this special treatment, I SHOULD receive 500 new shares, but the price would be around $70 based on Friday's close. 500 shares x $70 = $35,000. In the worst case, even I sell 500 shares at $1, still make $400 profit. I will take it, worth the $100 gamble. In fact, if you just bought $1 or 1 share, you should still receive 500 new shares, that's a pure lottery ticket play.
Remember, this is a special niche play, not applies to all R/S, you cannot buy it after the ex-date (or after the split), it only applies to the R/S stocks have the round up clause. Read the board - Reverse Split Round up Share Plays:
http://www.investorshub.com/boards/board.asp?board_id=9426
SWNE discussions:
http://www.investorshub.com/boards/board.asp?board_id=9405
14 comments:
Hey PT Oracle,
buy 500 for me... I just tried and i get a msg " Buys are not allowed for this security. Please call your local branch to place the order."
Are you figuring the stock will go to about $1 after the split?
I just had my broker buy 500 @.2
BTW..
PT where did you find that news feed/head line about this stock. I can't seem to locate it.
Nope, a friend tipped me on SWNE. If what's being said was correct, then we should have 500 shares post split. I'll read more on this. The post spilt price should be 500 x 0.15 = $75 on the bid, even at $10, that's a nice 1000% return. The problem is, we might get 500 shares, differnt brokers interpret the terms differently. Also, it might take days to get the shares, it also depends on the broker.
For example, you might have noticed my friend's Etrade account has 100 shares of PAVC. I bought PAVC presplit at $6 cost (plus commissions). After the split, PAVC was trading at $6-10, my other brokers (through Penson clearing) gave me the shares right away, I could sell them, however, Etrade gave these shares to the clients about 6 months later and PAVC is nder $1, even it is still up 300-800% from the cost, but it is way off from the high.
Sold 50 shares at $6 on all my accounts, a very nice overnight return on the investment, lol:
These were from my other accounts on selling PAVC...
Order ID Date/Time Action QTY Symbol Type Price TIF Route S.Type Status45502799 10:06:05 EDT Sell 50 PAVC Limit 6.00 DAY Stock Executed45502826 10:06:22 EDT Sell 50 PAVC Limit 6.00 DAY Stock Executed45502756 10:05:39 EDT Sell 50 PAVC Limit 6.00 DAY Stock Executed
I found some info and your posts on investors hub web site. I hop my broker doesn't shaft me by making me wait 6 months. But I didn't find any info on when the R/S will occur. Do you know when it is supposed to happen?
I was checking out Penson's web site but I couldn't find any info on fees. WHat are the commissions/fees for using them as a broker?
Are these the guys you were having a problem with about them over charging you?
Sotcky, more info and discussion on this R/S:
http://www.investorshub.com/boards/board.asp?board_id=9405
Penson is a clearing firm. They are not a broker. Many brokers are using them to clear trades.
The brokers like rmltrading.com, abwatley.com, prodigytrading.com, mastertrader.com etc all use Penson for clearing. I had accounts with all of them. The new one I posted a few days ago also use Penson for clearing.
It should happens on: 06/04/2007
The offical info:
http://www.otcbb.com/asp/dividend.asp?sym_id=SWNE
Penson is great in interpreting these R/S. When PAVC had the R/S, in one of my accounts, I bought only 1 share at 0.06 ($0.06 cost), I got 100 new PAVC shares post-spilt.
If your broker interpret the R/S correctly, even if you bought one share of SWNE, you should get 500 new shares post-split because:
"No shareholder will be reduced below 500 shares. N/C to Mariner's Choice International Inc (MCII)."
a reverse split means you get a reduction in shares, not more. Plus splits don't give you a profit automatically. Are you really a trader.?
I've deleted other dumb comments on this subject, I'll leave yours and show you who is a real trader!
My suggestions to any others want to comment like Eric:
DON'T BE SO IGNORANT, READ FIRST BEFORE YOU POST, esp read the first post.
There is nothing is 100% certainty in this world when risk is involved.
$10 or $100 risk is NOT big deal to me, I can leave it and forget about it.
SWNE changed to new ticker MCII
Bid $3.50 and ask $100. If I sell my 500 MCII at the bid of $3.50, I will get $1750, the total cost for me was $100.
Now you tell me if this is a good deal or not!
This play turned out to be a very good one. Many Bank Of America clients got their 500 shares. 40 times return on the small capital, it is awesome, now you tell me who's a real trader and who's not?
http://www.investorshub.com/boards/read_msg.asp?message_id=20208391
http://www.investorshub.com/boards/read_msg.asp?message_id=20208803&txt2find=mcii+
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