Skip to main content
Message Font: Serif | Sans-Serif
No. of Recommendations: 7

Again the stock drops on good news on a day that the Nasdaq is a little higher. I will not buy another single share of CREE until I understand why this is happening. If this is some sort of manipulation(standard answer from the perma-bulls)it is having the intended effect on me. I am not a buyer...and so far not a seller. I hope I am not making a big mistake in holding.

My guess (likely wrong, but whatever) is that a mutual fund is unloading their shares.
The recent behavior of the share price is like the reverse of when Fidelity was buying
in, about a year ago I think. At that time, I think I remember that the share
price would outperform the averages by one or two percent every day.
Later it became public that Fidelity had bought up over 5 percent of the company.
They must have been buying a couple hundred thousand shares every day. Maybe
they are now unloading a couple hundred thousand shares every day. Never enough
to cause a big spike down in the price, but a constant drag.

Either that, or I suppose there could be some really bad news that is slowly
leaking out.

Cheers, and back to longtime lurk mode.

- StoppedClock
Print the post  


What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.