I added a bit more at $103 towards the end of the day. I have much less than Saul et al in BOFI (2.5% of my portfolio).
I gather that many here think that what the CEO said is accurate. Even so, his Company may still need to waste some resources fighting this.
Would people here be able to assess the damage to BOFI if what the CEO said about the allegations turns out to be inaccurate or an outright lie? i.e. there would be grounds to what has been alleged?
tj
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Would people here be able to assess the damage to BOFI if what the CEO said about the allegations turns out to be inaccurate or an outright lie? i.e. there would be grounds to what has been alleged?
I would assess it to be time to run. If the CEO is lying, then you don’t want to own the company. It likely means past numbers were lies. You would never be able to trust the company again.
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Chris,
This is what I have found so far. I will try look into her and firm more tonight if time allows.
The firm’s website has a lot of “articles” about various accolades, awards, and talks she has given. There is one case referenced that was from August 2014.
Currently her and one other attorney Make up her “team” of attorneys.
A quick look for client reviews turned up this website - only 3 people posted reviews.
One excellent dated July 9. No year. Very vague, no details.
One from a very upset client dated Jan, 2014. He goes into a lot of detail.
Another excellent from Sep 2007. Again, very vague almost to the point of it makes you wonder if it is a legit post.
Here is the link to that site:
http://www.avvo.com/attorneys/90067-ca-carol-gillam-313712.h…
The overall feel I get from her website is she spends more time on academics, seminars, groups, accolades than actually trying cases.
I did find a case from 2012, a class action suit involving overtime pay on a television program, but did not fiind any judgement. I guess many of her cases get “settled”, which is many times in best intrest of defendant even if no wrong doing.
Just wanted to share what I found in limited time today.
Kevin
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50 isn’t as good as 100.
Round numbers either hold or they don’t. Actually typical is a slight penetration to take out rigid chart followers and stop loss orders.
If it holds you make money (I am up 18%) , if it doesn’t hold,sell. You won’t lose much. This probably will work best if the pre crash price is 15% to 30% above the nice fat even number. I wouldn’t try it if the price was 105 pre crash.
Also it’s more likely to hold if the event causing the panic is dubious, not something factual like their only plant burning to the ground. A law suit by a disgruntled employee has no obvious bad outcome.
No it is not sure fire but it tilts the odds in your favor.
what the CEO said about the allegations turns out to be inaccurate or an outright lie?
There is no way for an outsider to know the answer to this question.It is all a guess. But outright CEO fraud is uncommon therefore the historical odds are on your side holding BOFI.
Especially considering the source of the allegations and the propensity of companies to settle (thus rewarding litigation)even when the case is untrue. Extortion and /or blackmail are only illegal if not done inside the framework of the legal system .
If it makes you too uncomfortable remember that there are lots of other stocks out there.
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