These Microcaps Were Once True Giants: BKS, BLOAQ, NFLX, FMCKJ
Small Cap Stocks That Are Nearing Their End
Can anyone believe that these penny stocks were once large companies with solid balance sheets and revenues that were constant with less competition on the horizon. Border Books, which currently doesn't trade in the US stock market anymore has vanished completely after its Chapter 11 filing. Who would have thought that they were having hard time meeting their debt obligations from an intense rivalry from Barnes and Nobles (NYSE: BKS), who I might add is not in the best of financial shape at the moment.
And what about Blockbuster Inc. (PINK: BLOAQ), a company that is still trying to keep its head above water by competing with Netflix (NASDAQ: NFLX). Too little and too late as they say, the old fashioned board members of Blockbuster were not quick enough to adapt to the changes that Netflix has brought upon them in a short period of time with on demand video streaming movies.
Blockbuster is currently trading at $.13 a share after it has gained 5.7% with a volume of 295,000 shares. Who actually trades this stock? I wouldn't. I rather trade or invest in Fannie Mae (OTCBB: FNMA), at least there is some hope in the rumors of the privatization of the company and its long lost cousin Freddie (OTCBB: FMCKJ).
I honestly see no hope for Blockbuster. Having said that, if you're going to go against the grain and trade it, be careful you don't get caught on the wrong side of the trade as the stock is full of speculators with sharp teeth.
When people ask me for my opinion on Blockbuster and Netflix fiasco, the best way that I describe it to someone with no financial background is this, "Netflix did to Blockbuster as what Facebook did to Myspace". That usually results in a chuckle and no further explanation.
And what about Blockbuster Inc. (PINK: BLOAQ), a company that is still trying to keep its head above water by competing with Netflix (NASDAQ: NFLX). Too little and too late as they say, the old fashioned board members of Blockbuster were not quick enough to adapt to the changes that Netflix has brought upon them in a short period of time with on demand video streaming movies.
Blockbuster is currently trading at $.13 a share after it has gained 5.7% with a volume of 295,000 shares. Who actually trades this stock? I wouldn't. I rather trade or invest in Fannie Mae (OTCBB: FNMA), at least there is some hope in the rumors of the privatization of the company and its long lost cousin Freddie (OTCBB: FMCKJ).
I honestly see no hope for Blockbuster. Having said that, if you're going to go against the grain and trade it, be careful you don't get caught on the wrong side of the trade as the stock is full of speculators with sharp teeth.
When people ask me for my opinion on Blockbuster and Netflix fiasco, the best way that I describe it to someone with no financial background is this, "Netflix did to Blockbuster as what Facebook did to Myspace". That usually results in a chuckle and no further explanation.
