There is one thing all investors need to know about securities law; anytime someone purposefully does something in order to make a stock go up or go down, they are doing something illegal. You can go to law school and study it for years, but that’s what it boils down to. You make educated bets on stocks based on the factual information you have, but you never purposefully make the price of a stock move in either direction or drive sentiment. That’s manipulation and it’s illegal. That is the first thing anyone needs to know about the stock market.
Very recently, at one of the other blogs and several of the main stream media outlets, an article calling for a reverse split on or about the Christmas holidays was written. After reading them, I could not disagree with the premise any more than I do. It is my intent to provide the facts of why this is a terrible idea…and why it is not going to happen in the time frame they suggest. From my perspective…people of that opinion do not belong holding shares of SIRIUS XM. You don’t do a r/s on weakness to artificially raise the stocks price over one dollar unless it is a matter of delisting and must be done to satisfy listing requirements. I am quite sure there are many long holders of SIRIUS XM who would agree. Actually I see the above scenario as a slap in the face for longs and a lack of belief in the company and its improving business and metrics.
