# Cheap Or In Trouble? Corinthian Colleges Is One Crazy Stock



## InTheMoneyStocks (21 August 2010)

Corinthian Colleges, Inc. (NASDAQ:COCO) has been hammered lately. Fears over government regulation, oversight and a miss on earnings announced today have caused the stock to drop from a 52 week high of $20.29 to the low of the day at $4.42.  As I listen to the conference call the one thing that jumped out at me was the talk of the $200 million buyback that was announced a while ago.  The CEO is stating that the $200 million buyback will begin this quarter.  Right now that market cap is only $400 million.  That means at current levels, they would buy back half the shares.  If that is true, this is very attractive at currently levels regardless of earnings or government issues.  This is an extremely high risk play as funds will be dumping under $5.00 but still remains attractive to me.  

Gareth Soloway
Chief Market Strategist
InTheMoneyStocks


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## Garpal Gumnut (21 August 2010)

That chart would be 101 on any curriculum on Technical Analysis. Its got the lot.

Follow the trend
Elliott Wave
Flags 
Fibonnaci
etc. etc. etc. 

It looks like a dead fish.

Only the brave would buy at the moment. 

gg


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## skyQuake (21 August 2010)

InTheMoneyStocks said:


> Corinthian Colleges, Inc. (NASDAQ:COCO) has been hammered lately. Fears over government regulation, oversight and a miss on earnings announced today have caused the stock to drop from a 52 week high of $20.29 to the low of the day at $4.42.  As I listen to the conference call the one thing that jumped out at me was the talk of the $200 million buyback that was announced a while ago.  The CEO is stating that the $200 million buyback will begin this quarter.  Right now that market cap is only $400 million.  That means at current levels, they would buy back half the shares.  If that is true, this is very attractive at currently levels regardless of earnings or government issues.  This is an extremely high risk play as funds will be dumping under $5.00 but still remains attractive to me.
> 
> Gareth Soloway
> Chief Market Strategist
> InTheMoneyStocks




Looks kinda decent actually. Had capitulation volume accompanied by gap down. Had a small stingy rally which implied sellers were still there.
Now we crack the lows which means everyone got washed out. Esp if you look at it on the intra you can see that happened early on in the session.

I would think it'd be a buy at open with a stp a few ticks below that open.
Best if if opens within yesterday's range.


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## Garpal Gumnut (21 August 2010)

skyQuake said:


> Looks kinda decent actually. Had capitulation volume accompanied by gap down. Had a small stingy rally which implied sellers were still there.
> Now we crack the lows which means everyone got washed out. Esp if you look at it on the intra you can see that happened early on in the session.
> 
> I would think it'd be a buy at open with a stp a few ticks below that open.
> Best if if opens within yesterday's range.




You may be correct, however it would need to move sideways for some time before I'd throw my hardearned at it.

I still think its a dead duck and the small stingy rally may have been the insiders and guilty manipulating.

gg


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## skyQuake (21 August 2010)

Garpal Gumnut said:


> You may be correct, however it would need to move sideways for some time before I'd throw my hardearned at it.
> 
> I still think its a dead duck and the small stingy rally may have been the insiders and guilty manipulating.
> 
> gg




Agree, only looking for a squeeze where the weak hands cover. The large seller was evidently still there dumping into that small rally.


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## Garpal Gumnut (21 August 2010)

skyQuake said:


> Agree, only looking for a squeeze where the weak hands cover. The large seller was evidently still there dumping into that small rally.




Agree,

It would be a good chart for tech/a to comment on as it has a bit of volume there towards the end, and I believe him to be a good analyst of volume and range.

gg


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## Ardyne (21 August 2010)

I'm no expert but it would have a bit of overhead resistance from the gap down , its made a new low and has large volume on the drops and decreasing volume on its last little run up. I cant see any long signals on it ...yet


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## Garpal Gumnut (21 August 2010)

Ardyne said:


> I'm no expert but it would have a bit of overhead resistance from the gap down , its made a new low and has large volume on the drops and decreasing volume on its last little run up. I cant see any long signals on it ...yet




Agree on the gap, it will be a potent resistance. Its all down I'm afraid, a range would be nice to see then a bit of a rally and a retracement then further volume.

Then again one could short it, although I'm no good at shorting.

gg


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