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Possible Olympus FF dilemma....what will they do?

Started 3 days ago | Discussions thread
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MichaelKJ
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Re: Possible...but a dangerous gamble
In reply to pkcpga, 2 days ago

pkcpga wrote:

Sony found some one to purchase half of their investment in Olympus, apparently they have been looking since the big Olympus 7% drop in November of last year. When Sony sold Sony got a 3.3% stock increase and Olympus dropped 3% more. Investment news companies like Bloomberg and Wall Street journal state they believe Sony has been looking for a bit to unload all of its investment in Olympus. Sony went in looking for medical technology information and Sony must have gotten what they needed or decided Olympus doesn't have anything for them. Either way Olympus keeps getting the bad draw, from staffing to Sony.

Since Sony sold the stock in April 2015, I assume you are referring to a drop in stock price in November 2014, which simply didn't occur. In fact, Oly's stock price increased in Nov. 2014.

More recently, Olympus had a 26% drop in stock price at the end of September 2015, completely recovered that loss by mid-November, had another large drop of 21% in Feb, and went back up 12% since then.  Olympus stock is down 7% from where it was one year ago, which is less than the 12% drop in the Nikkei. Clearly a lot of volatility, as is the case for the major markets the past year. Viewed in the context of the past year's volatility, the one day reaction to the sale of Olympus stock was of little, if any, practical consequence.

Olympus clearly benefitted from the infusion of cash at a time when the company was in serious trouble. The company's most recent financials show a 42% increase in sales and a 43% increase in profits.

http://www.olympus-global.com/en/common/pdf/brief148PB_2.pdf

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