GT Advanced Technology Files for Chapter 11

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FullYellowJacket
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GT Advanced Technology Files for Chapter 11

Post by FullYellowJacket »

http://investor.gtat.com/releasedetail. ... eID=874701

Another example of the risk behind investing in individual companies. A 90% drop in share price since trading resumed after the announcement. No one who was investing in this company thought that bankruptcy was on the horizon.

http://quotes.morningstar.com/stock/GTAT/s?t=GTAT
The Wizard
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Re: GT Advanced Technology Files for Chapter 11

Post by The Wizard »

OK, but to make this thread personal, how much did you have in this stock?
Attempted new signature...
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FullYellowJacket
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Re: GT Advanced Technology Files for Chapter 11

Post by FullYellowJacket »

By my calculations, about 10 dollars through VTSAX. It is an industry that I follow, and this is a company I had been looking at for some of my fun money. It looks like I dodged a bullet, and I thought that this would be a interesting warning for the bogleheads.
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nisiprius
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Re: GT Advanced Technology Files for Chapter 11

Post by nisiprius »

December 26, 2013

http://www.fool.com/investing/general/2 ... -in-2.aspx
It's been a rough couple of years for GT Advanced Technologies (NASDAQ: GTAT ) , as both the solar and sapphire markets have struggled simultaneously. But 2014 could be stacking up to be a blowout year if positive trends in both industries begin to play out.

GT Advanced Technologies in November signed a sapphire supply agreement with Apple (NASDAQ: AAPL ) , which came with a $578 million cash infusion to fund expansion. The potential in sapphire is almost unlimited, ... With Apple in the picture and more companies looking for alternatives to glass, this could be a high-growth market over the long term.

This year brought a rebound to solar module demand and pricing, which could lead the push to the next generation of equipment in 2014. GT Advanced Technologies was a major winner when companies like Trina Solar, Yingli Green Energy, and LDK Solar were building photovoltaic manufacturing capacity, but the demand for new equipment dried up as solar struggled over the last two years. But end-market demand is back this year and is expected to grow again next year....

Foolish takeaway

GT Advanced Technologies is uniquely positioned to experience growth from both the sapphire and solar markets, and a surge in demand could be coming in 2014. This is a stock to keep an eye on because there's still a lot of upside even after a great 2013.
Annual income twenty pounds, annual expenditure nineteen nineteen and six, result happiness; Annual income twenty pounds, annual expenditure twenty pounds ought and six, result misery.
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nisiprius
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Re: GT Advanced Technology Files for Chapter 11

Post by nisiprius »

http://www.gurufocus.com/news/261884/be ... chnologies

May 31, 2014
The polysilicon market environment has also continued to improve, with supply tightening up considerably and prices rising. This has opened up solid opportunities for a company like GT Advanced Technologies (GTAT), which seems set to improve at a great pace....

....the number of producers who could operate profitably at these price levels remains limited. This places GT in a comfortable position against its competitors being an established brand....

...GT is well-positioned as the industry's polysilicon technology leader to compete for the new expansion in cost reduction projects that are likely to proceed.

GT’s recent win with Cosmos demonstrates its competitiveness in this marketplace.

GT’s HiCz solution is now commercially available, and its revolutionary Merlin solar interconnect technology has been well received.

...[Acquisitions and] new product initiatives provide GT with several billion dollars of incremental annual market opportunities....

Conclusion
GT Advanced Technologies is in a great position to profit from several angles. So, investors should take a closer look at the company as it can be a long-term outperformer.

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dknow - 4 months ago
Well put. Management has done a tremendous job guiding the Company.
Annual income twenty pounds, annual expenditure nineteen nineteen and six, result happiness; Annual income twenty pounds, annual expenditure twenty pounds ought and six, result misery.
LongerPrimer
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Re: GT Advanced Technology Files for Chapter 11

Post by LongerPrimer »

Bought @~16… sold @~13. Had great hopes for GTAT and held on longer than -20% rule. One on my 2 losers to 1 winner. :annoyed 8-)
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A former cheerleader for GTAT has an epiphany

Post by HurdyGurdy »

Back at that GTAT forum, (http://forum.thecontrarianinvestor.com/ ... 9/page-546) the top participant suddenly realizes that the market knew better than him (cursive is mine):
There was a lot of insiders who knew about this and that is why the stock has been tanking. Unfortunately, there was a lot of unsuspecting retail investors who kept investing in GTAT as we were clearly mislead by TG and others on last CC.

With perfect hindsight, the price action of GTAT tells the whole story. A LOT!!! of insiders knew about GTAT's huge problems and a lot of people probably knew about bankruptcy as well...
So at that point, the info was public already, incorporated in the share price.

The textbooks were right, then. :idea:
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Re: GT Advanced Technology Files for Chapter 11

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Anyone who was closely following the company would have noticed that insiders had been dumping the stock hand over fist since July. It's usually not a good sign when top executives and directors are exercising their options and immediately liquidating 100%. A look at insider selling is breathtaking. Maybe if you were a shareholder, you might want to take a hint...
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nisiprius
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Re: GT Advanced Technology Files for Chapter 11

Post by nisiprius »

SpaceCommander wrote:Anyone who was closely following the company would have noticed that insiders had been dumping the stock hand over fist since July. It's usually not a good sign when top executives and directors are exercising their options and immediately liquidating 100%. A look at insider selling is breathtaking. Maybe if you were a shareholder, you might want to take a hint...
Stuff like this happens to people who choose to invest in individual stocks based on their personal analysis, and those of analysts saying "GT Advanced Technologies is in a great position to profit from several angles. So, investors should take a closer look at the company as it can be a long-term outperformer."

I hope you are not saying "it shouldn't have happened to them, it wouldn't have happened to anyone smart, it won't ever happen to me, therefore it shouldn't count when discussing investing in individual stocks."
Annual income twenty pounds, annual expenditure nineteen nineteen and six, result happiness; Annual income twenty pounds, annual expenditure twenty pounds ought and six, result misery.
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SpaceCommander
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Re: GT Advanced Technology Files for Chapter 11

Post by SpaceCommander »

nisiprius wrote:
SpaceCommander wrote:Anyone who was closely following the company would have noticed that insiders had been dumping the stock hand over fist since July. It's usually not a good sign when top executives and directors are exercising their options and immediately liquidating 100%. A look at insider selling is breathtaking. Maybe if you were a shareholder, you might want to take a hint...
Stuff like this happens to people who choose to invest in individual stocks based on their personal analysis, and those of analysts saying "GT Advanced Technologies is in a great position to profit from several angles. So, investors should take a closer look at the company as it can be a long-term outperformer."

I hope you are not saying "it shouldn't have happened to them, it wouldn't have happened to anyone smart, it won't ever happen to me, therefore it shouldn't count when discussing investing in individual stocks."
No. I'm not saying only dumb people lose money in individual stock investments. Surely a sudden bankruptcy is always possible even when the balance sheet looks strong. Since anything can happen, diversification is key. However, if I did have an individual stock in my portfolio, and I noticed that insiders were selling hand-over-fist, I probably wouldn't wait around for the cause. Indeed, a better solution would be to own the market instead of single company, that way you can forget about it and go fishing instead. :happy
I honor my personality flaws, for without them I would have no personality at all.
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