THIS ONE IS FOR SHORT SELLERS
OR PUT OPTIONISTAS
the news of the Zicam lawsuits have obviously hurt sales
regardless the suit was ruled in favor of the company
Appeals could be the other shoe to drop
mtxx
P/E (ttm): 23.64
PERIOD ENDING ...31-Dec-07. 30-Sep-07 .30-Jun-07. 31-Dec-06
Retained Earnings .16,411 . 17,046 ... 10,637 .... 9,990
Total Revenue .....30,802 . 28,576 ... 8,573 .. 36,227
Sale (buy) Stock ..(3,594)..... 42 ..... 259 ..... 931 <--
Net Borrowings .........4 ... (19) .......0... (4,000) <--
..
Qtrly Revenue Growth (yoy): -15.00% <---------bzzzt
Qtrly Earnings Growth (yoy): N/A
Total Debt (mrq): 0 <-------------xlnt
..
Shares Short (Feb08): 844.99K
Shares Short (as of 11-Mar-08): 863.30K
Short % of Float (as of 11-Mar-08): 9.20% <--increasing shorts
..
Matrixx Initiatives, Inc. and its subsidiaries engage in the development,
production, marketing, and sale of over-the-counter healthcare products.
Itoffers Zicam Cold Remedy nasal gel that reduces the duration and
severityof the common cold; Zicam Cold Remedy Swabs for consumers who
dislike nasalsprays; and Zicam Cold Remedy Chewables, Zicam Cold Remedy
RapidMelts,Zicam Cold Remedy Oral Mist, Zicam Cold Remedy RapidMelts +
Vitamin C, andZicam Cold Remedy ChewCaps, which are oral delivery cold
remedy products.The company also offers Zicam Allergy Relief, a
homeopathic nasal gelformula to control allergy symptoms for sufferers of
hay fever and upperrespiratory allergies; Zicam Extreme Congestion
Relief, a nasal gel forrelief of nasal congestion and sinus pressure;
Zicam Sinus Relief thatprovides the benefits of the Extreme product with
the aromatic strength ofa cooling menthol/eucalyptus blend; and Nasal
Comfort for nasal health. Inaddition, it offers Zicam Cough Spray
products, including Zicam Cough MistMax, Cough Melt product, and Cough
Plus D product that are designed forcough relief and throat irritation;
and Zicam Cold and Flu Relief products,which utilize a spoon dosing
delivery to provide relief of cold and flu symptoms. Matrixx sells its
products directly to food, drug, mass market,and wholesale warehouse
retailers in the United States, as well as todistributors that sell to
retail establishments. The company was founded in 1991. It was formerly
known as Gum Tech International, Inc. and changed itsname to Matrixx
Initiatives, Inc. in 2002. Matrixx is based in Phoenix,
Arizona.
---------------
FROM 8K CURRENT RE****T:
Favorable Jury Verdict
As previously re****ted, numerous lawsuits have been filed against
Matrixx Initiatives, Inc. (the “Company”) alleging that our Zicam Cold
Remedy nasal gel product has caused the permanent loss or diminishment of
the sense of smell or smell and taste, including Bruno vs. Matrixx
Initiatives, Inc., filed July 7, 2006 in the Superior Court of the State
ofCalifornia, County of San Diego, Case No. 868821. See “Legal
Proceedings —Product Liability Matters” in Note 7 of Notes to Condensed
ConsolidatedFinancial Statements in the Company’s Re****t on Form 10-Q for
the fiscalquarter ended December 31, 2007. Beginning on March 25, 2008,
the Bruno case was tried before a jury in the Superior Court of the State
ofCalifornia, San Diego County. On April 3, 2008, the jury delivered a
unanimous verdict in favor of the Company.
--------------
FROM THE 10Q QUARTERLY RE****T:
the 2007/2008 cold season is off to a slow start and the incidence of
colds and flu in the general population for the quarter ended December
31, 2007, was tracking at the lowest levels since Zicam was introduced in
1999. The low level of illness is reflected in the lower level of sales
realized during the quarter ended December 31, 2007
-----------
For the 12 weeks ended December 30, 2007, retail sales of our products
(as measured by three outlet syndicated scanner data, not including our
largest customer, Wal-Mart) decreased approximately 7% over the
comparable period in the previous year, while the entire cough and cold
category decreased approximately 5% over the same period
----------
Net sales for the three months ended December 31, 2007 were $30.8
million, or 15% below net sales of $36.2 million for the quarter ended
December 31,2006.
Gross profit for the three months ended December 31, 2007 was
approximately $19.7 million, compared to gross profit of approximately
$23.2 million for the quarter ended December 31, 2006. The lower gross
profit is due to the decreased level of sales during the quarter
(compared to the prior year).
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http://stockcharts.com/charts/gallery.html?MTXX
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resistance : $15.90 & $16.50/17 wow 12y sup****t=$11.99
MIGHT BE SMART TO PLAY BOTH SIDES AND JOIN THE SHORTS
Short % of Float (as of 11-Mar-08): 9.20% <--squeezeable shorts
down to the eventual test of sup****t
and then join the short squeeze ENTRY LONG: BELOW $12
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