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Old 05-02-2007, 01:20 PM
David Sklansky David Sklansky is offline
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Join Date: Aug 2002
Posts: 5,092
Default Re: Could Someone Research This Angle

You guys are not exactly getting the point. Firstly it doesn't matter much whether the outcome is a surprise. Because I am talking about the performance of the stock AFTER the verdict. Secondly that performance need not be directly related to the product under litigation. Rather it is related to the fact that they no longer have to concentrate lots of time and energy on the lawsuit. (Which might mean that the losing side is not a good short.) I'm wondering whether the market would, on average, underestimate the positive effect this freeing up of resources has on a company. They certainly did when it came to Shufflemaster winning the suit that Mikohn brought against it.
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