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Time stamps:
0:43 - Form S-3 SEC filing explained.
2:18 - Shelf offering registration explained for $NERV stock
3:00 - Why do biotech penny stocks burn so much cash?
4:41 - What is a mixed shelf?
6:11- How to know if a Form S-3 is in effect?
7:13 - What is At the market offering? (ATM offering explained)
9:16 - How to use SEC filings when day trading penny stocks long and short?
How to read SEC filings? Penny stock shelf offering sec filings explained. In this video I’ll be going over how to take advantage of SEC filings to and use shelf registration information to your advantage when day trading penny stock premarket gap ups such as $NERV.
How to read SEC filings and find penny stock offering and dilution?
▶︎https://youtu.be/d55SAYjBHd0
How to day trade gappers and gap ups
▶︎ https://youtu.be/cgf0FjzdsKg
SEC filings Edgar website
▶︎ https://www.sec.gov/edgar/searchedgar/companysearch.html
SEC filing explained:
Form S-3 (or Form S-1), is a filing companies must file in order to register new shares to do an offering. It’s usually the first form I look for on SEC Edgar website.
It’s in this S-3 filing that I found $NERV 200 million dollars worth of mixed shelf registration, and another $50 mil worth of ATM offering deal with Jefferies LLC.
Form 10-K (or 10-Q), if a document listing on the financial statement for the company. This is the form I used in my last how to read SEC filings video to examine the financial status of $YRIV and $ZYNE. And whether those penny stocks are likely to do a stock offering dilution soon.
$YRIV has terrible cash balance and a clear history of offering and stock dilution. Therefore the stock should not be a buy overnight or swing long.
However, $ZYNE was a company that has good cash balance and was done with raising capital. Therefore it was safe to determine that the money the company raised was to be used to fund their upcoming drug pipeline and development. $ZYNE stock was worth a swing long.
In this video, I also talk about a few of the underwriters these penny stock companies love to deal with when planning for future stock offering registrations. Jefferies LLC is one of the usual suspects. There are two more underwriter names you should be aware of which are revealed in the video.
Reading SEC filings can definitely help with your day trading conviction, both when buying penny stocks and shorting them. However, don’t forget to put risk management first! Because you can be fundamentally right, but technically wrong.
In next week’s video I will be going over day trading risk management, especially how to control risk when you are trading with small account. There will be a special giveaway as well for my loyal subscribers who comment on the video within the first two hours. Stay tuned for details next week!
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DISCLAIMER: I am not a financial adviser nor a CPA. These videos are for educational and entertainment purposes only. Investing of any kind involves risk. While it is possible to minimize risk, your investments are solely your responsibility. It is imperative that you conduct your own research. I am merely sharing my opinion with no guarantee of gains or losses on investments.

By Stock Chat

where the coffee is hot and so is the chat

32 thoughts on “How to read sec filings – penny stock offerings $nerv”
  1. Avataaar/Circle Created with python_avatars Elizabeth Yanez says:

    Hello Shay thank you so m uch for sharing the knowledge, this video is a bit outdated and not sure im im usung the correct edgar website is it possible for you to make a new video like this?

  2. Avataaar/Circle Created with python_avatars Ameer Khwin says:

    Amazing videos 🎉

  3. Avataaar/Circle Created with python_avatars David Hazen says:

    HI I was curious if you could tell me why EJH public float has not changed regardless of doing three offering in the last few months. EJH is a Chinese Company trading on the U.S stock exchange. I am trying to figure out if any of these last three offering shares will end up in the public float. How can you look at the prospect to know if the shares will show in the float. Also, how do you know that the shares are restricted? And how can you tell the time frame for shares to be restricted from selling on the open market.

  4. Avataaar/Circle Created with python_avatars justin says:

    What are the F-(3)'s for?

  5. Avataaar/Circle Created with python_avatars james Jones says:

    HI WHY ARE YOUR VIDEOS ARE MOSTLY 3 YEARS OLD? YOU HAVE ALOT OF VIDEOS , BUT MOST OF THEM ARE REALLY OLD, I CANT REALLY FINE MANY UP TODATE VIDEOS:(

  6. Avataaar/Circle Created with python_avatars omarc4ut says:

    Thank you for sharing this great information. It may seem like common sense for a veteran trader but for us starting out this is gold.

  7. Avataaar/Circle Created with python_avatars David Hazen says:

    Can anyone tell me if there is a shelf offering approved for 100 million, what happens to the shelf when it reverse splits. Does the reverse split lower the 100 million shelf in proportion with the reverse split authorized?

  8. Avataaar/Circle Created with python_avatars DXO Logistics says:

    Which SEC form to look at if you want to know which stock a hedge fund is investing in? Is it SEC 13-F?

  9. Avataaar/Circle Created with python_avatars Todd Bigsly says:

    Add B Riley to the list

  10. Avataaar/Circle Created with python_avatars Karn Ark says:

    I have a question:

    Suppose a ticker has a prospectus stating $125Mm of common stock can be offered (S-3 in effect) and a few months down the road, they issue $25Mm. Does this mean this ticker can still unload $100Mm of common stock at any given time? Thanks!

  11. Avataaar/Circle Created with python_avatars Barclay L. Harrison says:

    So far great info for this new trader, I'm impressed. Watching the videos in ascending order. Hope they stay around the 99.9 + .1

  12. Avataaar/Circle Created with python_avatars April says:

    Lol those gurus sure didn’t speak on this. 😏🏴‍☠️

  13. Avataaar/Circle Created with python_avatars Growing says:

    Dropped you a like Button

  14. Avataaar/Circle Created with python_avatars Plutus says:

    So the Shelf is a good thing… it almost gives a clue that a Pump is comming

  15. Avataaar/Circle Created with python_avatars Emiliano Gonzalez says:

    Does anyone know if a ATM can be used pre market?

  16. Avataaar/Circle Created with python_avatars SyrupGoblin says:

    What if theres no S3?

  17. Avataaar/Circle Created with python_avatars Ole Skool says:

    Please do a video on 424b5 form and how prices are affected

  18. Avataaar/Circle Created with python_avatars grahaminator2 says:

    Great information. Thanks!

  19. Avataaar/Circle Created with python_avatars Philip Rohn says:

    Love your channel! Significant content! Thank you so much.

  20. Avataaar/Circle Created with python_avatars Jesse Kim says:

    CRTL-F the comments for any dang jefferies

  21. Avataaar/Circle Created with python_avatars Destiny says:

    thank you

  22. Avataaar/Circle Created with python_avatars Destiny says:

    thank you

  23. Avataaar/Circle Created with python_avatars pyronac1 says:

    you are an idiot because you sold at $11? that is like saying you are an idiot for making money.

  24. Avataaar/Circle Created with python_avatars Nick M says:

    What a high value video. So much free crucial information

  25. Avataaar/Circle Created with python_avatars Ed Allen says:

    as always, 99% very informative, and 1% (good) jokes- as for the shelf as a prop, great special effects.

  26. Avataaar/Circle Created with python_avatars Keith Zanders says:

    Hi Shay,
    I just came across this earlier video of yours. As always you really work hard to help us and I just wanted you to know that it is truly appreciated.
    And I will certainly be on the lookout for those UW names on the registration.

  27. Avataaar/Circle Created with python_avatars Napolean Macro says:

    2 years later and your NERV thesis aged very well. Thank you for your time 🙏🏽

  28. Avataaar/Circle Created with python_avatars Mei says:

    Omg this is the cutest video ever.

  29. Avataaar/Circle Created with python_avatars Dash says:

    Durect corp?

  30. Avataaar/Circle Created with python_avatars Joe says:

    Its so refreshing to find someone with genuine knowledge, and pure intent. Cant have enough of your content. Am following slowly but surely. The best I've come across. Please, Keep up the amazing work.

  31. Avataaar/Circle Created with python_avatars Regetta Plunkett says:

    You are an absolute Wealth of Knowledge. The amount of information you freely give is graciously appreciated! I hope you believe in KARMA, because you have loads of positivity and goodness coming your way for all of us that you have helped. Thank you!

  32. Avataaar/Circle Created with python_avatars NIO says:

    Ha the shelf offering.. Love the Bad Jokes 🙂 Destroyed the Like Button

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