If you literally bought a few shares than the cost to trade them is probably more than the value you would receive from the sale! So no reason to sell.
I would sell if they are trying to shut down a plant. I would hang on to the shares if they wanted to keep the plant running.
Why?
Shutting down a plant means that they aren't going to use the furnaces to make tons of product to have lots of sales.
Maybe we'll find out what REALLY was going on to see, but the dilemma is that if you are a shareholder, you always have the risk of losing some or all of your investment. It's that way with ALL investments since there is no 100% safe investment except for maybe a passbook savings account bringing 1% interest, which is below the rate of inflation.
You have three options right now if you own shares.
1. Sell
2. Hold what you have hoping they might come out of this (some do, most don't.)
3. Buy MORE shares at a lower price to lower your average share price HOPING that the company returns back.
Now, there are examples of companies that have been in bankruptcy that have emerged making tons of money. Harley Davidson is one of them. But ask yourself, is GTAT a company that has something truly unique that can't be done anywhere else that has a lot of demand? If they are wanting to wind down this brand new facility shortly after they built it, that would tell me that there is something wrong and that they can't produce desired components with high yield. to me, I wouldn't think this is going to return back. I think they might simply close shop if they can't produce something that Apple wants in high quantity.
My initial, gut feeling right now is to dump the stock, take the loss and move on. But that's based on the new information of them wanting to shut down a brand new plant. If they wanted to shut down an old aging plant to build a new modernized plant, that would be a different story and that's more of what Harley Davidson did because they were making problematic motorcycles due to they had to revamp their mfg and design plants. But GTAT just built this brand new plant, so that tells me, GTAT can't produce what Apple wants in large quantity. So, for Apple do move on, they have to use something else or seek another supplier, unless Apple can take over the plant and make the things with high yield/quality.
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Sounds like there's some severe internal politics and/or book cooking going on here... Since GTA was working so closely with Apple to furnish its sapphire glass, Apple had to be aware (or have a very good idea of) GTA's financial standing, one would assume. Yet Apple was apparently caught off guard? GTA was even granted an extension of the loan repayment by Apple, and it filed for bankruptcy... and it won't disclose the details therein. Hmm... sounds like someone doesn't want to repay their loan. And now GTA wants to shutdown operations... which smacks of a "I'm taking my toys and going home if I don't get what I want (despite being contractually bound)" attitude.
If you look at GTAT's June quarter, they looked great, but compare against the most recent quarter, they suck. Apple doesn't look at their daily financials.
I'm sure this investigation will turn up what REALLY happened that Apple and the public didn't know about.
