RICK: our ace
If I had to guess which stock is most widely held by my readers - it is RICK. This is one of those stocks where you will want to hold onto it until ... The last time RICK was in trouable, price went from $9 to under $5 rather quickly. Most people didn't know what to do. We, on the other hand, advised buying more, lowering your average cost.
Some followed my advise, some did not. Those who didn't, is now kicking themselves you know where. RICK charged back up to $9 even more quickly, if you can believe that. So many people threw in the towel in the $5 range that I even used Apple (AAPL) as an example to calm people down (do you remember that? read past notes). I happened to know a guy who bought RICK in the $9 area and sold it in the $5 area (he said RICK was a piece of shXX). Emotion can play a powerful role in your life if you do not control yourself.
Did I know for sure that RICK will come back alive so quickly? Why was it down so much in the first place? When you are investing in the small cap area, many times things do not make sense. If RICK had been a large cap stock with numerous analyst looking into it, those wild moves probably would not have happened. And the truth is, I did not know for sure either. All I can tell you is that based on all available information, RICK was a buy, not a sell. If the company had been a fraud, there's nothing I can do. I just have to trust the SYSTEM. There will always be bad apples but more likely than not, the SYSTEM will take care of most of them.
I believe that most of our CEOs and managers are hard working, honest people. But I realize that there is always an exception. That's why we diversify. That's why we hold 10+ stocks in our portfolio. If you still hold only 2-3 stocks and your portfolio goes down big - don't bother calling me. You just broke the most important rule of this game. Good luck.
RICK just aquired a new club in Dallas. This outfit will add $4 million in addtional revenue as well as $1 million in EBITDA. Nice work. Eric, the CEO, is just cranking out the business plan as he said he would. When I met Eric, he looked 10 years older than he was (we are almost same age). And guess what, Eric holds over 2 million shares of RICK. Question: " Do you think he sold any when RICK was trading near $5 recently? I think not ".
Question #2: Mr. Nunan, the CEO of BTYH, and the single largest shareholder of Bad Toys: " Will he be selling his shares soon? I think not either".
Could PRZ be a fraud company (made up financials and all)?
Maybe. Could PRZ be delisted from the exchange (under $1 rule)?
Perhaps. Assuming it is not a fraud, it this a good deal at under $1?
Yes. Acetrader just added more of PRZ at $0.77 today.
Market will take a rest soon.
Don't go shopping now - wait for the 07' sale.
Some followed my advise, some did not. Those who didn't, is now kicking themselves you know where. RICK charged back up to $9 even more quickly, if you can believe that. So many people threw in the towel in the $5 range that I even used Apple (AAPL) as an example to calm people down (do you remember that? read past notes). I happened to know a guy who bought RICK in the $9 area and sold it in the $5 area (he said RICK was a piece of shXX). Emotion can play a powerful role in your life if you do not control yourself.
Did I know for sure that RICK will come back alive so quickly? Why was it down so much in the first place? When you are investing in the small cap area, many times things do not make sense. If RICK had been a large cap stock with numerous analyst looking into it, those wild moves probably would not have happened. And the truth is, I did not know for sure either. All I can tell you is that based on all available information, RICK was a buy, not a sell. If the company had been a fraud, there's nothing I can do. I just have to trust the SYSTEM. There will always be bad apples but more likely than not, the SYSTEM will take care of most of them.
I believe that most of our CEOs and managers are hard working, honest people. But I realize that there is always an exception. That's why we diversify. That's why we hold 10+ stocks in our portfolio. If you still hold only 2-3 stocks and your portfolio goes down big - don't bother calling me. You just broke the most important rule of this game. Good luck.
RICK just aquired a new club in Dallas. This outfit will add $4 million in addtional revenue as well as $1 million in EBITDA. Nice work. Eric, the CEO, is just cranking out the business plan as he said he would. When I met Eric, he looked 10 years older than he was (we are almost same age). And guess what, Eric holds over 2 million shares of RICK. Question: " Do you think he sold any when RICK was trading near $5 recently? I think not ".
Question #2: Mr. Nunan, the CEO of BTYH, and the single largest shareholder of Bad Toys: " Will he be selling his shares soon? I think not either".
Could PRZ be a fraud company (made up financials and all)?
Maybe. Could PRZ be delisted from the exchange (under $1 rule)?
Perhaps. Assuming it is not a fraud, it this a good deal at under $1?
Yes. Acetrader just added more of PRZ at $0.77 today.
Market will take a rest soon.
Don't go shopping now - wait for the 07' sale.
posted by Jaewoo | 5:30 PM
3 Comments:
Hi Jae,
So glad you are getting back to yourself. I hope nothing more that you get back to yourself.
When you are free, I would liek to hear your thoughts on CHYS.
Raj
Hi Raj,
CHYS is an instant jackpot if there is a hurricane..just buy as much as you can before the season starts in June..
Bob
Hi Jae,
Hope all is well with you. I'm guessing you are just taking plenty rest this week, which will defintely do you a lot of good!
Take care,
-Jo
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