how do you figure that anything under 105 is a bargain? that's 210 (presplit) and 420 (presplit from last spring). now this is a great stock and a great company-- i've been in and out of it a lot last year-- but i'm holding my cash a little longer. this went up 72 in one day pre split and it has only now given back that one day gain.
Badon, I'm in your corner. I had put in a limit order for 90, hoping for a "cheap high" bounce. But I think you may be right -- this could slide a bit more. This should only be a concern for market timers, however. I'd be happy with a fill at 90 for a stock that I suspect could double to another solid support level of ~180 in the next 12 months (depending, I suppose on many factors, such as continued or expanded market liquidity and a few good IPOs).
I'm reminded of a great post I read elsewhere on SI (I forget where) that pointed out that, essentially, Internet-based retail investors and traders are buying limited quantities of the I-nuts based on their perceived brand. That is, "Hey, I now have Web access and I can invest with E-Trade. What stocks should I buy? Hey, why not buy Yahoo and Amazon??" They're not using anything CLOSE to fundamental research. Just speculating and buying brands like they're buying a Sony VCR or a pair of Nike sneakers.
The interesting thing seems to be this dynamic: The more well-known the "brand" of the stock (not for any other reason, it seems), the more volatility it has. That may be why -- as crazy as the ride we've had has been -- it hasn't surpassed the insanity of a YHOO or AMZN or LCOS. I mean, ask yourself: Over the holidays, if you talked to your uncle or cousin about investing and mentioned YHOO or AMZN, they'd instantly know what you mean. Mention CMGI, and they probably nodded and quickly asked for the score of the Rose Bowl, ya know?
I think that's one of the advantages of the stock in a way...
All of above, of course, is IMHO... |
