Larry and all:
For the first time in over three years, I own no CTAL stock: sold the last of it today at 14 5/8, which has been a good selling price on several occasion over the past year or so.
Frankly, I was very disappointed at the recent news. The current earnings (.14) annualized do not justify the current stock price, by a long shot IMO. As it stands now, this is not a company growing revenue or earnings at a rate sufficient to even justify its current price much less a higher one. For better or worse, it has become a commodity company with limited capacity and little near term growth prospects. XONON may someday produce growth, but waiting on it and not putting my money to work elsewhere will cost me more than I reasonably expect that I could make when (or if) the XONON day comes.
Add in the current uncertainty of the $40 million potential GLX lost sales this year and it looks very overvalued at $14 a share.
The final two blows for me were: (1) it looks like at least 3 more years before there is anything meaningful for XONON; and (2) the ever widening gap between issued and diluted shares. Not many companies have a 20% difference between issued and diluted shares.
I wish everyone well with this stock. From my perspective, to continue to hold it would result in dead money, at best. I may consider getting back in at or below $10 a share, which is where it could go IMO.
I hope, for everyone else's sake, that I am full of it and it skyrockets to $20+. (although as I recall, almost 3 years ago, one analyst had a 3 year price target of $43 -- what an overestimate that was) Simply, though, I am tired of waiting for it to do so: my money can be put to better use elsewhere.
I have made a lot of money on CTAL over the last 3 years, but it has come from trading buys and sells and not from holding. I see nothing to expect anything different any time soon: so there is no reason, IMO, to continue to hold the stock.
Good luck to CTAL and to all who follow and hold it.
Troy |
