Hi Lothar, It probably says something about my lack of imagination to hold onto a stock so long! I guess the money could have been more productively utilized for the last 7-8 years of BioTech Kodiak Bear market, but heck, Somebody had to keep some inventory in these stocks! I guess it was my calling!
Now that we've polished up the BioTech image a bit, I've been happy to share my inventory with others who are now interested. You must have had nearly a 10X run if you sold at $30. Congratulations!
I keep a portion of my portfolio in a variety of sectors that are of interest to me and which I feel have great long term potential. BioTech is one of those areas. I felt I wanted long term exposure in this sector even if it wasn't Wall Street's "Darling." Not all of them are the lead sectors all the time. Since I can't guess which one's going to be next, I just content myself to know that one or another will float to the top in its own time. GENE's now at the top! It's now the single largest holding in my portfolio - AND has the single largest Cash Reserve of all of my stocks.
I look at it like farming. I plant and I harvest. Recently I've been harvesting quite a bit with GENE. :-) My hope is that the growing season will last a bit longer. GENE was a bit slow to sprout compared to others in the Human Genome studies area, but its coming on strong. Also, its business model has been successful for a very long time. It's one of the oldest biotech stocks there is. However, until recently it's received almost no respect for its steady, solid work. Just not glamorous enough, I guess.
If anything, maybe its long term "quality" performance will limit its downside risk a bit compared to others if all the lemmings leap at once. Is $100/share possible? Yes, I think so if the "environment" meaning the market place, remains healthy. Could it retrace its steps all the way to single digits? If I look at the volume of shares traded in the last two months, I'd have to say yes. Lots of new hands holding this stock that might not be as tight with their grip as in the past.
Best regards, Tom |
