jhg,
I know nothing of RAMBUS. I've heard of it, but I don't follow it. As it has never showed up on any of my stock filters (that I know of), I'll presume that it's either over-valued (from my perspective and my criteria) or profitless or a relatively new company.
You indicate that you're worried about risking current profits (as countered by the possibility of future additional gains). This indicates to me that you lack conviction in the stock's potential successful future, and that you may have a gut feel that the stock is about to give back some market gains.
Two Wall Street sayings come to mind.
1) Bulls make money. Bears make money. Pigs get slaughtered.
2) No one ever lost capital taking profits.
You have several possible choices. You can sell everything right now, take your profits and never look back lest you second guess your decision. You can sell some and let the rest ride. Or you can just simply do nothing and let the market decide whether your inaction was a prudent decision (or not).
Your stock has had a tremendous ride in a relatively short time frame (up over 500% in 5 weeks using your numbers). This tells me that this stock has a large number of mo-mo (momentum) players currently involved. Mo-mos are notorious for huge swings up and fast falls down (remember Iomega?). The stock won't fall until the momentum players sense that there's little to no upside left in the stock, and when they they do sense that, they leave (sell) en masse (in droves). Mo-mo stocks tend to fall very, very quickly with little to no warning. I doubt that anyone can consistently call a top in any given mo-mo, though I'm sure that many will claim that they can.
I'm no expert in this area, so I'd suggest that you ask other people for their opinions as well. A poster named The Other Analyst would be a very good choice for fundamentals commentary. Another poster named Dale Baker could give you a thumbnail assessment of RAMBUS (assuming he's already familiar with the stock). Ask around as to which posters are mo-mo players and which are fundamentals guys and ask them questions. Send them a PM if necessary.
For what it's worth, I'd be very happy with a 500% profit in 5 weeks, and I'd likely be a seller myself, but I am considerably more conservative than other folks on this thread, and remember, I'm not at all familiar with the fundamentals of this stock. And as a final caveat, remember that for advice on a stock chat board, you always get what you pay for. <g>
KJC |
