Hi Dave - I hope so too, but it is guarded optimism. VARL is in a good sector, and her top line has spoken loud and clear. Normally, the PR today can be quickly written off [probably with a mild negative.] Unfortunately, we are dealing with 1) a nervous market; 2) the possibility that the small cap rally is over for the time being; and 3) VARL mgt seems not willing to do what it takes to allay investor's concerns. Together, they can be powerful depressant.
Personally, I think we have solid support at the 12ish level, but to many of us who bought from the higher base of 18 - 25, not to mention the growth prospectors who were in at the 30s, it can be gut wrenching.
VARL still has a strong position in her respective market, but hungry companies like SAWS can really cause a lot of trouble down the road. Not to mention the big boys "pass pass" has theorized. So, if she cannot shape up quickly, and continue her complacent path, she may miss this window of oppty.
best, Bosco |
