Well, obviously, I was wrong about where support was on this stock. The 19$ level had held for years, on repeated downturns, but sentiment on the company got even worse, the worst it has ever been in the 5+ years I've been following the company. I bought more, at higher levels, and am currently holding several hundred LEAPs, all underwater, 02s and 03s. At the end of this year, I will probably sell for the tax loss. If the stock recovers to the 25-30 range, I'll probably also sell, although this doesn't look likely. At this point, about the only way I could get my money back, is if someone buys BSX or if they come up with a wildly successful new product. Both of those events are impossible to predict ahead of time.
The new management seems to be steadily, slowly, working on the problems the company has. The balance sheet steadily improves. At any price below 20$, the stock is pricing in near-zero growth prospects for the company. The company has a good sales team, a track record (longterm) of successful products. Sooner or later, the pipeline will produce something, and the stock will take off. I've been waiting for that to happen, and I'm still waiting. I'm 100% certain the stock will not stay at this PE indefinitely, but I have no idea on when. Hope it happens before my LEAPs expire. |
