Normally, that is a sound, portfolio building strategy. However, in my experience, you are in a hurry to see your money sit and ferment awhile during which time alot of things get sorted out.
Have you turned a blind eye to the steady, supposedly irrevocable tatoo of CEO selling, even at these prices?
There are a lot of hurting hopefuls on this thread, whose wallets are as empty as those tubes out here in eastern OR. Surely you aren't anxious to join them.
Whatever your reasons for putting capital to work, even in the "resting mode" in this stock, at this point, at least promise yourself you'll review your reasons and look hard at the time horizon for your plan to pay off at least every 6 weeks.
As far as I'm concerned, and I've said it before:
LVLT was basically nothing more than a construction company basically to this point in time.
The construction industry has never been a prime vehicle for making money in the equity markets.
The money was always in selling the dream of the future and in the ballyhooed announcements of this contract for future usage, etc.
Now, either the future is now and the previously announced user contracts multiply like rabbits, or this will be taken over, and your LVLT shares will turn into wall paper.
Remember,
when ANY investor sees a company trading at a discount to cash (acc'd to whose calculator btw???)...
there is a GOOD reason for it to do so.
What a ride DOWN this one has been for those fortunate to be short...and what a ride this has been for those unfortunate to NOT be short this stock. And what a view I've had from the bleachers. $130ish to $9 bucks...WHEW!!!!
All the best, but if it were me, I'd sure pick another discounted situation in another genre than the one "formerly known as {Prince] Kiewitt.
Hope you post in 6 weeks, rain or shine.
gold_tutor |
