David: FIT. Arrgh. A hard selling decision. I try to buy 'em undervalued and hold 'em until fair value is reached. And my opinion is that this stock's fair value ought to be at least at or above the net-net figure - 18.5, which is higher than today's 14.8-14.9 selling price. So I figure I "should" hold the stock for another year or so to see if it can get there. OTOH, as you point out, the company's future is iffy (as one expects with net-nets), and there would seem to be better opportunities elsewhere - especially as the market is in a downdraft now. Plus, if we sell we'll lock in our roughly 50% gain (imo, the Graham net-net bogey). (I'm in since 12/14/99 at 10 1/8.)
Given the market in the past few trading days, my greed/fear outlook has moved to the fear side. I can rationalize a sell by telling myself I'm freeing up cash for what I want to believe are even better bargains.
This is usually a mistake, but emotions rule.
So, in spite of my opinion that this stock is still undervalued, I will now try to sell (around 14.90) and move on.
jmo, and I've been wrong many, many, times.
Paul from Irondequoit. |
