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Pastimes : Home on the range where the buffalo roam

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To: pbull who wrote (11088)8/10/2003 2:25:44 PM
From: Sig  Read Replies (1) of 13815
 
<<<BDY: Never heard of it. Have no idea what they do. Best way to make money in this market, IMO, is the obscure names. Just have to get in at right price (as always).>>>
Ran across that one while trying to find what happened to BDRX or Bradley Plarmeceuticals wfich seems to have vanished completely although I thought they just moved to a different Board
. But BDY was # 4 on the list of fastest gowing stocks although it only went public a few montha ago. Formed from Kenwood Theraputics and DOAK Dematalogic who have been in business for 12 years so its not just another untested IPO.
I am no supporter of investments in big older companies for quite a variety of reasons
1. I am looking for faster appreciation rather than LT slow gains or safety
Walmart should certainly do OK, a nearly unbeatable merchandising outlet for things that cannot be sold over
the Web.
2. A big company no longer needs the support of shareholders, does not have to be "nice" to them.
Have huge staffs of lawyers to pay, ever- increasing incentives paid to Management who deserve at least a 20% increase each year even if the company loses money. Golden parachutes and silver retirement for many older workers .
Since they will probably manage to stay in business and even grow, smarter investors are buying convertible bonds in those companies with a healthy stable return Management gets paid, bond holders get paid, shareholders may get a 2% dividend and a stock price that looks like a profile of the Cascade mountain range
They are also the ones most manipulated by analysts, and if a stock goes up half of them will give it downgrade on the basis of "valuation" alone.
I exclude Dell from some of these particular defects, they have a much younger workforce, hired 5000 new people last year, therefore long time before retirement pay kicks in. A huge advantage over HPQ.

Regards
Sig
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