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Strategies & Market Trends : Bosco & Crossy's stock picks,talk area

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To: GARY P GROBBEL who wrote (3898)8/27/2003 10:47:42 PM
From: Crossy  Read Replies (2) of 37387
 
Gary,
others may look at earnings, for me this is not a motivation to buy in. I want some ratios I like and a nice business. I see price/sales of 0,7 in a low margin industry. That doesn't turn me on. I cannot and do not want to jump aboard all stocks - I cannot buy them all, I have to be selective.. SEGZ doesn't meet my test..

HNNS, LRDI, CREB, SPOP, CBEV all met the test - others may follow. And yes - some note of caution: I'm not the typcical microcap investor. There was a time when the only OTC's I bought were the post BK stocks : IPSU, MHCA, NTLI, MPOW ... The reasons for this is that such stocks usually have huge sales, way more than those tiny companies usually listed there..

Now there are some niches which caused my interest. Where I feel "building" is possible.. Automotive parts, generics, and most recently diet stocks are a corner where I guess scaling up in a fast way can be achieved.. Pls. understand that I do not share many OTC enthusiast' pencheant for microcaps in general. This is not what I'm looking for. Usually what I'm looking for is either meaningful sales or rapid scalability. The "profit quest" I gladly leave to others. I regularly found that increasing sales lead to above average profits in the midterm. Then those EPS oriented people become interested. But that doesn't mean that earnings power isn't attainable otherwise .. it's just that I do not want to invest into such situations.

hope this explains my general inclination and the reason I give my personal thumbs down to 80% of the OTC-picks floating around...

rgrds
CROSSY
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