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Politics : Ask Michael Burke

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To: Knighty Tin who wrote (87)7/27/1996 4:04:00 PM
From: Michael Burry   of 132070
 
Well, a technician might argue that USRX is at a crossroads over
the next 4-5 weeks. This stock required a correction to the high
40's/low 50's to get back to it's long term uptrend. It had been
becoming awfully parabolic. Now it's down to that uptrend line,
which you can see on the weekly chart. if it moves up slowly
from here, it is re-establishing the trend at a more sane rate
of increase. I would sell into any sudden jumps or rallies
from this level if I was long but hold on more sane moves.
BUT I wonder how this company remains overvalued at a PE of 20 on
its running EPS, as you suggest? I am not a fundamentalist so I'd
appreciate your opinion.
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