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Biotech / Medical : VCA Antech Inc.
WOOF 3.180+0.3%Nov 3 3:59 PM EST

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To: tony truong who wrote (20)10/8/1997 5:51:00 PM
From: FIFO_kid2   of 70
 
It looks like the mid 17s is new resistance. LT I believe VCAI will conservatively trade on a slope similar to the mid 1994 to early 1996 period where VCAI gained 100% in a 18 month period. So VCAI should trade conservatively at $25 twelve months from now barring any major negative fundamental news or market correction. Unfortunately, VCAI should trade in this anticpated envelope. We can only hope that VCAI gets caught in a momentum frenzy much like in the period from early to mid 1996. Then we will double the price in a period of 6 months. A strategy by writing covered calls especially when the premiums begin to expand seems sound. I really doubt that VCAI can maintain a 200% annual return slope for a period of more than six months. Given VCAI's position in this market and if they maintain their current growth in their market niche without new competition(a scenario that is extremely rare but is especially promising here); we possibly can see a stock that will grow at a compounded annual growth in excess of 40% over a period of a decade or more.
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