In line with the prior posting of mine,
It also does not seem uncommon for Radica to run in 25% spirts. We just
completed doing this again today and part of yesterday. The stock traded
in the 10-12 range from 8/27 to 10/8, giving it a 30d MA of $10.9625.
Adding 25% to that brings us to where we are now trading, $13.70. The
next 25% run from this point will bring us up to the magical $17.125 mark.
A number from the POW post as well as one that has been kicked around prior
to, on SI. that takes us to a PE of 22. The next move of 25% runs the stock
to $21.41 and a PE of 27.5 on 52 wk trailing (PE of 17.8 on $1.20 est).
The day pre Q3 release, the PE was 28.9.
THE QUESTION: Is this a short breather (just a fer days) then we are off
again. The long period of larger than usual consolidation in the 10-12
range suports this. Or are we likely to see some longer rest here, say approx.
2-3 million shares worth (4-6 million in NASDAQ volume). This would work out
to 160,000-240,000 shares/day over the next 25 trading days. A time frame of
about 4 weeks before Q4 reports (ment as an example).
If this is just a short breather, we find the $20 on our pre Q4 feeding
frinzy. If a longer rest on lighter volume now, $17 is more in order.
Any guesses Gary or other opinion? |
