I've been an NN investor since 1993 and have been in and out a few times. This downturn is nothing but a blip in price in the long term if indeed most everyone on this thread believes NN has excellent longer term prospects.
I've been there when NN went from $80 CDN down to the $34 range. Having sold would have been a disaster but I stomached it for the longer term. Bottom Line: think bigger picture.
I can not help thinking that most of the negative sentiments about analysts' ratings motivations have been voiced primarily by the NN momentum traders. Just look at a lot of the previous postings on this thread. If you place your bets on daily ratings, you take your chances,
So I've lost a bundle too, in fact, big time.....but I do not feel very sympathetic for those who have taken risks and lost. If anyone on this thread ever thought for a moment that analysts do not have vested interests with their employers, think again. Everyone is in the market to make a buck, especially brokerage houses who love to make those fat commissions.
I sold my holdings last week at market meltdown for this very concern, that NN was subject to this volatility. After I sold I thought I was wrong and thought I lost a lot of potential profit. In retrospect, maybe I was right. But none-the-less, we as investors have got to make our own decisions, live with them, and to accept the results without blame.
IMHO, I think NN will be going a little futher south before it heads back north. I plan to buy back in when I think it is more stably priced.
BTW, I am generally not a trader. If I place my money on high risk investments, there has got to be a lot of value behind it. I think NN has it.
At this juncture though, NN wants to get into LAN networking and intends to provide end-to-end product offerings. As they have been going head-to-head with Cisco, I would like to see how their UB business development further plays out. It is much to simple to ignore it as a minor part of their current WAN business. It is significant because the UB acquisition and VIVID was intended to play a big part of their overall ATM LAN/WAN going-forward business strategy.
It's time to get more information over the next while and to collect our individual thoughts on this whole scenario before plunging in further. I'd rather do this rather than placing my money on some analyst's re-iterated "buy" recommendation.
Let's attribute my above ramblings and suggestions to direct personal experiences.
Martin |
