My take on ALGT is different.
What it really boils down to though is how much money did you actually make? If someone runs a concentrated portfolio, then to buy ALGT, they had better have strong confidence in their analyses. Mr. Eriksen apparently does in his; I'm too cautious with mine.
I'm not sure how much ALGT he bought back then, but with position sizes like this, it would be a lot more that I would bet on ALGT:
marketocracy.com
I entered ALGT in '08, sold, and reentered in '09, and have added more shares in '10 as I've posted here.
ALGT doesn't operate with the same business model as other airlines. '08 article here:
businessweek.com
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"...it is relatively small but has enough liquidity for the small investors to get in and out, but not enough for the big Wall Street firms to care about."
I'm too cynical to believe this about size and liquidity. I believe Wall Street guys are craven and crass and would at least consider selling their mother for another 10% gain in their stock portfolios. And thorough...leave no stone unturned. If they can figure that a small cap will do well, one way or another they will be in there playing it. And that's just the big firms. The small and medium size are in there too, looking at every stock. Jmo.
Don't know ALGT stockholders in '07-'08 when the article was written, but now in '10, there certainly are several big WS firms involved with ALGT:
finance.yahoo.com |
