The TELETEK bus has taken on new passengers!!!
I bought in to Teletek quite late, but I have been steadily accumulating. I think of the journey to $15 as a bus ride. Along the way, old passengers get off and new ones come aboard. At this point, I believe most of the $3 and under crowd have sold their shares for a nice profit, then replenished them on the downward drift. The $4 to $5 holders have seen the dark forces at work, and will get out the moment it hits 9 again. I'm one of them. I believe in the company's fundamentals. With a market cap of $60 million, and annual sales of $60 million (current + next 2 quarters estimate), it is selling at 1 times sales. This makes it dirt cheap. It's got no way to go but up. But along the way, the bus has to take some stops. At this point, the selling pressure is probably now limited to the $4 crowd. A nice run back to $7 will allow them to take their profits, but at the same time, the new sign of strength will be a signal for old passengers to pick up more... to get ready for the next run. I foresee the $10 barrier being broken, followed by a new consolidation period in the $8 - $9, just in time for the next earnings report, which would confirm the Teletek is on the right track. My 2 cents worth of advice, go heavy on the buy side during dips, but don't forget the fine art of cashing in on your profit. |
