RavenCrazy, It's not about being late, but rather is this stock worth the money that is presently being asked for it, is it undervalued, and do you think this company is going to prosper according to the way management has handled things in the recent past and the way they are lining things up for the future. Apply those same questions to any stock that you are considering to purchase. According to management's estimates from the annual meeting, they are expecting over 45 cents per share earnings which at 20x is $9.00 valuation. I think their estimate is conservative. There is nothing that I know or can think of to warn you about the company. Everything looks ok. What I do need to warn you about is the dealers who sell the stock. Very wide spreads and they play with it alot. My suggestion would be to place a limit order on the low end and wait. There has been very little sell off after somebody took a hit at 8 3/4, which to me suggests alot of long termers in on this one. Depending on the size of the block that you want to buy, you may want to break it up into smaller blocks with 3 different limit prices, maybe one in the middle and the next 2 progressively lower by 1/4's or 1/3's or more, depending where they (dealers) are taking this stock. You might get a fill 1/8 or 1/16 above the bid and the dealers will drop the bid by 1/4 to 1/2 or more. Then place your next limit to buy a little above that bid. If they are playing with it actively that day, you may wind up playing leap frog with the bid price bringing it back up to where you last bought it.
As a final say on the company, I like the idea that they just do "licensing" instead of manufacturing or retail. Lot less overhead and better profit margins. I won't say "go take the plunge and buy all you can" and I won't say "stay away because it's been a sleeper for a couple years", but do take the time to hit Yahoo financials, Edgar filings, and make an educated decision. No one can do that for you. And that will also help you stay confident in your decision even if the dealers play with the price and you look at "unrealized losses" while you hold it waiting for the day that this goes over $20.
The only other postings I found were by searching for KIDE within the full posts on SI. That's the second option on the search for key words. Have a good week. |
