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Technology Stocks : THQ,Inc. (THQI)

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To: Joe Casey who wrote (5786)6/5/1998 12:29:00 PM
From: Sigmund  Read Replies (1) of 14266
 
THQI is a little different situation. Most great stocks have something go wrong and this creates a dip. But usually the seeds of recovery are already there and appreciated by many followers.

With THQI it was a pretty big hit impacting 3/4 of their business or more. The seeds of recovery were there and appreciated by close followers but not by too many and these seeds were somewhat high risk.
But the company seems to have done a pretty good job of getting the recovery plan going and the fruits of this plan will be seen within 60 - 90 days.

But between then and now is sort of a limbo type situation which means that it is easy to move the price down and easy to move it up with not too much volume either way. Also many will say: "see you in 45 days" which is not a bad move.

I will keep my small long position but in 45 days I may be very eager to increase it. Perhaps I will pay a penalty for waiting that long. But I don't think so. If I do, it won't be so bad as it will just mean that the recovery is even more solid and recognized than I had thought.
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