First things first, thanks for the compliment. Rest assured this isn't going to my head, either, my paper loss looks awfully bad now. Keep in mind that I keep TMF mentality of never averaging down, becuase if a stock has gone down materially due to no news, then there is something behined the down fall and once news comes out, the stock goes down further. Keep in mind that I bought the stock during a momentum run, I could have sold at a 30% gain two days after I bought it, however, to be an investor, one has to think long term. My holding period for this stock is 3 to 5 years.
My view of the company:
Investors are shying away from small caps no matter what the talking heads on tv are saying, i.e, "it's the small caps turn." Many foreign investors are putting their money in big, multi-national companies, where their money is safe. Couple this with the Asian crisis and you have a recipe for disaster. Look, whether ORFR's business is only 10% is irrelevant. When a big chunk of American and European countries are relying on Asia to grow thier business and that region collapses, then the overall general market is in trouble. And as if this is not enough, it seems that this industry is out of favor right now, look at LOR chart. All the money is going to the DELL's, CSCO, AOL, YHOO.
As to the HP thingie, I don't know if you remember this, but, I brought this up on this thread and Yahoo last time HP reported earnings. Remember when HP reached an all time high of $80 and that same day issued disappointing earnings and the stock collapsed subseqently? Well, someone on Yahoo! gave a through explination of the difference between ORFR's business and HP's. Can't recall which one it was, however, it was right after I first posted and got flamed away.
So there is a source for additional info. |
