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Biotech / Medical : Theragenics (TGX) on the up and up

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To: sport who wrote (1002)7/21/1998 8:17:00 PM
From: Ron Kline  Read Replies (3) of 1055
 
"The CEO is to be taken to task for allowing this company to crash the way it did.."
So you think that the CEO is going to stop a decline in a companies stock. There is nothing she can do to stop the action that happened with the company. The fact of the matter is the earnings were not bad but are slower than in past quarters. They are very similar to the way they were last year when the stock went down from the mid 20's down to something like $17. The company goes through periods when the are transitioning in bringing more units online and the growth slows from quarters before until they ramp up. Name me one company's stock that does not correct 50% sometime in their growth as a company, CSCO, AOL...just look at any high growth stock and you will find periods of decline. You should realize that investing in companies is speculative and it's not a guarantee to make money. Just look at the tech stocks this year and you will realize that people can lose 50% of their money overnight and it is not something that's unusual. Welcome to the stock market. To me the important issue is how the company manages the company over time. Is the stock a winner or is it erratic and underperform over the longer time period. Although I can't speak for the future take a look at the new Money magazine and see the ranking of the best performing stocks since 1990. THRX has gained something like 70% a year and was in the top area of the page. I'm sure if you bought then a 50% decline is a dent in comparison to how much you would have made. Bill want to comment?
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