If the summation is:
Xoma has not exactly been a star performer in my portfolio, and I am hesitant to advise anyone of purchasing more because we never know how the stock's price will react but we can anticipate it reacting opposite of how we believe a "normal" stock would...
Then I agree with your assessment.
Unfortunately, objectivity is often not easy to achieve because everyone is subject to the vagaries of fear of losing, fear of missing out, greed, pride of opinion, and all the other excitable states that prevent rational judgement. I am not going to liquidate a winning position to purchase more Xoma; however, I find current prices are attractive and I have used some extra cash to add to my position. Keep in mind that at this point we are still dealing with a high-risk and speculative stock that I like and I believe has as much, or more, promise than any other high-risk, speculative stock. The fact that I may or may not have missed out on some profits by not buying another biotech firm vs. buying Xoma is a mute point because hindsight is always twenty-twenty and if you use it selectively, without complete, accurate data and proper study of that data, using it usually ends in knee jerk reactions, bad judgement and lost money. |
