Hi lady g,
Those of us invested in the patch sure have been handed a lot of joy lately. We've also been handed a few enigmas, that if analyzed correctly, could be the difference between dead money/low-no returns and high profits/home runs.
A good case for us to use is the VRC/FGI divergence but the one I have been using lately, since I own both companies, is the UTI/FLC divergence. In December, UTI and FLC were basically trading at the same level more or less. Today, UTI is 3 points higher and returned about 33% more on investments made at that time. FLC is a much larger company then UTI and has a slightly different focus. While the early lead in stock price has gone to UTI, my greatest concern is where will these companies be trading in 6 months, a year, and so on.
I have been considering selling one and using the money to buy the other. The size of FLC leads me to believe that over the long haul, they will be the better performer although their task is greater then UTI's and carries a greater risk, IMO. The fact that FLC has been lagging behind UTI also makes this shift seem like a good idea.
I'm wondering if any FGI holders out there have considered doing the same and trading in their FGI for VRC lately?
Anyone have similar thoughts they care to share?
Best regards,
Michael...PS, I still am amazed at oil prices! $18.90 last I looked. $19/bbl. WOW. At the beginning of the year I was thinking how nice it would be to see $16.50/bbl during 99. $19 in May!!! Double WOW. |
