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Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: Steve168 who wrote (18872)	3/13/2004 9:53:10 PM
From: Gulo	Read Replies (1) \| Respond to of 79164

FWIW, IMO you should sell when you think the price is fair or high on a value basis. There really is no way to know how far a stock will run on momentum alone, so it's impossible to give rules of thumb based on how far a stock has run. I have left a lot of money on the table with this advice, but I don't lose very much very often. -g

To: Steve168 who wrote (18872)	3/15/2004 3:39:33 PM
From: Area51	Read Replies (5) \| Respond to of 79164

Steve, This may be a partial answer to your question: finance.messages.yahoo.com I would like to be able to buy it under $20, but if the market is as smart as jeff then I probably won't get that chance. BTW I found your model timing calls to be useful. What does it say now?

To: Steve168 who wrote (18872)	3/16/2004 11:49:44 PM
From: jeffbas	Read Replies (1) \| Respond to of 79164

Steve, I am still in FARO, although I sold a bit at higher prices. My guide as to what to do is whether I have strong reasons to believe the company has durable competitive advantage AND is growing fast enough to eventually justify a much higher price. I am cautious on the stock because of the strong downside momentum and the lousy market, and consider it a buy under $20 and a sell over $30 for the time being. However, I think the worst they will do over the next 5 years is grow sales at perhaps 25% a year and earnings a lot faster, because of leverage.