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

To: Spekulatius who wrote (34712)	6/7/2009 7:46:00 AM
From: anializer	Read Replies (1) \| Respond to of 78748

Based on a review of all the recent news, stress test results, lawsuit settlements in Gainesville, the Morgan Keegan arbitration award etc. my inclination would be to wait a while before averaging in or taking an initial position. It happened to me before where I take a position in these low priced stocks only to watch them erode another 30% or more before finally bottoming. Don't like holding thru that and the backdrop of news not all that encouraging. I'm not sure how you came up with your numbers on tangible book post dilution, but I suppose without making alot of assumptions it pays to wait and see the new balance sheet that reflects the additional shares. Just my cursory thoughts based on a 30 minute look at it. As always my approach could be too cautious though. Ideally I like value with earnings more than value with losses but occasionally a money losing company can turn it around.