To: CH who wrote (6979 ) 5/24/1998 11:41:00 AM From: Optician1 Read Replies (1) | Respond to of 10479
This board is a testimony of how I have made substantial stock gains and answers many questions of why the typical small investor almost always loses money on individual stocks. The ingredients in my experience for making money include the following: (1) research industries that are clearly growth industries and research companies that are in their pre-institutional investor stage (2) avoid margin (3) have a 1-3 year timeline and understand item 1 means not only patience is key but so is the fact that a lot of money is needed to position the company in the growth segments (4) much research is around that correlates the speed of internal growth with the need for external funds.....a small company targeting large growth areas simply cannot internally fund thru operations cash flow the base building. For example, some years ago I bought restricted stock in a company that did a start-up with a young MIT student team for, in my hindsight, first stage video compression and multiplexing. For the intelligent 1% or less of posters on this board (my target for this note) you will know that it was based on time-delay transmission of sum and differences at the pixel level. I held onto the stock for over three years while new shares were issued, the company was criticized for share dilution, sales targets were missed, no earnings, etc. and then participated in the stock runnup from under 10 to over 50 pretty quickly...the name of the company is Picturetel and trades around 10 on NASDAQ (I sold in the 50's as it became clear, IMHO, they were a one - trick poney; even with gaining a 50%+ market share of the videoconferencing codec business their technology was too restrictive, as time-delay, sum-difference is now, IMHO, the model T). Another example afterwards was the investment in a long distance carrier who was unknown by institutions and had a gameplan to avoid direct competition with the big guys (bought the stock under 10 held for about 3years as it did nothing then sold in the 50's on a rapid ramp up in price.....it held the price and was acquired around that price). IMO, 99% of the posters on this board are in the category of the masses who will lose money on FIBR...particularly if you believe all the junk and uninformed scare tactics on this board. My target for FIBR given more stock issued is well above 20 but I may have to wait longer than all of your are capable of waiting. As I am still a buyer who only reads quality posts (and they have been summarized by others for you from time to time on this board) I have confidence as well as staying power. So all you guys who want to focus on Par as a lightning rod for your arguments, FIBR issuing more stock, old product lines not growing substantially, the cute "carrot patch" gradeschool stories, etc....well it's the U.S. and you can do just that. You are making a mistake as you are distracted and to some distracting (which may be some of you gameplans) to the importance of Credit Suisse-First Boston, Brooks Fiber, the European gigamux installations, NEC, the Net+ARM products, etc. As they say, winners are easy to determine as he/she who ends up with the money is the winner! Let the game continue and I have not qualms about taking substantial profits on the FIBR ramp-up that is in motion. Ciao for now!