Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Biotech / Medical : ORTC Ortec International -- Ignore unavailable to you. Want to Upgrade?

To: fut_trade who wrote (158)	6/30/1998 10:16:00 PM
From: Jake	Read Replies (1) \| Respond to of 272

ORTC has been steadily eroding since they have gotten FDA approval. Murphy had been a big fan of shorting the stock in his Overpriced Stock Letter. He was quite incredulous when they got approval. And when they did he said that the earnings would not come through. His basic tenet was that since their product did not have a shelf life the earnings would not materialize.

To: fut_trade who wrote (158)	6/30/1998 10:33:00 PM
From: Jake	Respond to of 272

The only problem with that rationale is that ORTC is not marginable. So you can't use it to protect your other holdings.

To: fut_trade who wrote (158)	7/2/1998 11:31:00 PM
From: Jake	Respond to of 272

No, I meant ORTC. To my mind it only protects a long position if you are worried about margin calls. Stocks fluctuate for many reasons. If you have done your homework you will generally be able to ride through difficult spells. On the other hand if you are on margin then you have to worry about maintaining a balance. I haven't been able to margin ORTC. Therefore, the stock stands by itself. Ultimately, it will have been a successful holding if I sell it for a profit. Since all my purchases have been in the $12 to $14 range I am ahead. However, I also bought some warrants and they are barely ahead. I am not worried though. In any case I am staying away from a margin position since I feel at this point the market can only hold steady at best and go down most likely. Inflation can't go down from here. The dollar can't go up too much farther. Most economies are in a mess (except the US). Europe is the wild card. Because of the EMU effort things can actually improve there.