There are too many instances where I dismiss opportunities because the state of the company is horrible. But do you ask yourself whether the current price justifies the situation of the company?
Risk by definition is the potential for permanent loss of capital. Therefore, the price you pay will make up a great amount of that risk.
For some strange reason, once I’ve bought and sold a stock, I find it difficult to buy back in. It’s like I dust my hands and take the stock off my mental list. But I do maintain a list of stocks I previously owned that I wouldn’t mind owning again. Since I already know about the company, catching up on research is very easy, and the point is that old ideas can very easily become new ones.
Not much chance to buy at current prices. Although AAPL continues to redefine and lead the consumer tech age, I don’t follow the GARP (Growth at a Reasonable Price) strategy.
Retail remains tough and the company still has a long way to go. From personal observations, it looks like the company's willingness to follow the fashion trend is on the slow side. Its 20-30’s concept brand Martin+Osa failed.
Not ATW directed, but I made a dumb mistake by not buying Transocean (NYSE:RIG) (as well as BP). Other ideas worth watching in the oil drilling industry is Ensco (NYSE:ESV) and Seahawk Drilling (NASDAQ:HAWK).
I bought ELST then realized I paid a little too much. My initial calculations were incorrect, but if itdrops to $0.35 it's a buy for me. The low volume just makes it so difficult to get in and out.
My first spin-off purchase before I even knew what a spin-off was. The small niche it operates in makes it difficult to expand and garner growth. Trading around intrinsic value.
I have to admit a mistake here. I got scared out of buying again by the big drops. Recently dropped back to attractive levels but wasn’t able to pull the trigger. I have a lot to learn myself. Still able to generate plenty of FCF. Debt is always an issue but ETM has been one of the better ones in handling its debt load. The CEO of EMMS, the recent failed going private play, cites that the radio business is improving and he is seeing increased business in the industry.
For a company of its size, EVI is very profitable but the problem is that I see no catalyst. I don’t believe the CEO to be shareholder friendly and EVI isn’t in an industry with the opportunity to be bought out.
KSWS hasn’t been able to recover as much from its lows. Concepts in Free Running didn’t pick things up as expected and the company bases sales off a few key customers who have reduced orders, making it tough for the company to pick up sales. Financial health is excellent though and management is shareholder friendly but don’t expect the stock to do much for an extra year or so.
Company has been able to expand its distribution channel resulting in increased revenue but the current price does not offer an adequate margin of safety. I would like to see NTRI below $15 before revisting the company.
Price is below $1 again from $5. This stock got hurt badly. Held on far too long and a big reason for the under performance this year. It is tempting to see it at such a cheap price again, but the looming debt makes it risky. Unless it drops to the 50c range, risk is far too high despite the reward. Focusing on risk here rather than reward.
Machinery equipment and cutlery don’t mix, but SVT has been doing a good job of providing both. Strong balance sheet and a majority of sales coming from government contracts. No analyst coverage and tiny volume make it difficult to buy. However, price drops of 15% over a 1000 shares make the entry point possible at a cheap price. Looking for an entry point of around mid to low $8’s.
The sad thing is that the company hasn’t met my expectations of a turnaround. Its latest quarter was an improvement over the last comparable period, but the company is comparing itself to its worst year.