Roxieanne

Cheap Stocks Aren't Always Bargains - Barron's

Better to buy a stock that will increase in value at 50 cents than to buy a $50.00 stock that has peaked.

Having been through several major corrections, I find that one buys when nobody wants them----many of these under $5.00 stocks are just that.

While people ultimately lost $ in MCI-Worldcom when it crashed as MCI from $12.00 to about $1.00 a share----it was a buy------in the 1970's. Anybody who read Popular Science and had the guts to buy did well-----as Popular Science was where the technical info was about the telephone monopoly that was about to be broken up.

In addition to saying that cheap stocks are not always bargains as the author writes--------higher priced stocks may be overpriced and also not bargains.

Exercise your due diligence-----