maxopedia

apparently there's some good commentary on CNBC (video) regarding our old friend SVN
Larry Forster has this to say about the video:

...George Putnam discusses the selling pressure on SVN. He says due to year end results that there is increased selling pressure and the stock is undervalued and will have a bounce in Jan. This bounce has now started because different holders window dress or take loses [sic] depending when [sic] their year end [sic] dates.

I think those [sic] things are pretty irritating, don't you? They really interrupt the rhythm of a sentence. Its usage is more or less subjective.

As I've said before, by this point, if I had put real money into this stock at the buying window I originally discussed (at about 1.05-1.12) I would have pulled all of my original money out of the stock by now which has been sitting at $2.31 over this holiday weekend.

Lets say I bought 1905 shares of SVN for $2000.25 at 1.05 a share. We will assume a $10 discount broker transaction cost. The following numbers are estimations of what I would have done with real money based on how I acted in my Investopedia simulation.

I would have made two sells on the way up. One at a $1.50 a share, which was my original price target, and the other at $2.05 a share - somewhat over my second target price, which was $2. I would likely have sold about 500 shares at $1.50, so I would have walked away with $750 for the sale. I would have then sold some point the stock reach greater than $2 to get the rest of my money back. Lets say $2.05 a share. Getting back my cash would take about 610 shares leaving me with $1250.50. So at this point, I have essentially made my money back, less the cost of three $10 transactions; $1970.50. Notice how the broker gets paid no matter what happens with your stock.

Of the original 1905 shares, there are 795 left. I would likely sit on this position for a very, very long time. I would only sell down to about 500 shares if the stock reaches a very high level compared to my purchase price, such as over $10. It would just about be a ten-bagger by then.

One problem with this fairy tale I have here is that the tax man comes knocking. I won't even get into that one right about now.