by Travis Johnson, Stock Gumshoe | October 16, 2012 11:55 am
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And the dip is here, as we await the next quarterly earnings report. I expect it’s likely to again be a pretty weak quarter, with depressed results from the building move, and we may also hear what impact Hurricane Sandy had on the company’s facilities (their facilities are all on Long Island).
Louis Navellier got out of this one a few months ago, I expect, as it stopped being a momentum growth play … but I still do think that their growth should resume once they are back to normal operations. The question, of course, is when that will be — the sale of their building was delayed, the hurricane undoubtedly caused at least a week or so of delays to any work they would have been doing, and perhaps damage as well, and, well, we just don’t know.
I’m personally holding my shares because I’m going to wait and see how this new building plays out in a normalized business environment, but if you’re inclined to use stop losses to let the market tell you when it’s time to get out of a stock … well, the market’s trying to tell you to get out right now. It might not be right, but that’s what it’s telling you.
Nice call – it looks like someone might have caught a sneak peek at the quarterly this morning. I’m tempted to jump in here for a small position.
Thanks, I doubled down. roycrofters
They’ve got an official delay on their SEC deadline now, FYI — they got an extension due to power loss, but in announcing the extended power loss at their HQ (which will certainly also impact results next quarter, probably further delaying sales recovery) they did also clarify that they sustained no physical damage … so that’s encouraging. I’ll wait and see what they say about orders and new facility ramp-up when they do release their quarter.