Which brokers have the best "buying power?"
- Thread starter max401
- Start date
Maybe trader88. That makes sense
Lobster, I didn't trade that, but looked. It didn't really bottom in a way that I like. I really got clocked and then some on PKS this week. I had almost 70k shares of it at one point. Thank god I stopped out at 5. Anyway, I didn't really feel up to trading much on friday after that. I'm leaving for 2 weeks also and won't be back til the first week in september, so i'm looking to exit most of my open positions and not add too many new ones. I will redo PKS at some point though. I think that it's probably good for a move to at least 6 at some point, and probably 7.
"BTW, how come you are so confident in THV? Why only this one stock? Doesn't it worry you a bit that they could burn down over night or have a killer virus outbreak or something? I agree it might be a good trade, but to put all your life savings in it as if it were a savings bond, that suggests you know something we don't." By Lobster
I agree, it's risky to put a large portion of your account into one stock. I just think that it's almost a sure thing. I quite honestly expect the stock to move to the mid teens within five years. Just look at how much stock the insiders have bought in the last year. It is quite hard to find another company where the insiders have bought almost 10% of the company in the last year. The turnaround is still progressing ahead of schedule. As long as they continue to pay down debt and increase earnings, I will continue to buy.
The downside is minimal when you think about it. My cost basis is about a dollar a share. I really doubt it ever goes under 75c a share. It's like a free 25c call option on a company that I think will one day revolutionize the home remodelling industry. Please do your own DD on the company though. Ask me any questions on it that you would like. I have researched it quite a bit.....
Lobster, I didn't trade that, but looked. It didn't really bottom in a way that I like. I really got clocked and then some on PKS this week. I had almost 70k shares of it at one point. Thank god I stopped out at 5. Anyway, I didn't really feel up to trading much on friday after that. I'm leaving for 2 weeks also and won't be back til the first week in september, so i'm looking to exit most of my open positions and not add too many new ones. I will redo PKS at some point though. I think that it's probably good for a move to at least 6 at some point, and probably 7.
"BTW, how come you are so confident in THV? Why only this one stock? Doesn't it worry you a bit that they could burn down over night or have a killer virus outbreak or something? I agree it might be a good trade, but to put all your life savings in it as if it were a savings bond, that suggests you know something we don't." By Lobster
I agree, it's risky to put a large portion of your account into one stock. I just think that it's almost a sure thing. I quite honestly expect the stock to move to the mid teens within five years. Just look at how much stock the insiders have bought in the last year. It is quite hard to find another company where the insiders have bought almost 10% of the company in the last year. The turnaround is still progressing ahead of schedule. As long as they continue to pay down debt and increase earnings, I will continue to buy.
The downside is minimal when you think about it. My cost basis is about a dollar a share. I really doubt it ever goes under 75c a share. It's like a free 25c call option on a company that I think will one day revolutionize the home remodelling industry. Please do your own DD on the company though. Ask me any questions on it that you would like. I have researched it quite a bit.....
The downside on a terminal stock is definately zero. Stocks have residual values that they rarely penetrate though (as long as they're a going concern). Residual values are things like cash on hand, a certain % of book asset value, PE ratio, etc. On THV, the PE ratio is the residual value. Using my estimates for this year (PE of 15-30c) The residual value is the PE. I think that the odds of the PE dropping below (PE)5 (75c on the lowest of my estimates) is incredibly unlikely. Based on my 2003 estimates, (30-45c) a price of 70c is about a PE of 2. I just don't forsee a possible way of that occuring. I am honestly shocked that the company which is growing it's cash flow at 30% a year is trading with a pe that is so low now. You only find such undiscovered gems in the AMEX because that's where 8m market cap (microcaps) exist. That's why I think that the downside is under 20c from here. The upside is unlimited. (this is of course assuming that my estimates are accurate, and I admit that is a large IF). Please take note that I'm talking my position, and it's a very large position. If you want to see my calculations, please ask.
Babak, nitro brought me onto it.... lol. It was the dance. I was seduced.....LOL Nitro isn't just a client... he's an owner... lol.
In all honesty, I regularly do scans for stocks with heavy insider action. I think it's a great indicator for future performance. Who knows better than the insiders. I follow up on every single form 4 filed with the sec each day (sometimes there are hundreds of them). I usually get 2-3 good candidates per month that I follow up on. Out of them, maybe 1 is good enough for further revue each month. THV was one of those. I am lucky that I found it, and when I did. I don't think I'd be able to build a 6-figure position in it now. I also get "pitched" ideas now by a variety of people. Many of these stocks are ideas of people who also hold THV. They have many of the same characteristics as THV and much of the same potential. The people who came upon THV usually have come upon many other truely extraordinary micro cap stocks. It takes a lot of research to find these b/c the media never picks up on them. The upside rewards make it worth it though.
In all honesty, I regularly do scans for stocks with heavy insider action. I think it's a great indicator for future performance. Who knows better than the insiders. I follow up on every single form 4 filed with the sec each day (sometimes there are hundreds of them). I usually get 2-3 good candidates per month that I follow up on. Out of them, maybe 1 is good enough for further revue each month. THV was one of those. I am lucky that I found it, and when I did. I don't think I'd be able to build a 6-figure position in it now. I also get "pitched" ideas now by a variety of people. Many of these stocks are ideas of people who also hold THV. They have many of the same characteristics as THV and much of the same potential. The people who came upon THV usually have come upon many other truely extraordinary micro cap stocks. It takes a lot of research to find these b/c the media never picks up on them. The upside rewards make it worth it though.