STANS AND UCORE
20-Dec-2011In the last six months we have learned that despite excellent fundamentals, stocks will often take a hit due to market sentiment. The news coming out of Stans Energy and Ucore is nothing short of fantastic and yet the market has decided it will drive the stocks down to new lows. Although I am "all in" now on both of these stocks I am buying again as I cannot believe the bargain basement prices currently on offer. This also has the advantage that it reduces the average purchase price for my holdings and if I am right and the stocks go vertical in 2012 I will go into profit much sooner. Both of these companies are cash rich and have enough money to complete their 2012 targets without any help from the markets. I remain very bullish.
At some point investors will work out that even in a recession there are some things man cannot live without and those are the stocks that will recover first.
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