This stock is looking better and better!
http://quote.yahoo.com/q?s=wcap&d=b
I first bought some on Nov 26 after hearing about it while
surfing Adam's posts to the Motley Fool boards:
http://boards.fool.com/Profile.asp?username=IFindKarma
Then on Dec 16 I found some more extremely bullish articles and
bought some more; my cost basis is currently $29.73.
Some of the better articles were:
http://boards.fool.com/Message.asp?id=1280193000292000
http://boards.fool.com/Message.asp?id=1280193000297000
http://boards.fool.com/Message.asp?id=1280193000305000
Just now I read the 160 most recent messages on the WCAP message
board on Yahoo:
http://messages.yahoo.com/?action=q&board=WCAP
where the sentiment is about the same. This isn't surprising: all
the boards are generally positive since it's much more fun to
discuss stocks you like than stocks you hate, and people have
vested interests in promoting stocks they hold. But I didn't find
any strong negative points about this stock at all. Usually if
there's something bad to be said about a stock, at least one or
two people will post it within that (fairly large) range of
messages.
One guy started a web site for WCAP info that I haven't really
looked at much yet, but it seems fairly good at a glance:
http://www.geocities.com/deanayer/
Misc other notes and things this stock has going for it (aside
from those covered in the articles cited above):
- price hasn't gone up yet mainly due to lack of news, volume
and coverage by brokerage houses, and it's just a matter of
time until they notice, when volume will increase and the
price will take off, attracting even more attention.
- business model is at least partly similar to CMGI and ICGE
(vencap funds for tech/net stocks), and both of those were up
something like 1000%-2000% last year, so they get a lot of
news and comparisons will be made between them, attracting
buyers to WCAP.
- soon all the "stocks to watch next year" reports will come out,
and WCAP seems like a likely candidate for inclusion in at
least a few of those.
- a 10- or 20-bagger seems entirely possible from here, given
that its market cap is only $158M: it seems to be in the
position CMGI and friends were in a year or two ago (though
it's no CMGI.)
The few negative people on the Yahoo board only seemed worried
that it might drop back into the mid or early twenties (currently
trading at around $30), or that it might sit where it is for up
to 3-6 months due to lack of volume. But I don't mind holding it
that long given the possible upside.
So I think I'm gonna bite the bullet and double up my WCAP
holdings again tomorrow, even though that will mean making WCAP
almost 1/3rd of my overall portfolio, which I've never done
before (I have generally not put more than 1/6th of my overall
portfolio into a single stock before.)
I guess the recent surge in my portfolio's value has given me a
newfound confidence to make more risky plays -- if this turns out
to be a mistake and WCAP loses 30% of its value quickly, I've still
made enough lately that I'll be ahead overall (I'll just be ahead
40% instead of 90% or whatever.) That would still suck, of course.
I've pretty much maxed out the cash in my trading account, so
whatever I buy in the near future will be on margin. So a major
market correction would suck, but I don't see that happening in
the very near future: general sentiment seems to be that the Fed
won't do anything nasty this week since the world will have
enough to worry about with Y2K concerns, and after Jan 1 I think
the markets will be strong for at least a couple weeks as people
realize the world didn't end. I'll probably start selling a few
things towards the end of Jan or Feb depending what happens.
--
Gerald Oskoboiny <
[email protected]>
http://impressive.net/people/gerald/