You are not tracking bobsadvice.
| Symbol | Sector | Return | Exposure | Trades | Last Trade | Status |
|---|---|---|---|---|---|---|
| KCI | Medical Equipment | -0.22% | n/a | 5 | 10-Dec-07 | Prior Holding |
10-Dec-07
Selling the remaining KCI shares
Holding Rationale for KCI.
I have learned from my KCI trade--that is NOT to be trading a stock that is part of my "Trading Portfolio". O.K. that sounds confusing, but what I mean is that I have my portfolio which I have been managing in a rather disciplined fashion and then occasionally I have been trying to do short-term trades. And IF that stock is also in the account, well the basis gets fouled up unless you are careful---and of course I wasn't. So with 'first in, first out' accounting. Well, my stock has now hit a sale point with the basis being reset as part of the 'trade'. In any case, I sold my shares.
This is from my blog:
http://bobsadviceforstocks.tripod.com/bobsadviceforstocks/index.blog?entry_id=1771127
Monday, 10 December 2007
Kinetic Concepts (KCI) "Trading Transparency"
Hello Friends! Thanks so much for stopping by and visiting my blog, Stock Picks Bob's Advice! As always, please remember that I am an amateur investor, so please remember to consult with your professional investment advisers prior to making any investment decisions based on information on this website.
A few moments ago I sold my 140 shares of Kinetic Concepts (KCI) at $53.21. Because of a 'trade' in my account, these shares are carried with a purchase dat of 10/23/07 and a cost basis of $58.05. Thus, with the stock trading at $53.21, this represented a loss of $(4.84) or (8.3)% since the recorded purchase. The 8% level is my loss limit for stocks after an initial purchase.
With the stock declining to this level, I sold my shares--all of them--and shall 'sit on my hands' with the proceeds. I use these sales on 'bad news' as a signal to be cautious in my own portfolio. I shall be waiting for one of my other positions to hit a sale point on a gain to give me the 'green light' to make an addition to my portfolio.
What caused this drop? Over the short-term, there was a Barron's article this weekend about whether KCI's patents would hold up and whether thus their 'moat' would be safe.
However the latest quarter result was solid. The company beat expectations on earnings and revenue. They also went ahead and raised guidance. A glance at the Morningstar.com "5-Yr Restated" financials looks perfect. And the 'point & figure' chart on KCI from StockCharts.com shows that while the stock is under recent pressure, the price movements have been quite wide in this stock and it still appears to be above support levels.
However, since I am selling my own shares, I need to reduce my rating on this stock even though the story, except for the recent questions about patents, really appears intact.
KINETIC CONCEPTS (KCI) IS RATED A HOLD
Thanks so much for stopping by and visiting! If you have any comments or questions, please feel free to leave them on the blog or email me at bobsadviceforstocks@lycos.com.
Bob
Tagged Stocks: KCI
Posted at 08:35 in Holding Rationales | Permalink | Top
Portfolio Overview
I'm traditionally a "buy and hold" investor, especially sinc...
glenncorliss2
Undervalued Medical...
KCI provides wound services is highly rated by analysts on J...
terpn8r
The Runaways
POLITE APPLAUSE Drama. Starring Dakota Fanning and Kristen S...
zhanghui
Categories
Holding Tags
Watchlist Tags
Other Stock Tags
Archives
0 Comments on "Selling the remaining KCI shar..."
You must be logged in to post a comment.
Top