Originally Posted by
Siriusowner
Say that you were lucky enough to get in at .10. I give it to you, you are up 500%-600% in 6 months... But how much did you buy at .10 ? What was the risk ? The company traded at .10 before any BK issue was resolved... After BK it traded up to 0.25. If you got in after the BK issue got solved you are only 100%-125% up (you are beating the market yes, but other people got rich in the mean time).
Say you bought, 100K shares at .10. That is $10,000. You know have $57,000. Pretty good uh ? But tell me, what would have happened to the $10K if Siri had declared BK ? Ok it didn't and now you are sitting on $47K gains.... And it will probably grow to say $100K in 6 more months. Not bad uh ? But let me ask you this, how many of you bought $10K of shares at .10 and held on until today ? 1 person ? Most of the people her bought at $6, $7, $4 and have been averaging down... Meaning taking more risk !!!
Anyway, the issue is too risky for a buy and hold strategy and is worthless as an investment because it does not pay a dividend. For trading, it does offer some opportunities from time to time but you have to have deep pockets and be willing to risk large amounts of money.
That is why I bash... not the stock, its investors... or should I plainly say GAMBLERS ?