Forum Replies Created
-
AuthorPosts
-
The positive catalysts have been coming for a while (despite the odd offering at below market price). It’s hard to point to one in particular that initiated the recent run up. However, the stock has appreciated considerably in 2023.
To me this follows the shift in market sentiment and suggests that investors are taking note of smaller companies with stronger fundamentals as price trends in the overall market look more and more bullish.
Most subscribers should have seen their shares double on the recent spike!
The only points DYNT did not receive in its most recent quarterly results were for quarterly sales growth ($9.2 million vs. $10.3 million yoy) and long-term earnings trend. Despite the stock’s performance, the company had a decent quarter.
BIG HOWEVER, it is not profitable on a trailing twelve month basis and therefore cannot be considered a BUY per Bowser guidelines.
in reply to: Investing and a downward market #17896These are both great responses, and there is no one correct answer. Ultimately, it’s up to you as an investor and what your risk tolerance is. These couple of things that you can do to protect yourself are (1) diversify, (2) be stingy with your entries (as George mentions: pick a price at which you want to buy a stock and stick to it) and (3) stick to your investment strategy (the Bowser Game Plan if you choose to follow that).
On the second point, we always publish an ideal entry price in the newsletter if you aren’t comfortable reading charts and financial statements to determine your own.
When stocks are down it’s time to seek opportunities and buy at attractive prices, not exit the market.
Sean, per an SEC filing, the company received an offer to be taken private Avis Industrial at a price of $1.74 per share. It appears that the deal is agreed to by IBAL although no potential close date was disclosed in the filing. Full filing here: https://www.sec.gov/Archives/edgar/data/781902/000110465922047614/tm2212632-3_sc13e3.htm
in reply to: Dover Motorsports #17439Well done, Lee! The new Database hopefully makes it easier to find winners by only including the top rated stocks. From that point, it’s up to you to find those that suit your style and conduct a little additional research to ensure the viability of the investment.
I’m glad to hear it worked for you!!
Lee,
One the positive side: The case for CLRO as a value play remains essentially the same as when we recommended it. The company is trading at a deep discount to book value.
The lawsuit ruling is also a positive for the company, which could result in both damages and boosted sales. For now, though, those outcomes both remain speculations.
On the negative side: The company did report financials yesterday, and the income statement was disappointing as demand has dropped. The company’s Bowser Rating will be updated in the November 2021 Database (which comes out at the end of the month) and also in the December 2021 newsletter. It will certainly drop since sales and earnings were both down.
In addition, the company issued a small offering recently, which has diluted shares since our recommendation.
All in all, despite value still being present because of the company’s strong balance sheet, uncertainty surrounding the company’s growth/litigation damages are keeping the share price down and still present risks to share value.
in reply to: MACE stock of the month. #17411James,
I’m very sorry to hear that. I’ll echo Kirk’s commentary by saying that the Bowser Ratings System is focused on a company’s fundamentals. The stock market, especially when it comes to small stocks, is notoriously inefficient. This means that a company can be delivering value, but the market price does not reflect it. Our system has shown that over time, the market will wake up to these inefficiencies and deliver good returns for subscribers.
As far as investing at the highs, there are a few ways to avoid this, which we described in the July 2021 newsletter (Better Entry Points). The methods described are VERY simplified but VERY effective methods of technical analysis to limit downside risk by avoiding chasing a stock that’s running up.
The other way to limit risk is to ensure that you are well-diversified. It can take time to build a portfolio, but striving for 12 to 18 holdings is a great way to limit downside. Companies like KTEL will more than make up for losses in companies like MACE.
Finally, I’d recommend the May 2021 article on How to Buy the Dip. This will keep you from averaging down into a losing stock (further limiting your risk).
in reply to: Price too high #17333Hey Paul – we prioritize fundamentals using the Bowser Game Plan. In the past year alone we’ve actually recommended a few picks under $1 (MACE, PRKA, KTEL). There are a few others like BABB and BUKS that are still under $1. Only BABB offers a dividend, qualifying for the fixed income category.
By prioritizing fundamentals, we mitigate risk. Of the tickers you listed only BBBT is current with the SEC, but it doesn’t have a sufficient Bowser Rating to be considered for Company of the Month (nor is it profitable on a ttm basis).
in reply to: Opinions on stock market crashing. #16897James, I’ll second KirkZ’s comment. Watching gains evaporate can be psychologically demanding. However, the Bowser Game Plan has lasted many crashes with plan followers benefitting each time. If you have cash on the sidelines, I’d recommend checking out our post on buying the dip (https://thebowserreport.com/blog/buying-the-dip/).
Otherwise, it’s best to hang tight!
in reply to: Regarding Rising Price of Stock of the Month #16866Robert, this is great insight. Because of the amount of speculation in the market, any buying pressure leads to a sharp increase in low float stocks (like Bowser recommendations).
We’ve long recommended being patient with entries (e.g. not buying the Monday after the newsletter publishes) and intend to publish some commentary on how to avoid chasing the stock up upon recommendation soon to help subscribers with better entries.
in reply to: CLNE,FSI,CPSH,FPAY #16548Robert – thanks for the update! We’ve been following energy stocks (CLNE and ENG) closely as they’ve been hot recently. CPSH we mentioned in the monthly newsletter as catching fire.
in reply to: Buy This Months WLMS Stock at over $3.00?? #16547Paul – this one is a bit tricky, and something that’s happened with the past few Companies of the Month. It’s okay to break the $3 rule pay a little more as long as you stick to your original allocation (i.e. equal shares or equal dollar amount).
Personally, I try to be patient and wait for a pullback under $3. The downside of this is exactly what happened with FLNT and OSS where they continued gaining. However, because I stuck with my original plan, I’m okay not chasing and will continue to wait. More will come along if those don’t present another buying opportunity!
Spot on, Mike!
Paul – let me know if you need further clarification, but Mike’s explanation was the exact explanation I would’ve given.
-
AuthorPosts
