Open Question

Couple of hot plays for me since the start of the year are GMXR and RBA.Do you
think I should take profits David or hold on for more upside?

Asked by stransmith 1 month ago - 2 answers - 188 views
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Those both look like some nice trades, especially if you nabbed GMXR under $10
and RBA under $15. You may want to take your money off the table with GMXR. We
currently have it rated as a sell. Don’t fall victim to greed. They lost a ton
of money in Q4 08 and Q1 09. Better to take the profits rather than be exposed
to a potential roller coaster. RBA on the other hand is rated as a buy. Our
model really likes its growth factors and solvency, which is rare in our model
these days. RBA has a fairly reasonable beta at 1.11 so you could stick that one
out and if things start going south for the economy again you will most likely
have time to bail out before your lose all your gains.

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GMXR is a good spec way to trade a rebound in Nat Gas. All of the former high
flying, wild catters could be good for a trade since most of them have
corrected 70% or more off their high. Beware of holding these companies longer
term because their drilling prospects and balance sheets are not in good
condition with nat gas at this level.

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