I am not much of a chartist, it is great for short term trading but things can change on a dime with a single announcement, so even though I occasionally time my investments based upon trends I usually invest in value companies. Of course, my timing sucks sometimes and I end up not investing in a great company. So why am I writing and why now when chartist see the downside to be another 10%?
Well I am off to see my mom who is 94 and not doing so well, so I have no idea whether or not I will be doing much investing but I see UNIS with a 10% downside and a 300% upside. IMHO not bad odds. I do admit that there is a very small chance that UNIS goes bankrupt but based upon the 10Q they seem to think they will survive the next 12 months with current cash and future sales/upfront payments.
Since I see this to be a second half story, I remain convinced that success is around the corner. Why would they be burning money by building capacity if there wasn't a need, which leads me to be believe that either Shortall and associates have lost their minds or something is about to explode.
Given these facts I am unable to understand the dramatic drop in price. I am guessing this is based upon the 10+ years of history of waiting and hoping but as I am a relatively new investor I have seen much success in signing some great contracts, albeit at a very slow growth rate given the development cycle is longer than most of us would like. However some of these contracts are coming to roost and I remain convinced that this is one of the best investments for the long term. So in the last 3 days I added an additional 25,000 US shares which will make be either a shrewd investor or a very stupid one. Right now I am in the latter category as I am about 30K in the hole.
if you don't see me during the next couple of weeks, so will know why but you also know that I am an infrequent writer.
Good Luck and happy investing.
UNS Price at posting:
56.5¢ Sentiment: Buy Disclosure: Held
