That is the fun part of trading, the guessing game.  Unless you...

That is the fun part of trading, the guessing game.  Unless you are big enough to be a market maker, trading is very much like gambling.  Before they roll the dice, you won't know what the outcome will be.

Every company, big or small, has good years and bad years.  Companies are run by people and people make mistakes.  As long as the mistake is not fatal, it will bounce back.  Look at the banks today and take a look again in 5 years time.  

Here we are talking about a supplier to a very defensive industry, health and age care.  People get old and sick in bull markets and bear markets (arguably more people may need medical or even funeral services in a bear market).  If PGC can identify issues early on and take action to chop off the under performing bits before they grow into a cancer, the short term suffering will be rewarded with long term benefits.  For a fast growing company that buys businesses like there is no tomorrow, there will be a time of consolidation, which probably is now.

If you believe in the company, don't worry about short term set backs, just let it ride.  If you don't believe in the company any longer, then chop it off and move on before it rides itself into the sunset.  Look at the charts of any company, there are always peaks and troughs.  When you look at the dips, you would think 'I wish I had bought at that price'.

Years ago, I bought CSL at $16 and sold at $36.  I thought I have done the trade of the century and bought myself a new car.  Even longer ago, I bought Westpac at $5 and sold at $2.80, fearing it would go down the drain.  If only I had held just these two shares, I would now be riding into the sunset, with a couple of super models (well, at least a couple of porn stars).