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KENDL: 6 Weeks to 23%

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One of my favorite approaches is bargain bin hunting. Everyday I look at stocks that are getting pummeled and review them to see which are getting beat up for good reason and which are just victims of mob mentality. On 4/21 I picked up KENDL at 10.57. I expected it to go up by 50% within a few months. When it leaped up to the 13.50 range today, I set a sell at 13.76, slightly above the analysts 1 year target.

Lesson learned from Cramer: Don’t be greedy. I’m not rich enough to ride it down as he correctly recommends, but, hey, who is going to complain at 23% in 6 weeks?

Basically, my theroy is that most stocks that go up fast are going to come down fast. Hopefully not all the way, but I want to sell near the peak, like catching a good wave on Boogie Board. If I still like the stock, I set a price to buy back in.


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