HCI Sold ==> 25 Winners in a row

[Massimo]

I'm getting creamed in HCI today......down 15% at the moment.

Should have sold before the earnings came out.......

Cheers!

[tiedyed1]

Billy;

Going heavy in leading industries makes perfect sense to me. Just need to know when it is time to leave too. The industrials have gotten so beaten up lately (KMT, ETN, etc) and I feel they are buys, but my buying power is not infinite either. (My doubling down on HCI yesterday now has me with 700 shares.) I do like buying stocks that have been beaten down for no good reason and that is also why I may own a variety too. My brother in law is very successful, much smarter than me, and always gives me grief for the large number of positions I maintain. It is good to have him around as he keeps on me to trim down to less positions.
The only sector I stay away from is retail. I did recognize KORS and commented on it months ago, but never took a position as the sector itself is too weak.

I have always gravitated to pharma and insurance, have owned MPEL and WYNN for a while (as I have visited Macau and was blown away), plus I have some larger positions in MA, BAC, GM, CHK and SD, with the premise that the serious pain is behind them and turn around is taking hold. (On some of these I sell puts, or with GM I bought the warrants, GM+B, as when you evaluate the time frame you leverage 2:1 via buying the warrants that go out to 2019 and with the strike price of 18.33 and the price they trade there is very little (negligent in my opinion) time premium.

I do subscribe to one pay service but have not gotten rich following them. I have been enjoying Mr. Market back from the IBD bulletin board days and have learned a lot here as well as truly enjoy the camaraderie and it is much more fun too. In my line of work (mortgage broker for >20 yrs) I do have the benefit of monitoring markets more than most too, so it is always great checking in to see what everyone here has to say. Truly appreciate it!

-Adam
Old Hippy & Mortgage Pro

[billyjoe]

tiedyed, Was just reading one traders opinion that diversification leads to mediocre results. He specifically mentioned airline stocks and the wisdom of overloading in the leading industries. I'm also in DAL and believe the airlines have many good months left in them. Then, on to other
leading industries.

-----------------billy

[tiedyed1]

tiedyed, Check out AAL. It continues to go up every day. An awesomely strong stock. I get more shares next Monday at the 60 day from merger mark of AAMRQ and LCC. Got 31 shares in last distribution. Share number determined by average price each 30 day period. Looks like at least 30 more with the 90 and 120 day distributions remaining. This should be profitable. Started out with $3000 of AAMRQ. Currently have $1562 with 3 more payouts.

----------------------billy

Hi Billy.
I entered AAL at 27 in early January. Together with DAL and SAVE comprise my airline basket of stocks I am happy to hold for now.

This recent dip in HCI seems like a no brainer to me so I am heavy HCI for now; but with the small float, and as it constantly demonstrates, should bounce back with a vengeance.
I am also checking out UVE. Another FL insurer that is expanding business.

I do tend to accept higher risk / reward potential than most I know, and do not win them all. But as long as I am patient it usually does pay off.
-Adam
Old Hippy & Mortgage Pro

[billyjoe]

tiedyed, Check out AAL. It continues to go up every day. An awesomely strong stock. I get more shares next Monday at the 60 day from merger mark of AAMRQ and LCC. Got 31 shares in last distribution. Share number determined by average price each 30 day period. Looks like at least 30 more with the 90 and 120 day distributions remaining. This should be profitable. Started out with $3000 of AAMRQ. Currently have $1562 with 3 more payouts.

----------------------billy

[tiedyed1]

....and I doubled down on total position at 39.62 today.
(I do like adding on dips but if this keeps up I may have to attend a shareholder meeting!)
-Adam

[tiedyed1]

tiedyed, I think that's a good move. After all it's an insurance company. Nothing terrible happened today that would result in such a drop. It should recover maybe as fast as it declined. I'd buy more if I had some free cash today. Fundamentals haven't changed.

----------------------billy

I agree. I am aware of the short pressure on this stock but taking the other side.
I added more today at 43.50.
Long & Strong HCI
-Adam

[billyjoe]

tiedyed, I think that's a good move. After all it's an insurance company. Nothing terrible happened today that would result in such a drop. It should recover maybe as fast as it declined. I'd buy more if I had some free cash today. Fundamentals haven't changed.

----------------------billy

[tiedyed1]

Added at 46.00 today...

[tiedyed1]

Let her run ! It doesn't know what you or I paid for it. Looking at it's chart, Mr. Market paid 41.73 on Oct.18th but on April 15th it was just 25. Heck, it could hit 100. No consolidation yet and no bad earnings reports. Earnings and sales estimates have been revised much higher for next quarter just since Mr.Market sold.

---------billy

Very true. Earnings and sales estimates have been revised much higher, and you will rarely meet a poor insurance company...lol.
With such a low PE it only makes sense to hold and thanks for your feedback. Hearing from others is always appreciated to assist my thought process and make the most logical choices.

-Adam

[billyjoe]

I hear ya Billy.

I got back in at 46 less than 2 weeks ago and now being up 15% (again) is making it very hard to push the sell order, especially with that nice alert from Zachs today it is now approaching 53!

-Adam

Let her run ! It doesn't know what you or I paid for it. Looking at it's chart, Mr. Market paid 41.73 on Oct.18th but on April 15th it was just 25. Heck, it could hit 100. No consolidation yet and no bad earnings reports. Earnings and sales estimates have been revised much higher for next quarter just since Mr.Market sold.

---------billy

[tiedyed1]

tiedyed, The only trouble with HCI is when I try to get quote it's hard to read because $$$$$ comes up.

------------------billy

I hear ya Billy.

I got back in at 46 less than 2 weeks ago and now being up 15% (again) is making it very hard to push the sell order, especially with that nice alert from Zachs today it is now approaching 53!

-Adam

[billyjoe]

Billy, we are back up at $51.50, already up 12% in 4 days.

tiedyed, The only trouble with HCI is when I try to get quote it's hard to read because $$$$$ comes up.

------------------billy

[tiedyed1]

tiedyed, I'm also looking for another 15% at least.

-----------billy

Billy, we are back up at $51.50, already up 12% in 4 days.

[billyjoe]

tiedyed, I'm also looking for another 15% at least.

-----------billy