Most people seem to feel that once they are in a particular stock they are committed to defend it no matter what.
Saul,
You seem to be saying that those of us that are still long BOFI are doing so for some irrational, emotional reason.
We invest in stocks because we believe that the potential reward outweighs the potential risk.
This can change if the fundamentals of the business change and we then need to re-evaluate.
Many of us here have looked at the case put forward by the shorts and decided that it is essentially mud-slinging designed to spread fear uncertainty and doubt. The fundamental revenue drivers of BOFI’s business have actually strengthened and, from our point of view, that makes BOFI more compelling on a risk reward basis with regard to the current price point.
I can’t speak for others, but I would be surprised if any of the contributors on this board are still in BOFI because they feel ‘compelled to defend it no matter what’.
You could argue that the weakness in Skyworks was due to a more credible, fundamental threat to the business - a downturn in cell phone sales that will have a real impact on revenues.
As it happens I place more faith in management’s guidance than I do in analyst channel checks.
But I would ask you to respect that if someone disagrees with you about the outlook for a particular stock it is not because they have some emotional, irrational reason, but because in their intelligent, and thoughtful assessment they have reached a different conclusion to you.
Ian