2007 Case Study/ Stock of the Day/ Highlighted Stocks Update
It was a phenomenal year for trend traders of small and mid cap growth stocks! Of all the stocks mentioned on this blog, only 32 were covered extensively. These stocks were detailed in case studies, stock of the day analysis or highlighted in one or more daily screens.
Most covered CP stocks in 2007:
- BIDU: 31 times, 314% peak gain (debut 4/25/07 at $103.50; current price $399.67)
- JASO: 21 times, 211% peak gain (debut on 6/13/07 at $24.55; current price $75.02)
- EDU: 18 times, 149% peak gain (debut on 2/2/07 at $36.93; current price $84.06)
- MA: 17 Times, 112% peak gain (debut on 4/2/07 at $107.28; current price $209.48)
- MR: 13 times, 81% peak gain (debut on 1/30/07 at $24.95; current price $43.41)
Overall, the group of 32 performed marvelously over the course of the year and their results would have made most investors very happy; a solid expectancy for a trend buying system during an up-year.
A simple buy and hold strategy (through Wednesday’s closing prices) would have the portfolio at 17 winners and 15 losers. Please note that I do not recommend buy and hold investing. Sell rules are extremely important and can be found throughout the site. Money management rules are a must while investing but I decided to show you what a simple buy and hold strategy could do if you invest in young growth stocks while trending higher.
General Statistics:
53% win ratio (69% winning percentage using sell rules)
74.9% Average Winning Trade
23.9% Average losing Trade
314% – Top Peak Gainer
42.1% – Worst Loser (does not include sell rules – approx 10% max loss would be incurred).
149% – JSDA, Top Peak Gainer currently showing loss (would have been sold for 87% gain)
Employing a basic 10% sell stop from purchase price while using the simple buy and hold strategy would currently have the portfolio of 32 stocks at a collective gain of 43.4% or almost 10 times that of the S&P 500.
Not bad when covering a wide variety of stocks on a blog over the course of one year.
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