It is amusing that the pet name for ABT stock is �the laggard.� I�ve never seen this before, but then, I don�t spend much time on the message boards.
Yes � it was difficult to decide whether to trickle my holdings out of ABT or dump �the laggard� all at once. I puzzled over this for months, watching the stock drift down with each passing day. Then, a simple football analogy made things very clear for me. Assuming that history repeats itself, I asked myself what was more likely: ABT throws the long bomb for a touchdown or ABT fumbles the ball into their own end zone?
I think everyone on this board can correctly answer that question.
It goes beyond your football analogy. It's about market perception. If ABT continues to perform the way it has, there is very little downside on the stock. It won't go up that much, but how much more can it go down unless you get a Dem House, Dem Senate and HRC as POTUS? Then it could go down a lot. I think you sold near the bottom. That's what we middle class chumps do after years of aggravation and frustration. If the market, for some reason decides it likes ABT and it starts going up, you leave yourself vulnerable to feeling foolish. Of course, if it goes down, you're a hero.
The other side of that is that if you invest all the money at once in something else and the market has a punishing sell off, it leaves you feeling buffoonish. What's worse is if the laggard goes up after you sell it while everything else goes down. Don't get me wrong, there are people that have made very astute trades in their lives. Maybe you'll be one of them.
I think Kiki from this MB affectionately gave ABT the name "The Laggard." What else can you call a stock that's trading where it was in 1998 while the rest of the market is much higher? Kiki nailed it with that one. Spec took it further and called it a laggard POS. Of course, other days, Spec was in love with the laggard. It depended upon whether he was manic or depressive that day.
Of course, all your points are good ones. I thought about all of them before I sold. Admittedly, my football analogy is simplistic, but on target. Blockbuster drugs score touchdowns while record breaking FDA & FTC actions and fines are fumbles in the end zone. Can a zebra change its stripes?
A big pharma VP once told me that stock price follows earnings � and you know what, he was exactly right. So, when the train you�ve been on has gone nowhere for eight years, its time to get off. Admittedly, another simplistic analogy, but accurate.
So, if the train does finally take direction and arrives somewhere, I may miss out on some profits. However, if the train wrecks, I will be unaffected because I am now more diversified. And that, helps me sleep better at night.
And, BTY, the democrats are coming. I was there when Billary wrecked big pharma.
Lib-I think Stinky will reget selling 7500 sh when ABT is $48 EOY as you predicted.Now what is your EOY for NFI? My guess is $39 so I'm holding, adding the $8 divys and you have $47 now that will beat Gold. BTW- What if no Humira would ABT be $32 now?