Jedhir and other long time holders, I'm still in my investment and haven't sold a share! It was nice to hear that you have stood your ground; I did too! Sure it would have been a great sell a week ago in the 19 area , but we didn't have our crystal ball to see the future, but I still believe we will come out okay on a long term basis.
If I had sold at 19, I would definitely be a buyer at the current level. For the shorts that don't believe in the 100 million $ buyback, time will tell but I'm a believer. 44,000 shares and holding! For Jedhir, glad you could add to your position; I would if I had extra cash. P.S. I haven't told the little lady that ebix is no longer in the 19 area, why bother her with trivial things like that.
LOL. I did tell my wife, and she reminded me that I've been in this situation before and have made significant money in at least 7 of every 10 investments. I went through the same thing with LGF (Lion's Gate) about 10-12 years ago (and again when Icahn tried to raid them), and I'm up about 1,200% now since first loading up in 1999-2000 when the company had only been public for a few months.
As scary as it is, the biggest gains are always found when everyone is running for the exits. My sister is a forensic accountant, and she went over Ebix's public filings a year ago for me, and found nothing amiss. Of course, this is not the same as looking at the actual books, but it is the best that I could do as a small private investor. Of course, I wish I had sold at $19, and I actually considered it given that the company looked like it was going private. I would definitely have loved to double my shares in three days! Oh well. So many folks invest in stocks and stories nowadays, instead of companies and business models. Based on my DD (again, as imperfect as it is), the worst that the AG will find, if he finds anything at all, is inadequate payments to owners of previously acquired companies, and/or overly aggressive use of offshore tax jurisdictions (could it be worse than Google with Ireland?), and/or an inflated goodwill (I could care less about goodwill), and/or too much sharing of Microsoft products without paying for it? None of that changes Ebix's niche or business model, and they can easily handle a fine and slap on the wrist. There is absolutely NO WAY that earnings are totally bogus, simply based on Ebix's cash flow history and ability to buy numerous companies, Ebix shares, etc. - ALL WITH CASH. So...I'm not going anywhere. It may be a very long ride back into decent gain territory (my cost basis is about $15), but that's OK. I'm only 46 years old, and not looking to retire tomorrow
I totally agree with you Jedhir. I am not a spring chicken ; I'm 75. I have been through some rough markets before, my worst loss was in the 2000-2001 period when I lost close to 2 million dollars. I've been in the market since 1962 and overall I'm definitely ahead of the game so you have to roll with the punches.