A Quick Lesson of a Bad MFI Stock
Easily my worst MFI stock ever was Idearc. This was a spin-off of the yellow pages from Verizon. It was laden down with debt, but made the screen and I bought them. Foolishly, I actually increased my holdings when they dropped. MagicDiligence warned of the debt, but I gave them no heed and I essentially rode the stock to zero when they went bankrupt. Not pretty. Good tax write-off, but not pretty.
Imagine my surpise, when Idearc emerged out of bankruptcy as "SuperMedia". Better name. But apparently the same result as the business model just doesn't fly (not unlike some airlines I could name). At least in round two, I was not so foolish as to buy the stock (though you think they'd have given me some free shares given my loyalty the 1st time). SPMD was on the MFI list at the outset. It has promptly dropped in the past 12 months (pretty much without taking a breather) from $41 to $6.
Best Day of the Year (so far)
Fabulous day for my portfolio, up over 2.5%, easily my best day of 2011. The big winner was CMFO, which was up 29% post their earnings last night (maybe my posting about a basket of Chinese stocks had some merit Chinese Reverse Merger Stocks). NVMI was up 9% on news of new sales (Nova Receives $12 Million Orders From 3 Major Foundries). So I have had two stocks (MRX and CMFO) pop 20%+ this week on earnings. We'll see how the rest of my stocks fare.