Dodging Bullets

They say it is ok to panic, so long as you panic before everyone else.  I guess I ended up doing that with GTAT.  I mentioned over the weekend that I had sold my GTAT last week and that I was having some seller's remorse as the stock had gone up 8% post-sale.  Well, today it has given that all up and more as the stock is off 19% as they announced a 25% staff reduction plan and that 2013 was going to be "challenging" (GT Advanced Plunges on Job Cuts, Sees ‘Challenging’ 2013).

In fact, the whole greater MFI seems to be struggling today. I saw where along with GTAT, LPS and WU were in the loss leader category.  I want to be a believer, but I do wonder if markets price these out-of-favor stocks better now and MFI no longer works effectively.

Here are some names and how they have done in 2012:

APOL: -63%
COCO: -57%
DELL: -37%
GTAT: -38%
ESI: -62%
MANT: -27%
MNTA: -27%
GNI: -31%

Overall, my MFI index is up 6.6%... not that great a result, versus 12% for the Russell 3000.