Friday, July 10, 2009

I moved from Cray computers into Tata

I sold my Cray stock and bought a some Tata. Nano has been getting hammered in the stock market with bad news report after bad news report. In the the next year, they will come out with the redesigned Jaguars and Landrovers. They also will launch the brand new Tata Nano line of super affordable cars. Buying into a company that has lost about 30 percent of its market value over the last two months is probably a terrible risk, but I am trying to bet on volatility. So far I've lost 9 percent on my Tata investment, but even if the stock price doesn't improve, dividend will pay current losses over two years, and cover the total cost of purchase over the long term if I'm willing and able to stay in it for the long haul.