I understand. Risk is risk, and mitigating risk is what trading is all about. So, would you invest in a biotech firm that has just started developing a new drug - doesn't even have a product yet, hasn't gone through Phase 1 clinical trials? Hundreds of millions of dollars are invested into those companies on a prayer and a hope - and its not day traders. Its old school institutional investors, venture capital and hedge funds. Then comes the medical device companies - same story.
If you have been following RXSF you would see that this is a medical device company - not a consumer product play that lives or dies by retail. Although it has huge retail potential for its consumer safe product, that program was just announced last month, and it seems it hasn't really started yet - I am sure we will hear from CVS when it does.
So while you are right, the indicators some are looking for are just starting to develop, and others are more irrelevant as to the companies huge medical device products, its something you will have to go back and examine the disclosures since the summer. The CEO is transparent that way. She states a plan and objective, tells us why, and we watch her execute. If you're long, your comfortable with that. If your not, you search for minutia to back fill a smaller picture. Nothing wrong with that at all, but I am hoping both shorts and longs can make out together on this company.
