Savvy Trades and Investments

[abh3vt]

CRNT. It's hard as an investor when you are faced with a stock that appears undervalued fundamentally, but is clearly overbought on a technical basis in the short term. How much of a pullback will come? And how high can the stock go before correcting? With CRNT, if the market decides to rerate its forward valuation, trading north of 4.00 over the next 3-6 mos isn't out of the question. Put a 15x multiple on that 0.30 estimate for next year (which is an old estimate before the news of the big contract came out) and you can see why some investors are scrambling to buy more even with it very overbought.