Why I won’t buy VET below $10 CAD tomorrowMonths ago I told people I would buy VET when it went below $10 per share. I was routinely mocked and ridiculed for even suggesting it could go below $10. Within the last couple of weeks I reiterated that I would buy VET below $10. However, tomorrow I will not be buying VET when it drops below $10 per share. And there is virtually no doubt that it will drop below $10 tomorrow.
The reason I will not being buying below $10 is because with the recent market pullback there have emerged a great number of stocks that offer tremendous value with much less risk than VET. I am not going to go through all the many names but the list of quality stocks that have been beaten up is extensive.
I will give you one stock that has been beaten up tremendously lately and will certainly take a hit tomorrow. It is Methanex. Methanex is a highly cyclical company whose product’s price, methanol, is indirectly tied to the price of oil. However, Methanex, unlike VET, is very well run and the stock is set to rebound soon because the fundamentals of the company are sound.
Like I said there are many stocks now that offer the price appreciation potential that VET offers below $10 per share but with much less risk of VET. That’s why VET much fall much further below $10 to attract my buying interest. JMHO. GLTA.