With Bumpy Times Ahead, Just Say No To RiskAmey Stone
Stock market averages may have only declined a few percentage points this year, but that doesn't begin to describe all the pain investors have suffered. An overwhelming number of issues dropped 20% or more, often while maintaining heady profit growth. Best Buy Co., for example, a hot consumer-electronics retailer, fell 26% on Dec. 1. Its sin: The company announced it wouldn't meet third-quarter earnings estimates. "Any slight earnings disappointment, and investors absolutely kill them," says James L. Melcher, president of Balestra Capital Management in New York City.
To continue reading this article you must be a Bloomberg Professional Service Subscriber.
If you believe that you may have received this message in error please let us know.