Seven weeks ago, it announced it was losing its biggest customer, which accounted for 30 percent of the company's revenues, and that it would let go 10 percent of its workforce. I didn't think that kind of stuff would fly these days, yet shares of INSW soared more than 25 percent in early trading Monday before investors began sobering up and drove gains down below 10 percent by noon. Of course, the market typically greets layoffs with great relish, as they imply severe belt-tightening and fiscal responsibility. They just don't know. So forecasts such as those made Sunday are literally meaningless, and should be treated as such.
Optimism is great, but delusion is dangerous.
Based on INSW's performance on Monday, it appears some investors have short memories. Information contained in this newsletter is provided as an information service only. The securities markets are highly speculative areas for investments and only you can determine what level of risk is appropriate for you. Copyright 2001 INT Media Group, Incorporated All Rights Reserved.