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No. of Recommendations: 2
I will let someone else answer the question of how MF makes decisions, but I do take exception with the comparison of DDD with BOFI. DDD has had falling earnings for quite some time while BOFI has had stellar earnings. Whenever there is uncertainty (spelled Lawsuit in this case), there will be volatility, but nothing has changed with the business and their growth yet. When they bought HR Block they had much federal oversight. If it was all a sham on bad loans etc., I think we would have heard something then. As long as the uncertainty remains, the volatility is here to stay. I am still long BOFI, because in my opinion the growth story is just beginning. At some point this lawsuit will be behind them, and wall street will be happy with that. I will continue to watch the earnings reports next year closely to see if growth trends continue.

As far as the drop in DDD goes, the hard work starts when a company has a bad quarterly earnings report. Is it an anomaly or is the company broken. The fools will wait for more evidence, because we have a long term outlook. Both portfolios I follow in SN sold DDD this year: O1 sold 8/6/2015 (along with SSYS) and P1 sold 10/1/2015 (along with WPRT). I don't remember when I cut my losses but it was most likely with the August recommendation. So there is a small plug for the Supernova services which have been very helpful to me. There has also been some good discussion on the SN boards for those portfolios. In the end, YOU have to be comfortable with your risk and no one would fault you if you want to trim your position to take out some uncertainty. But with great earnings just announced and a 4 for 1 stock split coming in a couple of weeks, I am happily holding my position in BOFI. At 7% of my portfolio, I feel the swings in both directions on BOFI, but I think 3 years from now I will be glad I held tight.

Enjoy the journey,
Stu
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