Friday, October 3, 2008

Louis Navellier and his "double digit winners"

Original post date: October 1st
Update on October 3rd

In his latest Flash Alerts Mr. Louis Navellier wrote to his paying subscribers positive words.
He was praising himself for the exceptional performance of the stocks he picked.

As much as 39 out of 45 Emerging Growth stocks were in positive territory. And also 45 out of 48 Blue Chip Growth stocks were in positive territory.

Is it that amazing that in a day when the S&P500 gained more than 5%, then at least 90% of any portfolio is in positive territory?

But Mr. navellier does not stop there. He highlights the double digit performance of 3 Emerging Growth and 3 Blue Chip Growth stocks.

I expect a spam soon about these incredible performances...

But Mr. Navellier's subscribers know very well the full performances of these stocks. Since they are still in current portfolio, I will refer to them with a generic name.

  • Emerging Growth Stock 1: Mr. Navellier claims it was up 11.7%. It is down 34.43% since Mr. Navellier bought it on July 2008.
  • Emerging Growth Stock 2: Mr. Navellier claims it was up 12.8%. It is down 40.88% since Mr. Navellier bought it on July 2008.
  • Emerging Growth Stock 3: Mr. Navellier claims it was up 14.3% It is up 86.29% since Mr. Navellier bought it on September 2007. But it is also down 49.64% since its high in August 2008.
  • Blue Chip Growth Stock 1: Mr. Navellier claims it was up 14.2%. It is down 30.66% since Mr. Navellier bought it on December 2007.
  • Blue Chip Growth Stock 2: Mr. Navellier claims it was up 14.6% It is up 1.81% since Mr. Navellier bought it on June 2007. But it is also down 55.36% since its high in December 2007.
  • Blue Chip Growth Stock 3: it was up 14.3%. It is down 30.42% since Mr. Navellier bought it on May 2008.
On average these 6 stocks are losing around 8% from the moment they were bought and some 40% from their highest price since bought.

It is also intetesting to check the real gains of these stocks.
  • Emerging Growth Stock 1: Mr. Navellier claims a 11.7% gain yestarday, while Google Finance says it was up 11.33% ($47.06 to $52.39).
  • Emerging Growth Stock 2: Mr. Navellier claims a 12.8% gain yestarday, while Google Finance says it was up 12.31% ($68.56 to $77.00).
  • Emerging Growth Stock 3: Mr. Navellier claims a 14.3% gain yestarday, while Google Finance says it was up 13.77% ($47.55 to $54.10).
  • Blue Chip Growth Stock 1: Mr. Navellier claims a 14.2% gain yestarday, while Google Finance says it was up 14.10% ($47.60 to $54.31).
  • Blue Chip Growth Stock 2: Mr. Navellier claims a 14.6% gain yestarday, while Google Finance says it was up 15.21% ($17.62 to $20.30).
  • Blue Chip Growth Stock 3: Mr. Navellier claims a 14.3% gain yestarday, that matches Google Finance's ($48.72 to $55.70).
It seems like Mr. Navellier has still some problems calculating returns. And this is not the first time.

UPDATE
  • Emerging Growth Stock 1: went back to $47.06 and below ($42.28) from $52.39 losing 19%.
  • Emerging Growth Stock 2: went back to $68.56 and below ($62.15) from $77.00 losing 19%.
  • Emerging Growth Stock 3: went back to $47.55 and below ($41.30) from $54.10 losing 23%.
  • Blue Chip Growth Stock 1: went back to $47.60 and below ($43.96) from $54.31 losing 19%.
  • Blue Chip Growth Stock 2: went back to $18.57 from $20.30 losing 8%.
  • Blue Chip Growth Stock 3: went back to $48.72 and below ($44.88) from $55.70 losing 19%.

4 ot of 6 stocks lost 19% in 2 days. Amazing...

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