I have some stocks of NGX (Gold mining), bought them for $3.10, today its at $2.95. Should I hold on, or should I cut my losses and get out? What is the long term trend of gold, and this company?
Advice would be appreciated.

Thanx

-----------------------------------------------------------------
sumjo

Moved to Stock Market section.

Also, I took a quick look.
The company seems to be in terrible shape.
Revenue is consistently been going down.
EPS is negative.
Profit margins are down over 15% since last year.
IOW, this company is not making any money.

Just for kicks, I took a quick look at analyst reports and insider buying reports.
Most analysts are taking sell positions.
Some are still positive, but I suspect some of them pay be pumpers, esp. given low volume.

I'd say get out fast.
Your loss isn't too bad at this point.

Long term trend for Gold is positive, high in the near term but a correction at some point.
However, that doesn't mean that all gold mining stocks will do well.
Esp. a company like this that can't make money in such good times for Gold, what would they do at other times?

Disclaimer: the above is based on a quick review of its financials and price history.
There may be growth prospects that I don't know about.
Like if this company may have struck new deposits somewhere, or is about to be favorably bought out, etc.
You as a shareholder will probably know those better.

-----------------------------------------------------------------
"Mah deah, there is much more money to be made in the destruction of civilization than in building it up."

-- Rhett Butler in "Gone with the Wind"

My rule of thumb is to sell if a stock goes down by more than 7% or if it makes a profit of more than 25%. Of course there are always exceptions but generally this rule limits your losses and ensures you get out with a profit.