As Valentine's Day approaches, Motricity
"Overhyped stock with only 4 months of public history behind it. Cramer got behind it big time and so his lemmings are pumping it like there is no tomorrow ... as soon as the momentum crowd abandons it, the crash will inevitably follow," Foolish investor Denarii06 wrote in shorting the stock in CAPS in October.
That call now looks prescient. Motricity, which delivers tailored data to mobile phones, is down more than 10% year-to-date, but has been selling off since early December. Color me thrilled.
Well, sort of thrilled anyway. I first opened a position in Motricity at $18.66 a share; I'm down a little more than 11% as of this writing. But I don't think the downtrend will last, and I'm willing to bet real money on being right. (I'll be adding to my position as soon as our Foolish disclosure rules allow.)
Why? Blame Verizon
Yet it's not much of a surprise. Verizon does business with Motricity. So do AT&T
Do you agree? Disagree? Please vote in our Motley Poll below and then leave a comment to explain your thinking. You can also rate Motricity in Motley Fool CAPS.