Anika Therapeutics

ANIK

Company. Anika Therapeutics "develops, manufactures and commercializes therapeutic devices designed to repair, protect and heal bone, cartilage and soft tissue." (company website)

Buy. I bought Anika Therapeutics two weeks ago just at the end of a month and a half of trading between $9 and $10. At the end of April the company had announced a big increase in revenue (+81%), and on May 10 the company announced that it had begun clinicial trails of a new product.

All of this news was apparently what the stock market wanted to hear. Over the following two weeks, the stock rose more than 50% in price on big volumes. Whee!

Sell. I decided to sell today when ANIK fell more than 4%. I could think of no good reason not to take the very handsome profits that were available. The stock has had a phenomenal run-up over the past two weeks and is more than 40% ahead of its 50-day moving average. A pull-back is almost certain to come, sooner or later.

Now this is more like it!