Ceradyne, Inc. (Nasdaq:CRDN)

Ceradyne is a diversified ceramics company that manufacures products primarily for the defense department and industrial applications. Like so many other equities, it has been slaughtered in mid 2008. Why? We could find no good reason, other than global sentiment. The order was entered to “bottom fish this equity if it reached a pre-determined level. Our trade was executed on July 7, 2008 at $32.55. On July 18, 2008 it closed at $43.00.

At the current price of $43.00, this represents a gain of 32% in 11 days. Other equities like Fannie and Freddie have appreciated simmilarly over the same period, but with much greater risk than CRDN.