A little gambling

So I made only a single trade today, 20,000 shares of DPHIQ @0.0185. It had opened the day down 0.04 and finished at about 0.021. This is a bit of a gamble because it is Delphi corporation (the major parts supplier to GM) and they just emerged from bankruptcy. The way I figure it in my laymans view is that Delphi stock has got to be worth more than 0.02 in the long run. They have an expertise that is matched by few and while the auto business is not in great shape now, its not like anyone has invented the flying car or made some revolutionary mode of transportation. (remember the hype on the Segway prior to its being announced) GM still needs parts as do other vehicle manufacturers. Delphi has refocused its efforts and significantly reduced the number of parts it supplies as well as its labor and fixed costs. In the long run I think this company will return to profitability quickly with a slight uptick in car sales.

This is one of those pennystocks that is not a pump and dump, it is basically a gamble as to whether the company can make something of itself or not. If not I am out $385, however with even the slightest movement upward (and in fact it went up about 0.00135 after my purchase, a whopping $27) this could mean big returns. The way I see this pick it is a safe gamble, I can probably sell at about any time and get back at least a healthy portion of my money but the upside is huge.