The 1,700 shares of Refocus Group (RFCG.OB) stock in my son’s account sold today for $0.35 a share. I thought I had missed the boat on the recent rise in the price of Refocus Group shares when they issued a press release last Thursday regarding an FDA approval, but I got a second chance today at the trade when the market rallied the price of the shares up to $0.38 briefly this morning.
Let me take a closer look at this transaction. I originally purchased the 1,700 shares for my son’s Coverdell ESA on July 22, 2005 for $0.25 a share for a total cost of $432.95 including commissions. For today’s trade, I received $587.05. That comes out to be a gain of over 35 percent in just over five weeks. My $154.10 in profit came quite a bit sooner than expected on this trade.
In addition to the profit I made in the Coverdell ESA account that I’m using as a real money model portfolio for discussion on Fat Pitch Financials, I also sold 1,900 of the 1,999 shares of RFCG that I had purchased for my Roth IRA account. Those shares were purchased on June 17, 2005 for $0.23 per share. My limit order only included 1,900 of the shares that I owned in order to avoid any delays in trading associated with selling an odd lot amount, such as all 1,999 shares. I will hold onto the remaining 99 shares in my account and allow them to be cashed out when the going private transaction is completed.
Overall, Refocus Group was a very profitable little transaction for me. I look forward to sharing more of these successful trades in the near future.