Reassessment

You thought the stock was a Strong Buy at $32, and that it was going to par. You bought all you could with that $100 price target keenly in mind.

But then the company missed the next earnings estimates. And the next. And the next. So 3 quarters later, the stock was languishing at $22, and you had to make a giant reassessment: you were most likely wrong. Baby's First Chainsaw was never, in fact, going to become the Google of baby chainsaws, and you just had to take your 10-buck-a-share losses and sell the stock and...move on.