A Few Interesting Stocks

[JPatrick]

Do your own DD on these, but they look good to me.
PWAV* I have the Nov 12.5 calls written on this, but I'm planning to buy more if it dips a bit.
DESC - Risky, but interesting.* I own it.
LAB- - Wanted to buy under $10 but missed it. Still watching
NDAQ- -Mentioned this several weeks ago @ $24 something.* Now pushing $37.
I lost mine at $25 (calls)* .* It is a bit rich now, but if it sheads a few points it would be attractive.
ENG- -High risk, but worth it if you catch it on the down swing. I didn't and I'm under water.
ABP--Another high risk.* I'm using this as a covered call stock. Have Nov 7.5's written.
Some of the gamers are starting to come around, but not ready yet.
SHFL, AGI, MGAM, SGMS.
All this is IMO and I welcome your insights if you know any of these.

[grumpy]

I'd be more inclined to follow this thread if you would name the companies in addition to giving their tickers. I won't take the time to look them up.

Grumpy

[wildcat]

Quote:

Some of the gamers are starting to come around, but not ready yet. SHFL, AGI, MGAM, SGMS.

Although this one is too expensive for me, I am suprised you don't have IGT --- Intl' Gaming Tech as part of your gaming supplier mix. They dominant the market and can produce the same products as the ones above cheaper + better. Not saying buy but IGT is as close to a monopoly as you can get.

[JPatrick]

Quote:

Originally Posted by wildcat Although this one is too expensive for me, I am suprised you don't have IGT --- Intl' Gaming Tech as part of your gaming supplier mix.* They dominant the market and can produce the same products as the ones above cheaper + better.* Not saying buy but IGT is as close to a monopoly as you can get.

I followed IGT at one time, but when AGI and SHFL started out performing it about a year or so ago, I dropped it.* As you say though, it is probably worth a fresh look.

[JPatrick]

Quote:

Originally Posted by grumpy I'd be more inclined to follow this thread if you would name the companies in addition to giving their tickers.* I won't take the time to look them up. * *Grumpy

NDAQ--NASDAQ Stock Market
LAB-- LaBranch & Co
MGAM--Multimedia Games
AGI--Alliance Gaming
ABP--Abraxas Petro
ENG--Englobal
PWAV--Powerwave
SGMS--Scientific Gaming
DESC--Distributed Energy Systems
SHFL--Shuffle Master
IMO--In My Opinion

[wildcat]

Quote:

but when AGI and SHFL started out performing it about a year or so ago, I dropped it.

Technical investment style there JP? If you don't mind me assing how many Fidelity funds do you own? Can you list 'em so I can investigate?

[LOL!]

Here's an interesting stock: HD. Today LOW popped by 5% after reporting earnings before the opening bell. HD has only gone up 1.3% today and will report earnings before the bell tomorrow. Will HD pop tomorrow? I think so. You have a few minutes to buy before today's close. And if I'm wrong, I'll be back here to report it tomorrow.

[brewer12345]

I am watching something that I am struggling to find an explanation for. DRYS and EGLE both reported earnings today (I own EGLE). They are in basically the same business (dry bulk shipping), although they do run different types of ships (EGLE is strictly Handymax/Supermax, DRYS is mostly bigger ships). Both companies reported what I thought were pretty reasonable earnings. DRYS is down, EGLE is up. They only thing I can make of it is the capital structure and operating philosophy must be driving the difference. EGLE enters into long term charters at fixed rates and maintains low leverage, they also pay out everything they earn. DRYS has a fair bit of debt (60% of capital), and is more focused on growing their fleet than increasing payouts. I personally prefer the way EGLE runs their business, but the difference in markett reactions is striking. I might end up finally buying some DRYS shares simply because the company is starting to look absurdly cheap.

[wabmester]

Brew, is this the first time you've seen a stock act "strangely" in response to public information? These stocks are fairly thinly traded. Maybe somebody on the inside knows something you don't.

I know one guy who trades based solely on insider moves, and he says he does very well. He's a PhD with his own feed (he also sells real-time charting software), and he has rigged a bell to ring when his trigger conditions are met. Ding! Time to make more money....

Anyway, I'm astounded by the fat margins these shipping companies get. EGLE, DRYS, and EXM all look pretty good on paper, but it looks like they just started making this kind of money within the last year or so. What changed?

[brewer12345]

Quote:

Originally Posted by wab Brew, is this the first time you've seen a stock act "strangely" in response to public information?* * These stocks are fairly thinly traded.* *Maybe somebody on the inside knows something you don't.* * I know one guy who trades based solely on insider moves, and he says he does very well.* *He's a PhD with his own feed (he also sells real-time charting software), and he has rigged a bell to ring when his trigger conditions are met.* *Ding!* *Time to make more money.... Anyway, I'm astounded by the fat margins these shipping companies get.* * EGLE, DRYS, and EXM all look pretty good on paper, but it looks like they just started making this kind of money within the last year or so.* *What changed?

One of the reasons (there are several) I own EGLE instead of DRYS is that it is US-based with full SEC filings. DRYS is based in Greece and is a listed forreign entity, which is a step down from full domestic filers. Having said that, I don't see anything obviously shady about DRYS or its mgmt.

The shipping companies started making boatloads (heheh) of money because shipping rates spiked. After years of crappy rates (due to global recession), international trade strated to heat up again, and all of a sudden there weren't enough ships to go around. This happened to pretty much all flavors of ship: oil tankers, natural gas tankers, all classes of dry bulkers, container ships, etc. These companies mostly seem to be priced very cheaply because the market is convinced it can't last.

Personally, I am happy to have a chunk of EGLE because management has taken pains to assemble and operate a relatively low risk operation that is all about "show me the money": they pay everything out as dividends. Some of their charter rates will come down a bit, but the ships they have coming up for renewal in the first half of next year won't see much of a drop based on mgmt's comments today, and I SWAG the 2006 dividend capacity at $2.30 to $2.35, assuming they don't buy any more ships (which would up the dividend).

[JPatrick]

Quote:

Originally Posted by wildcat Technical investment style there JP?* If you don't mind me assing* how many Fidelity funds do you own?* Can you list 'em so I can investigate?

I'll show you the* Fidelity funds in my IRA.* I keep the racier stuff in the IRA and the balancing stuff in a taxable account.

IRA Funds:
Core Growth FCNTX--Contra
Small cap: FLPSX--Low Priced Stock
* * * * * * * * *FCPGX--Small Cap Growth
International:* FIREX--International Real Estate
* * * * * * * * * * * * FICDX--Canada
* * * * * * * * * * * * FDIVX--Diversified International
* * * * * * * * * * * * FISMX--International Small Cap
Area of Emphasis (currently energy)
* * *FLATX--Latin America
* * *FSENX--Energy
* * *FSESX--Energy Service
* * *FLVCX--Leveraged Company Stock (21% energy)
Short Term Funds (probably)
* * *FCYIX--Cyclical Industries
* * *FSELX--Electronics
* * *FSLBX--Brokerage and investment
Index Funds
* * FSEMX--Extended Market Index
Income
* * FAGIX--Capital and Income

I didn't look up percentages, but largest holdings are the Contra, all energy funds and the index.

As far as Technical analysis::as related to stocks)
I start with a friends proprietary screen that shows his definition of momentum stocks.
I ask for stocks under $30 with* options available and in sectors that I have an interest in.* This is usually a list of 30 stocks.* I manually check fundamentals kicking out the dogs.* Then I screen for the strongest option premiums and end up with maybe 4 or 5 stocks. They go on a 15 to 20 stock watch list.* If I am interested in buying a new stock I go to the list and find the best 5 based on fundamentals and then using TA I try to determine which is the best to buy at this time.* Last step I'll use Bollinger Bands to determine the best price level to actually buy.* If I am buying to sell a covered call I'll try to be certain I can quickly sell the call (at my price) before I commit to the stock.
The stocks on the list I gave in this thread are some of those on my watch list.
Sounds like a lot of steps, but it isn't really, and none of it is rocket science.

[Sheryl]

Quote:

Originally Posted by LOL! Here's an interesting stock: HD.* Today LOW popped by 5% after reporting earnings before the opening bell.* *HD has only gone up 1.3% today and will report earnings before the bell tomorrow.* Will HD pop tomorrow?* I think so.* You have a few minutes to buy before today's close.* And if I'm wrong, I'll be back here to report it tomorrow.

Didn't I just read that Buffet was increasing holdings in HD?

[wildcat]

Sheryl -

Yup you read correctly. I think the only stocks he bought that are still at or below his buy levels are --- BUD/Budweiser and LXK/Lexmark both small positions. Lexmark is close to my home turf and I wouldn't touch it, sorry Warren.

[LOL!]

Quote:

Originally Posted by Sheryl Didn't I just read that Buffet was increasing holdings in HD?

Yep, AP at 4 pm reported that Buffett's Berkshire Hathaway's "stake of Home Depot was increased to 5 million shares, from 945,000."

Well, HD popped in pre-market today and then fell like much of the retail sector. *Full disclosure: I sold my LOW yesterday and bought HD with the proceeds. *You read it here: LOL! was increasing holdings in HD, so any movement due to the Buffett announcement will be small in comparison.

[Sheryl]

Quote:

Originally Posted by LOL! LOL! was increasing holdings in HD, so any movement due to the Buffett announcement will be small in comparison.

I'm sure that was it.