Cashmaker's hot stocks and trading

After market: NDN announced preliminary strong revenue for 4Q. At the same time, PRIMECAP MANAGEMENT Co file 13G today for purchasing 1.45 Million common shares, totally holding 4.1Million shares.

http://www.sec.gov/Archives/edgar/data/763212/000110465906001176/a06-1368_2sc13g.htm

NDN reported a positive and strong same-store sales last quarter with revenue $278.8 Million beat the expectation 276.4 Million. "The discount retailer said for the quarter ended Dec. 31, total sales were $278.8 million, up 4.9 percent from $265.9 million last year. Retail sales for the quarter were $269.3 million, up 5.6 percent from $255.1 million last year."

Will see strong move tomorrow. Today's jump is the news be leaked before announcement. Institutional investors absorbed NDN heavily recently.
 
EMC (EMC ) : S&P Reiterates 5 STARS (strong buy)
Analyst: Richard Stice, CFA


EMC acquired Internosis, a privately-held provider of information technology services. Terms were not disclosed and the deal is not expected to materially impact EMC's 2006 EPS. We believe this transaction is in line with the company's strategy to utilize, in our view, a significant cash position to diversify its revenue base. EMC recently possessed over $3 per share in net cash. Moreover, we think similar acquisitions are likely to occur in the coming months. Our 12-month target price remains $18 and we strongly advise purchase of the company's shares.

http://yahoo.businessweek.com/investor/content/jan2006/pi2006019_6981_pi010.htm

Since last Friday, MM using small orders bashing EMC and absorb tons of shares are the low price. Last Friday EMC announce strong guidance and earning. BFSC analysts raised its target to $26 and today S&P analysts raised its target to $16 within 12 months. EMC is number one in data storage sector and this sector is getting hotter and hotter.
 
Watch out ABLE, oil sector up, ABLE rebound. Can it jump $1 like GEOI yesterday?
In some ABLE yesterday and GEOI and RES for oil play. ABLE has perfect TA rebound trend.
 
From TA analysis, ABLE seems follow GEOI yesterday pattern, oil price surge and ABLE still on the bottom. Daily green lines support its untrend. May see ABLE back to $8-$9 level. ABLE usually played by MM since it has only 2M floating shares. Now, ABLE is better than GEOI to play.
 
Time to add IM and CHB more into my portfolio. Both stocks are solid fundamental with rebounce trend in chart. SCS is also good, be upgraded yesterday, will see new high.
 
EMC will be the next RHAT. I pick RHAT at its low price $12, it is over $30 within 6 months. Think about how many data we have now and in the future, then you can figure out the demand side of high end data storage business. Data will be the most valuable asset in the future. Data storage will be the next hot topic.
 
Still not too late to buy RES. Compared to other oilfield company, RES is the cheapest one and the FA is ranked toppest. This kind of oilfield services and equipment stocks usually traded at $50 range. You can not find a better large cap oil related company like this.
 
LUV is good a buy here, buy at the dip due to air line sector problem today, not relate to LUV itself. Jan 18 will the ER day for LUV, my model calculates the EPS is 2 cents higher than market concensus. LUV has the best balance sheet and is the only profitable company in airline industry. $16.5 now is the best entry before earning.
 
FLE comment from valueline analyst, positive shape. I am holding FLE for at least half year till April 2006 when FLE report its fisical year end.

Fleetwood Enterprises may well earn a profit this fiscal year (ends April, 2006). The company has been in a downward spiral due to issues with unsold inventory, and has reported sizable losses in the past three quarters. Analyst believe the bulk of the associated restructuring has been dealt with and, aside from the travel trailer segment (discussed below), the RV and manufactured housing segments will now be profitable. This result should be obtainable largely because of significant cost-cutting and employee reductions. Furthermore, hurricane-driven demand (also highlighted below) augurs well for the quarter. Analysts' fiscal 2005 earnings estimate of $0.10 a share represents a considerable improvement from last year's loss; and it would mark the first fiscal year of profitability since 1999.

New products could brighten the picture for the travel trailer division. The segment remains one of the largest challenges to revamp, but Fleetwood's recent introduction of new products should help. Indeed, it indicated that dealer reactions to the new ultralight, hybrid, and traditional products are proving positive. While analysts don't expect the segment to rebound overnight, a successful product launch augurs well for an eventual turnaround.

Hurricane-driven demand could prove quite positive for Fleetwood. Following the tragic onslaught of hurricanes this season, a number of the company's products could see a significant rise in demand. Given the large number of people displaced, demand for temporary shelter, both manufactured housing and RVs, could be quite sizable. Furthermore, permanent rebuilding could drive sales through 2006. Although the possibilities seem quite promising, analysts' estimates are very conservative. They assume most business will be given to the industry leaders, given Fleetwood's current struggles. The upside could, however, be significant.


First Call holding a "Strong Buy" sentiment on FLE with mean target $15.

P/E Ratio 41.33
Consensus Recommendation Strong Buy
5 Year Growth Rate -6.04

Mean 15.00 # of Price Targets 3
High 16.00 # Raised this Week 1
Low 14.00 # Lowered this Week 0
 
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