Well it's with a slightly angered heart that we unveil this weekends version of The Barrons Game. Last week I stumbled onto the fact that The Street.Com in a desperate attempt to move away from Cramer- has stolen the stonedinvestors Barron's game concept. Well-not entirely stolen- while the street.com will highlight everything in Barrons- they won't of course, be putting their money where their mouth is and they WON'T be telling you what looks REALLY good to buy. So what's the use?
All of this should come as no surprise I had already spotted two lousy Blogs in Cyberspace trying to copy me... but it enrages the stonedinvestor that the street.com did not contact me directly to write for them-So that I could turn them down. They know all about the stonedinvestor I assure you- mainly through my several dozen mean e-mails sent to Cramer ridiculing his picks-- I also have a " source " within the street.com who has been telling me that quite a few minions over there follow Equity Trader closely and have tried (in vein ) to figure out SI's stockpicking methodology...if only it was that easy!
Alright let's put our angry heart aside and peruse through the latest issue- On the cover: An angry bald man who looks exactly like my brotherinlaw! His name Nardelli Slayer! What a great name! He could go by " Nardo " to his friends or " Slayer, " wait a minute that's not his name! That's his OCCUPATION! He is Ralph Whitworth, officially titled " Activist Investor. " more on him later.
Alan A starts off the issue noting what kind of special hell we are in investing wise-- weekly jobless claims soaring, new homes plunging, etc... VISTA release bombing-- leading to bloated inventories all over tech land... alas, we knew this was going to happen didn't we?
Small notation Asian markets closed for WEEK of Chinese new year. Imagine that over here! With an overheated stock market! I would be a very nervous bull holding equities over such a long market closed period but god bless the Chinese they are.
Bull mention of Sotheby's'. Bull mention of Web Ex- we'll put them in the maybe pile for more research.
Bull piece on ERTS. Ditto we'll look at it but I'm not favoring game makers now.
Alright interview with the guy who killed Nardelli- Ralph Whitworth, burly 51 year old. First off Mr. Whitworth I too am " burly " very much so, so. Maybe we are alike? Ok he had Paul McCartney play for his wife's B Day- perhaps we are not running in the same circles. What does he do? Well he agitates he and his partners get on boards and turn companies around and every graph you look at of his ventures go the same way- UP! JC Penny, Home Depot, Sovereign Bancorp & Prudential. What a great job! You can be an ass hole and come off to shareholders looking like a saint. Ralph started out with T Boon Pickens and I was happy to read left because he found T Boon to be a big hypocrite. He went on to form his own outfit Relational with an initial investment from CalPERS of $200 million ( note to self* contact CalPERS for loan)
Today Rational is running $6 Billion. Ralph gets to choose his victims and them come in as a white night.. companies with strong cash flows but underperforming shares watch out! First comes the toehold investment of $100 mln from Rational ( always reject that CEO's !) then the agitating, the board seat taking- usually two and the changes come... and the stock price-- buoyed no doubt by Hedge Funds who follow this guys every move-- the stock prices head up. Home Depot is the latest victim and who am I to doubt Whitworth here? But a list of some of his other interests shows Ceridian, ConAgra Foods, Unum Provident, Natl semi & Baxter Int. I'll be looking into Baxter first. Then HD, as it will take some time, but after selling some bad performing assets if the PE can rise to 18 from 14 which it probably can in 3 years the stock price will be- $80!
Bull piece on Jack Daniels is bringing back bad memories of the Jack Daniels shot contest I won in College with a number of 24 consecutive. After a long talk with the toilet and a difficult night I awoke to read that a fellow collegian had died that night from 6 fewer shots! Let's move on...
At last something we can sink our teeth into: HLIT.
Telephone entries into the triple play space is really helping Harmonic already benefiting from rollouts from cable and satellite. It's a shadowy name from the past played before- I have some hesitation here- but unlike many of these small ideas from the past few years there's no denying HLIT is still around and that says something. A definite maybe.
Next up interview with a guy who looks like David Faber, it's the CIO of Int Equities, Harris Associates-
David Herro. David likes big out of favor stuff like GlaxoSmithKline trading at the same level now as the mid 1990's. His biggest holding DaimlerChrysler,
very much in the news this week. He likes other car makers too including Honda which the stonedinvestor has liked on and off as well.
Into the meat of the issue now and it's starting to hurt- the Brush Engineering fiasco begins. Those of you not familiar with the story here- Stoney picks BW as a top pick for 07' but gets confused by all the little small high beta crap and keeps failing to pull the trigger as the good story/ boring stock just sits at $34 forever. Stoney checks every day, Stoney checks once a week, Stoney forgets to check... Brush raises 07 earnings estimates from $1.75 to $2.75! Nice job analysts! The stock goes UP $14 MFing dollars. This one hurts.
Other charts of interest DAKT gets slammed but right to a support line- I actually like this stock and have done VERY well with it in the past including a split and race right back up to the pre split price! I think DAKT is worth a strong look this week. IROBOT
is a self directed, remote controlled mess of a stock.
CNX Consol Energy is up 15% since Jan 3 five times the market... don't know why but you SHORTERS out there- heads up on this one.
Insider highlights* NEU Newmarket is a very interesting co off it's highs with 1 buyer 160,500 shares a BIG purchase. Something called Icagen ICGN has 2 buyers with over 1.7 million shares! And another stock I'm not familiar with Dor Biopharma DORB has 4 buyers accumulating 531 thousand plus shares. On the sell side BRKR Bruker Bioscience has 3 insiders unloading a whopping 6 million 900 thousand shares! Look out below! Zimmer and Stryker are both on the sell list as well so perhaps some greater caution should be paid by yours truly to the health of the health sector!
Lets sum up: Possible plays in this weeks issue:
BID // ERTS // WEBX // Baxter // HD // NEU // HLIT // ICGN // DORB // DAKT.
( short ideas* IRBT, CNX & BRKR).
As always please read the issue yourself and if any ideas pop out at you that I have overlooked please play along! ~ stoney
All of this should come as no surprise I had already spotted two lousy Blogs in Cyberspace trying to copy me... but it enrages the stonedinvestor that the street.com did not contact me directly to write for them-So that I could turn them down. They know all about the stonedinvestor I assure you- mainly through my several dozen mean e-mails sent to Cramer ridiculing his picks-- I also have a " source " within the street.com who has been telling me that quite a few minions over there follow Equity Trader closely and have tried (in vein ) to figure out SI's stockpicking methodology...if only it was that easy!
Alright let's put our angry heart aside and peruse through the latest issue- On the cover: An angry bald man who looks exactly like my brotherinlaw! His name Nardelli Slayer! What a great name! He could go by " Nardo " to his friends or " Slayer, " wait a minute that's not his name! That's his OCCUPATION! He is Ralph Whitworth, officially titled " Activist Investor. " more on him later.
Alan A starts off the issue noting what kind of special hell we are in investing wise-- weekly jobless claims soaring, new homes plunging, etc... VISTA release bombing-- leading to bloated inventories all over tech land... alas, we knew this was going to happen didn't we?
Small notation Asian markets closed for WEEK of Chinese new year. Imagine that over here! With an overheated stock market! I would be a very nervous bull holding equities over such a long market closed period but god bless the Chinese they are.
Bull mention of Sotheby's'. Bull mention of Web Ex- we'll put them in the maybe pile for more research.
Bull piece on ERTS. Ditto we'll look at it but I'm not favoring game makers now.
Alright interview with the guy who killed Nardelli- Ralph Whitworth, burly 51 year old. First off Mr. Whitworth I too am " burly " very much so, so. Maybe we are alike? Ok he had Paul McCartney play for his wife's B Day- perhaps we are not running in the same circles. What does he do? Well he agitates he and his partners get on boards and turn companies around and every graph you look at of his ventures go the same way- UP! JC Penny, Home Depot, Sovereign Bancorp & Prudential. What a great job! You can be an ass hole and come off to shareholders looking like a saint. Ralph started out with T Boon Pickens and I was happy to read left because he found T Boon to be a big hypocrite. He went on to form his own outfit Relational with an initial investment from CalPERS of $200 million ( note to self* contact CalPERS for loan)
Today Rational is running $6 Billion. Ralph gets to choose his victims and them come in as a white night.. companies with strong cash flows but underperforming shares watch out! First comes the toehold investment of $100 mln from Rational ( always reject that CEO's !) then the agitating, the board seat taking- usually two and the changes come... and the stock price-- buoyed no doubt by Hedge Funds who follow this guys every move-- the stock prices head up. Home Depot is the latest victim and who am I to doubt Whitworth here? But a list of some of his other interests shows Ceridian, ConAgra Foods, Unum Provident, Natl semi & Baxter Int. I'll be looking into Baxter first. Then HD, as it will take some time, but after selling some bad performing assets if the PE can rise to 18 from 14 which it probably can in 3 years the stock price will be- $80!
Bull piece on Jack Daniels is bringing back bad memories of the Jack Daniels shot contest I won in College with a number of 24 consecutive. After a long talk with the toilet and a difficult night I awoke to read that a fellow collegian had died that night from 6 fewer shots! Let's move on...
At last something we can sink our teeth into: HLIT.
Telephone entries into the triple play space is really helping Harmonic already benefiting from rollouts from cable and satellite. It's a shadowy name from the past played before- I have some hesitation here- but unlike many of these small ideas from the past few years there's no denying HLIT is still around and that says something. A definite maybe.
Next up interview with a guy who looks like David Faber, it's the CIO of Int Equities, Harris Associates-
David Herro. David likes big out of favor stuff like GlaxoSmithKline trading at the same level now as the mid 1990's. His biggest holding DaimlerChrysler,
very much in the news this week. He likes other car makers too including Honda which the stonedinvestor has liked on and off as well.
Into the meat of the issue now and it's starting to hurt- the Brush Engineering fiasco begins. Those of you not familiar with the story here- Stoney picks BW as a top pick for 07' but gets confused by all the little small high beta crap and keeps failing to pull the trigger as the good story/ boring stock just sits at $34 forever. Stoney checks every day, Stoney checks once a week, Stoney forgets to check... Brush raises 07 earnings estimates from $1.75 to $2.75! Nice job analysts! The stock goes UP $14 MFing dollars. This one hurts.
Other charts of interest DAKT gets slammed but right to a support line- I actually like this stock and have done VERY well with it in the past including a split and race right back up to the pre split price! I think DAKT is worth a strong look this week. IROBOT
is a self directed, remote controlled mess of a stock.
CNX Consol Energy is up 15% since Jan 3 five times the market... don't know why but you SHORTERS out there- heads up on this one.
Insider highlights* NEU Newmarket is a very interesting co off it's highs with 1 buyer 160,500 shares a BIG purchase. Something called Icagen ICGN has 2 buyers with over 1.7 million shares! And another stock I'm not familiar with Dor Biopharma DORB has 4 buyers accumulating 531 thousand plus shares. On the sell side BRKR Bruker Bioscience has 3 insiders unloading a whopping 6 million 900 thousand shares! Look out below! Zimmer and Stryker are both on the sell list as well so perhaps some greater caution should be paid by yours truly to the health of the health sector!
Lets sum up: Possible plays in this weeks issue:
BID // ERTS // WEBX // Baxter // HD // NEU // HLIT // ICGN // DORB // DAKT.
( short ideas* IRBT, CNX & BRKR).
As always please read the issue yourself and if any ideas pop out at you that I have overlooked please play along! ~ stoney
