Archive for November, 2007

Any Stock Suggestions?

By: admin | Date posted: 11.30.2007 (12:36 am)

One of the reasons I created this website was to help empower the small investor. I think individual investors who do their due diligence can pick stocks just as well as the so called pros. 

Therefore, once every month or two I will have a post dedicated to stock suggestions. If you know of any stocks that you think are good investments feel free to post a comment with the stock’s name and why you think the share price will go up. You can help other small investors by informing them of quality stocks that may not be on their radar.

Sierra Wireless Update

By: admin | Date posted: 11.29.2007 (12:23 am)

SWIR – Sierra Wireless (Nasdaq) (Closing Price – $16.71)

Sierra Wireless has reported two very nice quarters since my last update and the company has given strong guidance for the upcoming quarter. However, the stock price has sold off recently on competitive fears.

Sierra Wireless reported revenue of 107.4 million and earnings per diluted share of 0.25 in Q2 of 2007. Revenues were up almost 100% year over year and EPS was up 67% year over year. Revenues and earnings also improved considerably from the prior quarter.

In Q3 of 07 Sierra Wireless reported revenue of 111.5 million and diluted EPS of 0.33. Once again the financial numbers were huge improvements year over year and EPS rose nicely over the previous quarter. (more…)

More on this topic (What's this?)
SWIR At $15 Support (Stock Trading To Go, 12/30/07)
(S) Sprint Nextel to Market Sierra Wireless’ “Overdrive” Wireless Router (Stock Blog Hub, 1/7/10)
Read more on Sierra Wireless at Wikinvest

New Stock Pick: Silicom Ltd. (SILC)

By: admin | Date posted: 11.25.2007 (7:35 pm)

SILC – Silicom Ltd. (Nasdaq) (Closing Price on Friday – 11/23/07 – $14.07) 

Silicom Ltd. is a company that has experienced strong growth over the last couple of years but has sold off recently after a flat quarter. I think the drop in share price has been way overdone and now would be a good time to buy some shares.

Silicom Ltd. engages in the design, manufacture, marketing, and support of connectivity solutions for a range of servers and server-based systems in Israel, the United States, and internationally. It primarily manufactures server networking cards with and without bypass (Server Adapters), and legacy products, including connectivity solutions for portable personal computers and broadband Internet access products. (more…)

More on this topic (What's this?)
SILC (Samurai Trader, 8/16/10)
3 Small Caps To Lead Charge Toward Market Recovery (Contrarian Profits, 11/11/08)
Read more on Silicom at Wikinvest

Is Oil Really Worth $100 A Barrel?

By: admin | Date posted: 11.24.2007 (4:30 pm)

The price of oil continues to drive towards $100 dollars a barrel but what is it really worth?

Every time I read an article about the price of oil it seems the fundamentals of supply and demand are left out. The stories always mention some sort of potential problem that can happen: the potential for a conflict with Iran, potential supply disruptions, etc.

It seems every minor event that is bullish for rising oil is mentioned and any bearish factor is left out. There is always an oil trader or analyst quoted as saying the price of oil is going to go up. However, there is never a discloser about whether that trader or analyst is “long” oil and therefore has an agenda to see it go up.

The actual supply of oil inventories compared to the previous year or future years is barely ever mentioned. (more…)

More on this topic (What's this?)
Guest Post: Top Oil Expert Says Geology is “Fractured”, Relief Wells May Fail and Oil May Le... (naked capitalism, 8/19/10)
BP Plc (BP) (Dividends Value, 10/1/07)
Read more on Oil at Wikinvest

Madcatz – Q2 2008 Earnings Report

By: admin | Date posted: 11.23.2007 (2:24 pm)

MCZ – Mad Catz Interactive (American Stock Exchange) – (Closing Price – 1.08)

Mad Catz Interactive reported moderate results for their fiscal 2008 second quarter and they announced the acquisition of Saitek, a PC games peripheral provider.

In the second quarter Mad Catz Interactive posted earnings of 0.02 per diluted share on revenues of 16.9 million. Revenues were down 35% from the second quarter of last year due to the “culling process to reduce low-margin product placement, the continuing impact of the console transition and strong software sales in the year-ago quarter attributable to Real World Golf 2”. Net income of 0.9 million and earnings per share of 0.02 were “both record levels for Mad Catz’ fiscal second quarter.” (more…)

CAAS – Still a Buy

By: admin | Date posted: 11.21.2007 (3:42 pm)

CAAS – China Automotive Systmes (Nasdaq) – (Closing Price – $6.40)

China Automotive Systems has posted a couple of strong quarters since my initial buy recommendation but the stock price has been inconsistent.

In Q2 of 2007 China Automotive Systems reported revenue of 36.31 million and earnings per diluted share of 0.10. CAAS’s revenue and earnings in Q2 were considerable improvements both sequentially and year over year.

In Q3 of 2007 China Automotive Systems reported revenue of 31.20 million and earnings per diluted share of 0.11. Revenues were up year over year but down sequentially due to seasonality of the Chinese passenger vehicle market. Earnings per share however improved both sequentially and year over year. (more…)

Is LJ International a Good Buy?

By: admin | Date posted: 11.20.2007 (10:17 pm)

JADE – LJ International (Nasdaq) (Closing Price – $2.18) 

I recommended shorting LJ International earlier this year for a 17% gain. I recommended to cover too soon but my short recommendation was ultimately a smart recommendation. JADE’s stock price rose as high as $13.15 earlier this year but it has now dropped all the way to $2.18 (at today’s closing price).

So what happened to LJ International and is the company worth a buy at the current price?

The problems started for LJ International when they didn’t report their fourth quarter earnings report for 2006 (they were supposed to report near the end of March). In a show of complete disregard for the investors in their company they didn’t even issue a press release stating why they didn’t report earnings. For some reason this didn’t deter investors in the company and the share price of JADE kept going up. (more…)

More on this topic (What's this?)
JADE: Broken Growth Story Ripe for Buying? (College Analysts, 7/24/07)
JADE (Samurai Trader, 10/14/09)
Read more on LJ International at Wikinvest

Newletter Stock Picks

By: admin | Date posted: 11.01.2007 (1:47 pm)

I plan on offering my best stock recommendations and analysis under the category of newsletter picks. This will be subscription service with a price of $299 a year (less than a dollar a day). I am currently trying to increase visitors to my website so all of my advice will be free for the time being. However, my best advice will probably be offered as newletter picks at some point in 2009.