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October, 2006: 5 12 19 26
Disclaimer - IMPORTANT - Read this first!
| Investor's Journal is a diary focused strictly on investments and personal finance issues, primarily from a contrarian and retiree point of view. Follow along with an average guy's failures and successes as he learns, by trial and error, the fine art of value investing. |
10/5/06-Since the prior entry, our Leapin' Lizards (LL) pick, PSAI, has been held over a year, and so it will be sold at the early market price tomorrow morning, removed from the LL open positions portfolio, and its closed position info recorded based on the 10/5/05 to early 10/6/06 per share performance. Through 1:30 PM (Central) today, after subtracting a commission (while not counting any dividends), PSAI has been down 12.07% in the past 12(+) months.
My top-ten equities for mention today are: AE; BRK/A (or BRK/B); CB; EME; HD; HVT; KO; TLG; VOL; and ZEUS.
The focus for the current entry is on a new Leapin' Lizards (LL) asset, Volt Information Sciences, Inc. (VOL) (recent price $36.40). VOL's trailing price to earnings ratio is 22.18. This is a micro-cap asset with a market capitalization of $569.08 million. Volt Information Sciences has no dividend. The price to sales ratio is just 0.24. VOL's price to book value is below average at 1.76. There is positive free cash flow. Return on equity is 8.40%. Debt to equity is only 0.08. The current ratio is 1.56. VOL's share price is up year-to-date and about 90% ahead in the past 52 weeks (vs. around 13% for the S&P 500 Index). The stock presently has micro-cap status, very low price to sales, low debt, and upward momentum in its favor.
Volt Information Sciences, Inc., will be added to our LL tracking portfolio at its market price as of the first thing on Friday, 10/6/06.
10/12/06-Since the prior entry, our Classic Value (CV) pick, DEVC, has been held over a year, and so it will be sold at the early market price tomorrow morning, removed from the CV open positions portfolio, and its closed position info recorded based on the 10/12/05 to early 10/13/06 per share performance. Through the close of trading today, after subtracting a commission (while not counting any dividends), DEVC has been down 34.12% in the past 12(+) months. (Despite this loss, on an annualized basis the CV portfolio as a whole, including both closed and open positions, has recently been performing at above 20%.)
My top-ten equities for mention today are: ASPV; BRK/A (or BRK/B); CB; FNT; FTO; HD; MPAC; MRO; RSC; and SCHN.
The focus for the current entry is on a new Classic Value (CV) asset, Aspreva Pharmaceuticals Corporation (ASPV) (recent price $24.89). ASPV's trailing price to earnings ratio is 9.04. This is a micro-cap asset with a market capitalization of $865.87 million. Aspreva Pharmaceuticals Corporation has no dividend. The price to sales ratio is 4.92. ASPV's price to book value is 3.87. There is positive free cash flow. Return on equity is 59.94%. Debt to equity is only 0.003. The current ratio is well above average at 7.35. The ratio of shareholder equity to total assets is 0.86. ASPV's share price is up about 86% in the past 52 weeks (vs. around 14% for the S&P 500 Index). The stock presently has micro-cap status, low price to earnings ratio, low debt, high return on equity, and upward momentum in its favor. It meets Ben Graham bargain stock criteria.
Aspreva Pharmaceuticals Corporation will be added to our CV tracking portfolio at its market price as of the first thing on Friday, 10/13/06.
10/19/06-Since the prior entry, our Leapin' Lizards (LL) pick, PSS, has been held over a year, and so it will be sold at the early market price tomorrow morning, removed from the LL open positions portfolio, and its closed position info recorded based on the 10/17/05 to early 10/20/06 per share performance. Through noon (Central Time) today, after subtracting a commission (while not counting any dividends), PSS has been up 57.20% in the past 12(+) months. (Based on the closed positions to date, after a little over two years since this competition and the tracking portfolios monitoring began, a 50/50 blend of the LL and Classic Value (CV) assets recommended here would have resulted in gains in over 70% of the assets held for at least one year plus a day and losses in less than 30% of such investments, with overall annualized returns of about 23%, not counting dividends, after subtracting all commissions.)
My top-ten equities for mention today are: AE; BRK/A (or BRK/B); CC; EME; HD; MRO; TESS; TLG; VOL; and ZEUS.
The focus for the current entry is on a new Leapin' Lizards (LL) asset, Circuit City Stores, Inc. (CC) (recent price $27.18). CC's trailing price to earnings ratio is 28.76. The asset's market-cap is $4.77 billion. Circuit City Stores, Inc., has a small (0.60%) dividend with a dividend payout ratio of 0.08. The price to sales ratio is only 0.40. CC's price to book value is 2.53. There is positive free cash flow. Return on equity is 9.17%. Debt to equity is only 0.05. The current ratio is 1.65. CC's share price is up about 59% in the past 52 weeks (vs. around 14% for the S&P 500 Index). The stock presently has low price to sales, low debt, and upward momentum in its favor.
Circuit City Stores, Inc., will be added to our LL tracking portfolio at its market price as of the first thing on Friday, 10/20/06.
10/26/06-Since the prior entry, our Classic Value (CV) pick, IPCR, has been held over a year, and so it will be sold at the early market price tomorrow morning, removed from the CV open positions portfolio, and its closed position info recorded based on the 10/24/05 to early 10/27/06 per share performance. Through the close of trading today, after subtracting a commission (while not counting any dividends), IPCR has been up 14.07% in the past 12(+) months.
My top-ten equities for mention today are: AMCP; BRK/A (or BRK/B); FTO; IDCC; MPAC; MRO; OCAS; RSC; URGI; and VLO.
The focus for the current entry is on a new Classic Value (CV) asset, REX Stores Corporation (RSC) (recent price $16.30). RSC's trailing price to earnings ratio is 11.63 The asset's market-cap is $168.41 million. REX Stores Corporation has no dividend. The price to sales ratio is only 0.43. RSC's price to book value is just 0.77. There is positive free cash flow. Return on equity is 7.82%. Debt to equity is 0.10. The current ratio is 2.70. The shareholder equity to total assets ratio is 0.71. RSC's share price is up about 25% in the past 52 weeks. The stock presently has low price to sales, low debt, low price to book value, and moderate upward momentum in its favor.
REX Stores Corporation will be added to our CV tracking portfolio at its market price as of the first thing on Friday, 10/27/06.
Disclaimer and Disclosure Statement
Neither I nor Investor's Journal will be responsible for losses by anyone who obtained ideas from this site.
This diary is intended for personal interest and general information only. You are advised to do your own research (as well as to consult highly compensated professionals) before spending money on anything.
I know of no reason anyone should take my financial musings seriously. At best I am a dedicated amateur providing a bit of investment-related insight and entertainment, at worst an amusing diversion.
My wife, Fran, and I may at times own shares of some of the assets mentioned here. But neither of us receive any benefit from reference to them, unless you count the mutual misery when we get it wrong, or the opportunity to gloat when we get it right.