Even when the market tanks, certain stocks in certain sectors just keep going up. You can find them on the "new highs" list. Friday's capitulation-style dump gives us the opportunity to examine that list for potential buy candidates. Sometimes you can see patterns developing. You might be surprised.
Here are 3 from the new highs list at the close of trading on Friday:
1. GasLog Ltd GasLog Ltd. (NYSE:GLOG) It's a shipping company headquartered in Monaco. The product they ship is liquefied natural gas. The price/earnings is 26 — the p/e excluding "extraordinary items" is 18. Lot of long-term debt, but they've been increasing profits for a few years now. One caution: according to FairOaks Trader, the company has a secondary offering dated 4/26: 4.25 million shares priced at 23.75. Funds will be used to buy 3 new carriers.
2. Gulfport Energy Gulfport Energy (NASDAQ:GPOR) The p/e is approaching steep at 36 now, but what a trend. Gulfport traded at 52 in January — it's now at 74. But wait, there's more: the 2012 low was 16. These "oil and natural gas" outfits have been a theme lately among the stocks hitting new highs. With GPOR, there's no dividend, hardly any debt and they're making money. That 10% short float forces covering as the price keeps heading higher.
3. Unilever PLC Unilever PLC ADS (NYSE:UL) The multinational consumer goods company is based in Europe. At the 2000 low, it traded at 8. At the 2009 low, UL traded at 14. The closing price on Friday was 44. Even with the steadily upward trend, the price/earnings comes in at a reasonable 19. Unilever just bought a majority stake in Qinyuan Group, a Chinese water purification company.
I'm not seeing a single biotech on the whole list. Here we have shipping, natural gas, water in China — how quickly things change.
Disclosure: I have a long position in GLOG, no position in the other two.
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