Saturday, December 21, 2013

Investment Idea Sharing for December 21, 2013

This Week's Activity – December 21, 2013: 
Check out Ultimate Stock Finder’s new training videos that show how to quickly create ‘Row-by-Row’ comparison views in both Stock Evaluator and Mutual Fund Evaluator spreadsheets so you can easily compare the key fundamental values for any number of stocks or mutual funds you are analyzing. 
Click here to see the Stock Evaluator ‘Row-by-Row’ Comparison video:  https://www.youtube.com/watch?v=4bBBo4HGIJM

Click here to see the Mutual Fund Evaluator ‘Row-by-Row’ Comparison video: 

This week, most of the world market indices were up on the good economic reports about U.S. GDP, unemployment and job creation.  Also, this week, the Federal Reserve announced it would decrease its bond buying by $10 billion a month (from $85B to $75B) starting in January 2014.  The markets had been expecting this “tapering” of bond buying for several months and did not panic when finally hearing the official announcement.  Read more here: http://news.yahoo.com/stock-futures-climb-economic-confidence-gdp-tap-121450873--sector.html
I still think the markets are overpriced but I continue looking for good values on individual stocks of good solid companies. 

Click here to see the Summary Table with Worldwide Market Index Closing values for this week: http://www.ultimatestockfinder.com/weekly_index_summary.GIF

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You can also read our complete weekly ‘Investment Idea Sharing’ letter by following our Ultimate Stock Finder blog:  http://ultimatestockfinder.blogspot.com/

Visit our website: http://www.ultimatestockfinder.com/ for more investing ideas, links, training and information.

This week I sold a Cash Secured PUT on Newmont Mining (NEM).  See the details below in (CALL or PUT) Sells for This Week.  NEM closed this week at $22.64, a 5 year low.  Revenue is down 20%, profit is -$704 Million due to low gold prices and also major problems getting a new mine started (see article link below).  But, NEM still has fairly low debt to equity, no goodwill to equity, and $1.5 Billion in cash.  I believe NEM can recover from this current slump. 


See the Yahoo Profile for NEM at http://finance.yahoo.com/q/pr?s=NEM+Profile  

See the Yahoo 10 year chart for NEM at

StockEvaluator ‘Short List’
‘Short List’ screens using 12 fundamental value limits that I want to see in a stock before considering it as a possible buy.  View our training video that shows how to enter your preferred values for each of these ‘Short List’ screening limits:

View the ‘Short List’ screening criteria and target limit values here: http://www.ultimatestockfinder.com/stock_evaluator_screener.html

Stocks on the ‘Short List’ list this week are:  CAJ, PTR, UMC, CHA.

Stock Evaluator ‘Volatility Sort’
Stocks on the ‘Volatility Sort’ have Current Price <5% above 52 week low, Volatility >3%, Profit>0%, <6 Red cells in Stock Evaluator.xls. 
Stocks on the ‘Volatility Sort’ this week are: EGO, IAG, IMG.TO, NGD, ZA.   

MutualFundEvaluator ‘Short List’
Mutual Funds that are within 3% of their 52 week low AND have less than 3 Red cells. 
This week’s list has 40 funds.  All except 1 (FRIFX) are Bond funds, which are all still 3 to 8% above their lows from 2006 to 2008 before The FED dropped interest rates to bring the U.S. out of the recession.  When interest rates go down, bond prices go up, and when interest rates go up, bond prices go down.  These bond funds only pay a 3 to 4% annual dividend and I think the bond prices will go down another 3 to 4% when The FED finally lets interest rates go back to historic levels which mean 10 Year Bond interest rate of 3.5% compared to today’s 10 year rate of 2.89%.  I will continue to wait before buying any bond funds because I do not want to lose a whole year’s worth of interest if I buy back in too soon.

Next Monthly Meeting 2nd Tuesday of every Month:
Tuesday, January 14, 2014 , 7:30 PM at my house. 

Here are my Stock BUYs for This Week:
Stock Symbol:
Buy Date:
Buy Price:
Target Sell Price:

Here are my Stock SELLs for This Week:
Stock Symbol:
Sell Date:
Sell Price:
Buy Price:
Buy Date:

Here are my Option (CALL or PUT) Sells for This Week:
I only Sell Covered CALLs or Cash Secured PUTs
Option: PUT
Stock Symbol: NEM
Sell Date: Dec. 20, 2013
Expiration Date: June 21, 2014
Strike Price: $22
Option Price: $2.35

Visit www.ultimatestockfinder.com to download all Stock Evaluator and Mutual Fund Evaluator spreadsheets, read training articles and check out all our web links for investing information.

Please remember to send me any other investing ideas, information or questions that you want to share with the group.

Thanks,
John D.

Disclosure: The author has no positions in any of the stocks or mutual funds mentioned in this article unless clearly stated above. We certify that except as cited herein, this is our work product. We received no compensation or other inducement from any party to produce this article.  Please see our full legal disclaimer at:  http://www.ultimatestockfinder.com/stockevaluator_disclaimer.html
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