Pipick, I was hoping to hear from you regarding IHII's conference call. IHII's earnings didn't wow anyone (as you predicted), BUT this is a good stock to start nibbling at for those that still invest. After the tax loss season is over, investors will be flocking to value stocks,which are being avoided completly at this time. I haven't bought IHII, but I'm considering it.
Perhaps you would care to start looking at charts and getting familiar with the basics. It's not difficult at all. I like to use Timely Charts, as I've mentioned before. It's a free site that offers a nice large chart with many details. The IHII chart:
timely.com
In reading the chart, start with the obvious. IHII has been downtrending and appears to have settled. Fundamentals support the technical conclusion that IHII has bottomed out, as it is trading below book value.
Next, look at moving avgs. and crossovers. Crossovers where the shorter term moving avg. goes under a longer term moving avg. predict negative future price appreciation, and visa versa for shorter term crossing over and above a longer term moving avg. In IHII's chart, you see a negative crossover in July which forecast the plunge from 8 to 3. Earlier in Nov. it looked like the 10 day moving avg. would catch and crossover the 50 day moving avg. as interest started coming into the stock. That interest, by the way, was institutional buying. Have you checked? The pros are already establishing a position for the value rally.
Where could a rally in value stocks take IHII? Up to the 200 day moving avg. (6 1/4). Downside risk is the 52 week low.
IHII's fundies, based on the last earnings report:
Income per employee below industry average.
Annual revenue growth rate well above 5-year average.
Net profit margin down sharply.
Quarterly return on assets down significantly.
Quaterly revenue growth down from 5-year average.
Income per employee below industry average.
P/E ratio well below industry average.
ACRI has been fabulous, technically, as we have been posting over and over - ALTHOUGH I admit to never having played ACRI on the long side. ACRI's push to a new high was fueled by institutional buying. Heavy institutional buying. Check it out.
Looking forward to your continued input and ideas. Don't be a LURKER!!!
Sergio |
