Dell Computer, Playtex, Others Liked by McGarr, Barron's Says
11/27/99 11:32:00 AM
Source: Bloomberg News
Dallas, Nov. 27 (Bloomberg) -- Dell Computer Corp., Fannie Mae, Household International Inc. and Playtex Products Inc. are among the stocks liked by Cappy McGarr, money manager at Dallas- based McGarr Capital Management, which also holds Williams Companies Inc. and Seagate Technology Inc., Barron's said. Dell is undervalued and should trade at 55 to 60, Playtex is using free cash flow to pay down debt and make acquisitions and mortgage financier Fannie Mae and consumer lender Household International have delivered consistent earnings over time, McGarr said. McGarr likes buying companies such as Williams and Seagate and shorting -- or buying in the expectation of a price drop -- related companies such as Williams Communications Group Inc. and Veritas Software Corp. because the values of the companies are out of sync, Barron's reported
Shares of Dell, the world's largest direct seller of personal computers, fell 3/8 to 42 15/16 yesterday; the stock is up 17 percent for the year to date. (Barron's 11/29 40 www.barrons.com) |
