Bill, according to Dorfman we should sell all out G&K's, beginning with qualcomm:
What would I trim? I would take a careful look at any stock that has doubled in the past 12 months. I would also look hard at any stock selling for more than 50 times earnings, more than 10 times sales, or more than 10 times book value (corporate net worth per share).
bloomberg.com
Unfortunately, he does not tell us what to buy in this column. However, I found another column where he gives us five top picks:
Dorfman
Tue, 01 Feb 2000, 5:01pm EST
Work in Progress -- Five Stocks I'm Mulling Over: John Dorfman
By John Dorfman
Let me cut to the chase:
Here are five stocks
I'm considering buying, on which I haven't yet made a decision.
The first candidate is K-Swiss Inc., a small maker of tennis
shoes and other athletic apparel...
A second candidate is undeniably influenced by fads. It's
Wet Seal Inc., which sells clothing at retail primarily to girls
age 13 to 18...
Triumph Group Inc., based in Wayne, Pennsylvania, makes a
variety of aircraft parts...
I like Triumph stock, but then I also like Precision
Castparts Corp., a Portland, Oregon, company that makes castings
for jet engines...
Churchill Downs Inc. is another one that intrigues me. My
friend Frank Curzio, a money manager in Queens, New York, owns it
and called it to my attention. Based in Louisville, Kentucky,
Churchill Downs runs the racetrack where the Kentucky Derby is
run each year. It also has racing and simulcast-wagering
operations in Florida and Indiana....
So there you have it, get out of tech and into tennis shows, girl's clothing, aircraft parts, and gambling. Of course, he hasn't decided yet, maybe they are too risky for him.
How do these guys make any money? |
