I'll start small positions in a couple of stocks that still look attractive to me, even though they've been moving up. FDP and FBR.
I feel like I'm chasing, but the stocks do seem to have some fundamental appeal still (to me anyway). I suspect if there's a market stall, FDP and FBR might drop, so I'll take small positions now and see what happens.
FDP. I'll buy on expectation that consensus earnings estimates are somewhere near what will actually occur. That would give a very low p/e to the stock. I would like to believe that people will continue to eat fruits/vegetables and that Fresh Del Monte can and will be an ongoing profitable business. I don't like the lawsuits or news reports of shady, sleazy dealings between the company and large stockholders/founders who apparently own as much as 50% of the company. I'm also suspicious of any company (FDP)that would be headquartered in Coral Gables, Florida.
Also stepping up today for FBR, a Dale Baker pick. Company seems to have had some good earning years with high ROE. I am attracted to the dividend (the company turned itself into a REIT), and what seems to me to be the scrappy, aggressiveness of the company. They operate in six industry (financial) segments, and I like this diversification. Especially as some areas (e.g. investment banking) have their cycle of good and bad years. I wouldn't like to see FBR earnings fall much, because the div. gets axed (being a REIT), and the stock will pay the price.
finance.yahoo.com |
