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Strategies & Market Trends : Befriend the Trend Trading
SPY 659.00+1.0%Nov 21 4:00 PM EST

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From: Dr. Stoxx2/8/2007 1:46:52 PM
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Trading Idea #3...(my favorite of the three; earnings out tonight)

NVT: a huge C&H breakout pending with OBV confirmation, target = 45-ish

Analysis: 06-Feb-07 09:15 ET In Play Navteq added to Amtech's Focus List (36.02 ) : Amtech adds NVT to their Focus List ahead of earnings on Thursday, as they expect EPS ahead of consensus. For 2007 guidance, firm believes that most investors expect GAAP earnings in the $1.15-1.21 range, which is below current consensus of $1.30, but only 3 of 17 analysts have adjusted for acquisition dilution, expected to be ($0.12) to ($0.18) next year. Firm expects a solid guide-up net of dilution and forecast $1.33 GAAP/$1.49 pro-forma EPS for 2007. Firm also notes that short interest has increased by 37% since Nov and represents 5.2x days of average volume to cover. Also, with slowness in the auto segment now fully in expectations and price relatively secure, firm says the bear case for NVT hinges on severe price erosion in the PND segment; however, they see more relative pricing power among the NVT/ TeleAtlas duopoly in maps than buying power from ~25 PND vendors. Reits Buy and $44 target.

For more charts like this one (don't forget to vote!!): stockcharts.com[s89445907]&disp....

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