Bad day means a few buys. Mine today - A few more CLF at 58.25$ and HES at 50.3$ which have been discussed previously.
Starter positions in XRX at 7.53$ and Dell at 15.85$ (both very small). XRX is an Einhorn pick (which traditionally have not worked for me but I try again).
BH.PA 46.25 Euro - French Cheese and Dairy product manufacturer. 3.1Euro/share in earnings or a PE ~15x this year which was not a good result for them, in 20100, they made about 6Euro/share. Cheap, based on P/B, P/S and EV/EBITDA, but low profitability compared to most consumer product peers.
What attracts me to them is that I am a big cheeselover and many names are household names in Europe like Balade ( a great butter substitute like Smartbalance, try it at Trader Joes!), Caprice des Dieux, Milkana, Bressot< Le Tartare, Henri etc .etc. They are #1 in Germany and #2 in Europe (after FBEL.PA). These two companies appear to buy more and more brands and continue to increase market share, which I guess at some point should increase their profit margins. I am not sure, if I hang around that long but I think chances are good, that they make 6 Euro/share again and I can unload my shares for a PE 10 or better for a nice profit.
I rarely have lost money with food stocks, if I got a reasonable entry and I am hoping this will be no different. I am bid for some shares in my IRA account too on Monday.
Sold CC.PA. Owning a financial in Europe does not seem like a good idea, cheap or not. I actually made a few dimes on that one. I'll probably put this one in more BH.PA (prices permitting). |
