The January Effect: A List of Stocks Which Could Quickly Rebound
08:17am EST 10-Dec-97 Gerard Klauer Mattison & Co. PXD PSIX RACN RCN STN TLB UM
<thanks to the psix thread -blankmind>
The January Effect: A List of Stocks Which Could Quickly Rebound
William C. Mattison, Jr.
(212) 338-8960
December 10, 1997
Toward the end of each year, Gerard Klauer Mattison & Co. analysts identify
companies whose shares could experience a rebound around year end as part of
the "January effect".
The attached list of stocks includes candidates which, due to poor price
performance in 1997, could be subject to year-end selling for tax loss and
"window dressing" purposes. As selling pressures subside, these stocks could
experience a rebound by January 1998. We believe the January effect presents
an opportunity for trading-oriented investors to reap significant gains over
a short period of time.
Based on our experience, we make the following observations and
recommendations:
o Investors should remember that, unless otherwise noted, Gerard Klauer
Mattison has no intermediate or long-term view of the investment prospects of
these securities. We believe the securities we have identified could
represent short-term opportunities for investors who are trading-oriented.
o We recommend purchases be made over the next several weeks. Investors
should remember this is a trading opportunity and not an investment. We
suggest positions, win or lose, be closed out by the end of February.
o In our opinion, investors are better served by diversifying purchases
over at least five or six of these securities. A basket of these securities
is potentially more likely to capture the January effect.
3Com+ (COMS - 37.63; HOLD) Liposome+ (LIPO - 5.47)
3DO+ (THDO - 3.06) Manpower (MAN - 33.13; HOLD)
Acclaim Ent.+ (AKLM - 4.06; HOLD) Microcell Communications+ (MICTF- 7.13)
Alpha Beta Technology+ (ABTI - 2.88) Noodle Kidoodle+ (NKID - 4.00)
Amylin Pharma.+ (AMLN - 6.00) Olsten (OLS - 15.00)
Apple Computer+ (AAPL - 15.25; BUY) Pioneer Natural Resources(PXD - 29.25; BUY)
Ascend Comm.+ (ASND - 28.63; HOLD) PsiNet+ (PSIX - 6.44; HOLD)
Chesapeake Energy (CHK - 7.50) Racing Champions+ (RACN - 8.63)
Cytel+ (CYTL - 1.50) Rogers Cantel Mobile Comm.+(RCN - 9.06)
Diatide+ (DITI - 8.81) Station Casinos (STN - 9.00; BUY)
DSI Toys+ (DSIT - 1.81) Talbots (TLB - 20.63; HOLD)
Enron Oil & Gas (EOG - 19.06; HOLD) ViaSat+ (VSAT - 14.88; BUY)
Galoob Toys* (GAL - 11.69; BUY) Ultrak+ (ULTK - 11.50)
GT Interactive Soft.+ (GTIS - 8.88) United Meridian (UMC - 30.94)
Hollywood Casino+(HWCC - 2.41; HOLD) Unova (UNA - 15.25)
Immulogic+ (IMUL - 2.06)
+Gerard Klauer Mattison & Co., Inc. is a market maker in the security
of this company and may have a long or short position.
*Within the past three years, Gerard Klauer Mattison & Co., Inc. was
the manager (co-manager) of a public offering of the securities of
this company and/or has performed other banking services for which
it has received a fee. |
