Mahaka lands a good one...LWN operates 1101 funeral homes (945 in U.S., 142 in Canada, 10 in the U.K. and four in Purto Rico) and 497 cemeteries in the U.S, six in Canada and seven in Puerto Rico. The Company also operates five insurance subsidiaries. For the nine months ended 9/98, revenues rose 7% to $878.2 million. Income according to US GAAP before extraordinary items and applicable to Com. fell 91% to $1.1 million. Results reflect acquisitions, offset by increased increased interest expenses related to expansion.
All I-buys, except for what appears to be the original owner/founder(?). 74/53 w/$0.66 in cash...only .26 in earnings...only? geez, they're trading at $2, so a pe of 8...should run to the 50DMA, somewhere between $3-4...last 6 days all big and green after a 2 day volume shakeout...TA starting to pick up the pace with trends turning as far back as early February. Oscillators starting to scream...only sneaky suspicion I have is that there's a huge tangle of SEC filings and equity placements...just a hunch though, it is the funaral business:o)
The play: They've been gapping it up every day, by about 1/16 - 1/8, so a continuation of the same beforer teh bell portends another of the up day steps of the past week. Be prepared to buy at the gap up, as the price does not seem to recede enough to get in anywhere lower, probably @ $2. Immediate stop loss at 1 5/8 - 3/4.
Paper buy for sure here, 3,000. If I can shake loose some cash I'll play for real...immediate target of $3, where the BBands and 50DMA come into play, but by then, the stop loss should be snugged up to keep a blackie. |
