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Strategies & Market Trends : LastShadow's Position Trading -- Ignore unavailable to you. Want to Upgrade?

To: LastShadow who wrote (23201)	10/10/1999 2:23:00 PM
From: TraderGreg	Respond to of 43080

Shadow--My favorite of that group is AMMB(Amresco)--This is a pure value play and with 48mm shares moves primarily on institiutional buying/analyst recommendation. It's a NASDAQ listed mortgage company that took some big hits a year ago, saw the stock plummet from the $30 range to under $2 on a massive dip day in October '98. It was back to $12 in January on buy out rumors. It then drifted down and got into a trading range of $6 to $8 and then has since taken another swoon, with rebounds on buyout rumors only. It dipped below $3 a week ago in the wake of concerns that they may only sell the profitable portions of the company. Concerns that have been denied by the company. The thing is that in the 1st 2quarters of this year, they have already banked 40 cents a share. Rumors have it that they may only earn 8 cents this quarter vs 15 cent estimate, also contributing to the decline. Even if they do the low estimates for the 3rd and 4th quarter(6 and 10 cents) and stay in that range, this stock is way undervalued. Compute the current FY P/E using the 1st 2Qs and another 15 cents for the last 2Qs...we're in the 5s. Note: Yahoo quotes carries trailing data so the big hit from last fall is still showing up as -EPS. The company has a book value of over $14 a share and $1.23 is cash. While book value is a very volatile indicator for financial stocks, this low volume sell off of late appears a bit overdone. At worst, I see a little more erosion if 3rd quarter numbers are weak but this is a fairly safe long term play. Hell, they may get bought out at $8. TG P.S. Surprised there's only 90 stocks on your list<g>

To: LastShadow who wrote (23201)	10/10/1999 2:46:00 PM
From: TraderGreg	Respond to of 43080

As I looked at your list, I noticed you had OTCBBs on it as well. Here are two that are both more than 40% below their highs, fully reporting to the SEC, and profitable in their most recent quarters. 1. RTIN(Restaurant Teams International)--This BB has been expecting news re:closing of its acquisition of the FatBurger chain of 34 high end hamburger chains. Stock traded as high as $4 a year ago and has drifted down to the 7/8 by .95 level today. The big snag has been the funding, but purportedly, this has been resolved. A heavy hitter added to his holdings early in September, and insists on choreographing the financing. He now has 900K shares. There is only 8mm shares outstanding, with nearly 6mm in the float. But much of that float is tightly held by longs accumulating on the dips. Growth potential for this company is quite high. Fatburgers is exclusively in Vegas and California. The rest of the country is wide open. The big question? Will they close and fund in our lifetime and will frustrated shareholders bother to hold for a while. The buying will be there. 2. HYPD(Hyperdynamics)--A small Texas based internet software company. HYPD has an emailing planned at the present time. It's sitting at 11/16 by 27/32. In the 3rd quarter ending 3/31/99, they turned a profit. The 4th qtr is expecting to be profitable as well, though the 10K most probably will show a loss because of the first two quarters. They are projecting $600K net earnings for FY2000. They have 12+mm shares o/s but only 2.9mm shares in the float. HYPD is thinly traded and typically trades well under 50,000 shares per day. This went from a buck to 3 1/2 last winter and never traded more than a 150,000 shares a day. While the Email is the big issue with this as a short term play, the company is growing the business and this could be a nice long term as well, though profit taking is to be expected. TG