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Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: E_K_S who wrote (23295)	2/6/2006 9:10:17 PM
From: Wallace Rivers	Respond to of 78728

Don't follow the drugs too much - have some LT (very LT) B&H stocks (MRK, WYE, ABT, SYK) with low basis which I pretty much "set and forget." JNJ just seemed too good to pass up at this level - one of the absolute bluest of the blue chips IMHO on sale. Of course, the sale price can get cheaper. I can only substitute chemicals for drugs, I think DD is an opportunity at this price.

To: E_K_S who wrote (23295)	2/7/2006 1:24:04 PM
From: E_K_S	Read Replies (1) \| Respond to of 78728

Started a position in LLY at $54.90. Yahoo has their forward PE at 17 so at least some analysts expect this company to start making money. Dividend is 3%. I hedged the buy by selling some covered calls. The 200 day moving average is at $54 so my next buy target is around $50. LLY has about $1.47/share free flow operating cash flow and sufficient cash on the books to cover their long term debt. I am looking for more drug companies at "value" prices. Any suggestions from the group? I now have established positions in LLY, JNJ, MRK, PFE and BMY. I may add SGP if it drops below $17.5. EKS