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Politics : Ask Michael Burke -- Ignore unavailable to you. Want to Upgrade?

To: GuyNixon who wrote (32610)	9/16/1998 5:39:00 PM
From: Knighty Tin	Respond to of 132070

Guy, the only two things I don't like about MBNA as a put candidate is that it is near a 52 week low and it is in the low 20s. I usually get interested for a first position in the 40s. I like to have big absolute as well as % downside. No question Maytag is a cyclical issue. It is near 52 week highs, which I like, but selling at a discount to the market pe ratio, which I don't like. I think Maytag could get creamed in a bad economy. My choices in the housing area, HOT and Home Depot, are more egregiously overpriced. Now that I am out of HOT, I will be looking for another put candidate if it does not come back in these dead cat bounces. I would rather have a co like HOT, which is not only a cyclical play but is seriously flawed as a co. But, when no such animal exists in an area I dislike, then I look at the straight cyclicals. I own lots of equities, but they are limited to a maximum of 10% of my total portfolio and not filled even to that level right now. I don't really think in terms of cap that often domestically, as I go co. by co. Overseas, I sometimes like to emphasize certain capitaliztions in certain countries. So, own a few cheap things. But put emphasis on the 90/10 with puts, is the practice I am preaching.