Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Trader J's Inner Circle -- Ignore unavailable to you. Want to Upgrade?

To: Nicole Bourgault who wrote (12251)	4/6/1999 12:00:00 PM
From: MMK	Respond to of 56535

ALL An interesting article from Market Gems. I have AKLM and have been patient...for now. Trade: sold rest of DBCC and after I did, it went up! holding VRIO...IDTC Earnings Watch from IIOnline COGN AKLM ... EARNINGS WATCH -- Week of 4/5 This week Circuit City (NYSE: CC) will electrify investors. Northland Cranberries (Nasdaq: CBRYA) will sink in the mud. Cognos (Nasdaq: COGN) will surprise on the upside. Yahoo! (Nasdaq: YHOO) will make investors yell, what else, yahoo! And despite my childhood attachment to the company, Rawlings (Nasdaq: RAWL) will not make Bill Mazeroski proud. Thumbs UP CC - This dynamic retailer reported a 12% same-store sales increase for the month of February, well ahead of the 6% to 7% increase for the average retailer, according to Lehman Brothers. The latest quarter also includes the month of December, which was very strong for electronics. Look for a penny or two per share above estimates and the stock to gain on the news. COGN - This turnaround company has met or beaten estimates in each of the last five quarters. This one will be stronger-than-expected and the stock should react positively to the results. YHOO - Analysts have never been close on this one; they have low-balled estimates since the company went public. Every time the company beats estimates the stock surges on the news. This quarter will be no different. By the way, I love the Broadcast.com (Nasdaq: BCST) acquisition (I recommended BCST in my Bid and Ask column three months ago at $42). As an FYI, the deal won't have an effect on this quarter's results. Thumbs DOWN CBRYA - Analysts are looking for breakeven results, but estimates for fiscal '99 and 2000 have been dropping. That tells The Kid there's trouble afoot. Look for a net loss and the stock to wallow in the cranberry bogs on the news. RAWL - Though I grew up with a Rawlings 'Bill Mazeroski' signature glove, nurturing it, oiling it, wrapping a belt around it and placing it underneath my bed for nights in a row, I know this company is in trouble. I love their equipment, but their last three quarters have been very weak. This is a case of great product, bad management. RAWL will miss estimates, and I will shed a tear for 'The Maz,' one of the all-time greats to play second base. And now, ladies and gentlemen, Steve Smith offers up some other companies to keep your eye on. He's serious. Acclaim Entertainment (NASDAQ:AKLM) has knocked out estimates for five consecutive quarters. The company develops software and interactive games for the three leading platforms, Sony's PlayStation, Nintendo and Sega. Each is coming out with the next generation of systems which will create demand for new, more advanced games. Acclaim should benefit. The company is trading at $9 per share or 16 times this year's earnings estimate. General Cigar (NYSE:MPP). The good news here is that General Cigar has beaten earnings seven consecutive quarters by an average of 10%. The bad news is its earnings have fallen by about 17% over that period. This quarter's $0.17 per share estimate is 32% below the year-ago period. The company recently sold its mass-market cigar business to focus on its higher margin premium brands. Most of the $200 million in proceeds will go towards retirement of debt. These moves have been generally applauded by Wall Street and are seen as a sound strategy of focusing and stabilizing business for the future now that the cigar boom has passed its explosive growth phase. The stock is up 19% in the past five days to $9.25 per share and earnings estimates for next year have crept up 7% to $1.02 per share. Miami Subs (NASDAQ: SUBS) has earned $0.04 per share five out of the last six quarters. Consistent, but not what you would call dynamic earnings growth. The fast food company is in the midst of a merger/takeover by Nathan's Famous (NASDAQ:NATH) which currently owns about 22% of SUBS. The combination of the two has been mired in lawsuits with shareholders of each company suing each other. Both stocks are near their 52-week lows, with Nathan's trading at $3.50 per share and Miami Subs at $1 per share (in danger of being delisted). It would seem a resolution to this would be in both companies' best interest. They could then go about the business of expanding the franchise and building the brand name. OroAmerica (NASDAQ:OROA) manufactures and distributes gold jewelry primarily within the U.S. It was recently rebuffed in its attempt to acquire rival Michael Anthony Jewelers (AMEX:MAJ) for $43 million in cash or $6 per share, a 50% premium to MAJ's previous high of $4 per share. Two years earlier MAJ had tried to acquire OROA for $7.50 per share, representing a 71% premium at the time. OROA stock is currently $9.25. Obviously both companies feel consolidation would be beneficial to the bottom line. OroAmerica will pursue smaller acquisitions in the meantime in an attempt to achieve economies of scale. The company is expected to earn $1.02 per share this year.