100% in 1 Month Financials
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100% in 1 Month Financials
By
Glen Bradford
I think that if you’re a professional money manager and you don’t make 100% return in 1 year starting today — you should look into other forms of employment.
Jim Cramer is right. I’m going to stand up and shoot for 100% in 1 month with a couple stocks. All of them are set for huge gains when the mutual funds grab them at $5.
Conseco (CNO) — I’ve been yelling about this one since $0.33 when I backed up the truck. I came up with a 2009 EPS of $0.85 weeks before the analyst updated his estimate to include the restructure I forecasted. You too can ride this to $7 — more than 100%.
Genworth Financial (GNW) — They didn’t need the TARP. That’s a sign of strength. Just popped to $5. Next stop: $12. Get ahead of the curve and allocate your holdings where the money is heading next. Don’t wait!
American Capital (ACAS) — I am anticipating a restructure of their current debt obligations. Note that this can bring back a huge yield if you sit tight. Odds are the restructure will eat out of short term (1-2 years) profit margins, but the stock price will soar. $8 is just around the corner.
I don’t respect people that recommend things that they themselves do not own. That’s why I’m long all the companies mentioned in this article. If you’re interested in banks, shoot the middle of the road and start with the ones that are down the most over the last 2 years and up the most over the last 2 months. That way you’ll pick up bargain banks that hopefully aren’t dead beats. A couple that I own are Fifth Third Bancorp (FITB) and Huntington Bancshares (HBAN).
Disclosure: Glen and his investors own CNO, GNW, ACAS, FITB, HBAN
Glen Bradford
Purdue Industrial Engineer
Masters in Business Administration
www.glenbradford.com
4 Comments on this post
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Anonymous said:
I agree wholeheartedly with your statement " I think that if you're a professional money manager and you don't make 100% return in 1 year starting today –you should look into other forms of employment."
I am older than your father and have been in the financial business for over 40 years as a vanilla type stock broker. Without getting into specifics , only to say I guide a large clientele both large and small clients, I have been amazed by your keen insights. I ran across your postings on Alpha about CNO and again agree with you and your targets. (you may be shy by a couple of dollars)
Just as an added thought for you as you trace out your career ( I suspect you may become a money manager in the long run) always look for money supply as a key to new bull markets or bear markets. It definitely has a relationship over time. (Bernanke may turn out to be one of the great Fed leaders of all time. Congratulations on your keen insights at such an early age> I look forward to watching you grow. Learning from others mistakes , even when they are within your own family, is a great teacher.May 11th, 2009 at 2:36 pm -
Stev Henderson said:
I agree with most of your assessment of Conseco (CNO). Given their diluted earnings per share of $0.13 in Q1, i’m making the assumption that earnings in Q2-Q4 will (at least) remain flat and produce $0.52 of earnings at the end of fiscal 2009. Because of the recent troubles, let’s say the “fair” P/E ratio for this stock is 10. That conservative estimate with flat earnings still puts the CNO stock price at $5.20 per share. What could impact this potential? I was hard pressed to come up with solid answers.
1) CNO’s debt obligations change or are worse than we anticipate
2)The delayed annual report contains information the will purge the company of value (unlikely)
3) Their ability to finance operations becomes reliant on stockholder (wince) dilution.With the new nominations to the board of directors today and a new CEO in charge, I’m hoping there is light at the end of this seemingly brightening tunnel.
May 13th, 2009 at 8:43 pm -
Glen Bradford said:
Anonymous: I agree that my target is short of what it’s worth by a couple dollars. I am pricing CNO in the current market environment, which implies that you need to discount it because it is financial and because the market has that sector underweighted.
Stev Henderson: I think that their earnings per share are at around $0.70 minimum. Further write downs are less likely than write ups. In this type of market, it’s definitely worth more than it’s trading. The issue is that people don’t know that. Over time, people will figure out what’s going on and the knowledge that CNO is worth $8+ will gradually drive the price up.
Glen
May 14th, 2009 at 12:49 pm -
hair loss said:
You don’t receive financial aid monthly… it’s disbursed once each semester (or 3/year for quarters) to the school. Any leftover money (after tuition, fees, books, etc) is then sent to you via check. The amount completely depends on what you qualify for, if you were awarded any scholarships, the estimated cost of attendance at your school, etc.
November 3rd, 2009 at 5:37 am