Thursday 4 September 2014

Re-analysis of Stocks of Interest

Magic, Electric, Mixer, Beat, by hand

As hopefully all of you have noticed some of the analysis of the companies on the Stocks of Interest list are not freshly analysed based on the annual reports from 2013 but instead the analytical data stretches back to the annual reports from 2012. The next step will now be to go over the entire list with fresh analytical data to see if they should still remain on the list or if they should be kicked out.

From feeling I would say that a couple of the companies will be kicked out. Most likely due to that 2013 was a bad year and they ended up having negative earnings but future will tell. The reason why I claim this is because there often is a reason for a low P/E and in many cases that comes from poor quarter reports during the year which has then pushed down the share price. It is however not always the case and those are the interesting ones to pursue.

The markets rallied yesterday and one of the companies I considered buying jumped up over 12%, the second one almost 9% and the third one almost 2%. Simply too much joy! I give it a day or two to see what will happen next and I hope that the happiness turns sour so that I can make my investment soon.


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