SEPTEMBER 05, 2008 - The Fed will not raise rates after today's employment report that showed unemployment rising to 6.1% - there will be a call for them to lower rates now. Would continue buying recommended banks and brokers. The July 15 lows of banking and consumer stocks will hold - commodity stocks will go lower but think natural gas has bottomed. It may be getting time to buy the semis (SOX) that hit a five year low today. Oil has not bottomed yet.
technology based mining equipment co in hot sector is only trading at 17x earnings vs 17% growth - 62% of sales is from the aftermarket making it less cyclical - has a record backlog ($1.2B) - would buy on weakness
74.04
0.00%
05/02/08
next day close
76.97
+3.96%
05/07/08
a buy on this weakness
75.67
+2.20%
05/29/08
leader in underground & surface mining equipment is a "new tech" industrial co - raised guidance today because equipment for all its end markets is in short supply (coal, iron ore, copper) - see 3-5 years of good earnings visibilty - CEO interviewed: the industry is now moving to an emerging market one - can't meet demand for our equipment - 80% of power plants built in emerging markets over the next 20 years will be coal powered - Cramer says pull the trigger right here
80.44
+8.64%
06/19/08
can't meet demand for coal mining equipment - will blow away the numbers
83.05
+12.17%
07/02/08
wait for more weakness before buying
71.35
-3.63%
09/03/08
had a good qtr (orders up 139%) but the stock lost 19% today - CEO interviewed: we posted record revenues but had margin issues - we have a regular stock buyback program - Chinese copper demand has been soft because of seasonal factors & the Olympics - China is still experiencing power shortages & has strong demand for coal - declines in steel prices will help future margins but don't see softness yet - Cramer says to wait for the oil services stocks (OIH Index) to bottom before buying the stock
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