Free Lunch
Find December bargain stocks and track performance.
Stock Trader's Almanac Investor Alert - Friday, December 26, 2003
| Dow: | 10,324.67 |
+19.48 |
(+0.19%) |
| S&P: | 1,095.89 |
+1.85 |
(+0.17%) |
| NASDAQ: | 1,973.14 |
+3.91 |
(+0.20%) |
| NYSE: | 6,364.34 |
+14.00 |
(+0.22%) |
| AMEX: | 1,165.95 |
+
4.90 |
(+0.42%) |
*** FREE Lunch Is Served! ***
Dear Almanac Investor:
Pickins were slim this year for our Annual Free Lunch Menu of Bargain Stocks so we had to dig a little deeper. Looking back over the years we notice that these Bargain Lists have performed better after the market has taken big hits. The last three years have been no exception.
These Bargain Stocks have beaten the NYSE composite by an average 9.7% since 1975 during our "Free Lunch" period. But in the last three years the advantage has ranged from 24.8% to 44.3%
Performance in years when the number of stocks hitting new 52-week lows was scarce at the time we were whipping up our Free Lunch Menu has been sporadic. For example the four stocks on the list in 1982 jumped 33% but the five in 1995 dropped 11.3%.
Also, as the market was suffering from more weakness mid-month this year supplies may have been more plentiful earlier in the month. We may revisit the mid-month new lows next year after further analysis.
After sifting through the already limited choices this year and discarding all none regular common shares such as new issues, splits, preferreds, closed-end funds and other irregular shares we were left with only two stocks: one NYSE, one AMEX, none on NASDAQ.
We felt it prudent to beef up the list so we first turned to the listings of stocks hitting weekly new lows and scraped up four NASDAQ treats that had either matched their 52-week low on Friday or hit it during the week and remained near that price.
Finally, as to not leave anyone feeling hungry, we rustled up a fourth course of nine bite-sized morsels from the OTC Bulletin Board.
Remember this Free Lunch Bargain Stock Strategy is a short-term trading strategy. These stocks have made their moves in recent years quite rapidly, some in just a few days and some over a number of weeks--even into February.
So be prepared to take profits when you have them and to act quickly. Don't hold these stocks too long. Use trailing stops on the way up to lock in profits and protect losses on pullbacks.
Bon Appetite and Happy New Year!
2003 FREE Lunch Menu of Bargain Stocks 15 Late-December NYSE, NASDAQ, AMEX & OTCBB New 52-Week Lows |
|||||
| 52 Week | 52 Week | % Down | 12/26/2003 | ||
| Low | High | From High | Close | ||
| NYSE | |||||
| SCO | Scor SA | 1.80 | 11.10 | -83.8% | 1.85 |
| NASDAQ | |||||
| FTUS | Factory 2-U Stores | 0.91 | 8.55 | -89.4% | 1.08 |
| GADZ | Gadzooks Inc | 0.98 | 8.00 | -87.8% | 1.16 |
| ICTS | ICTS International NV | 2.40 | 6.24 | -61.5% | 2.55 |
| NSSCE | Napco Security Systems | 7.25 | 10.20 | -28.9% | 7.31 |
| AMEX | |||||
| AIM | Aerosonic Corp | 7.65 | 19.99 | -61.7% | 8.00 |
| OTCBB | |||||
| ABCP | Ambase Corp | 0.64 | 1.11 | -42.3% | 0.64 |
| APIEF | API Electronics Group | 0.54 | 1.32 | -59.1% | 0.54 |
| AVNU | Avenue Group | 0.30 | 0.73 | -58.9% | 0.30 |
| CTRI | CeriStar | 0.26 | 1.95 | -86.7% | 0.285 |
| MDER | Med-Emerg International | 0.29 | 0.77 | -62.3% | 0.40 |
| PREF | Power Efficiency | 0.52 | 1.60 | -67.5% | 0.52 |
| PTEO | Proteo | 0.51 | 7.00 | -92.7% | 0.59 |
| SENG | Storage Engine | 0.22 | 1.15 | -80.9% | 0.26 |
| VSCE | Vsource | 0.46 | 2.85 | -83.9% | 0.46 |
Stock Trader's Almanac® Almanac Investor © Copyright 2003 by The Hirsch Organization Inc.
79 Main Street Suite 3 Nyack NY 10960. Tel: 845-358-4220 Fax: 845-358-4223.
Available only to Stock Trader's AlmanacŪ Almanac Investor subscribers.
Pursuant to the provisions of Rule 206 (4) of the Investment Advisers Act of 1940, we advise all readers to recognize that they should not assume that all recommendations made in the future will be profitable or will equal the performance of any recommendations referred to in this Email issue.
The information presented in this Almanac Investor has been obtained from sources believed to be reliable, but its accuracy isnot guaranteed. The security portfolio of our employees, officers or affiliated companies may, in some instances, include securities mentioned in this Almanac Investor.