Hello Friends! I was away from my computer for most of last week, and haven't had a chance to post too many new ideas. However, it is now Sunday and being back "on the job", I would like to review the selections on Stock Picks Bob's Advice from the week of February 16, 2004.
As always, please remember that I am an amateur investor, so please consult with your professional investment advisor prior to making any investment decisions based on information on this website. The reviews on Stock Picks are calculated based on an assumed "buy and hold" strategy. The actual strategy on this blog is to sell losers quickly and completely and sell winners slowly and partially. Thus, actual performance using strategies employed by me would be different than those reported here.
On February 17, 2004, I selected MarineMax (HZO) on Stock Picks at a price of $26.52. HZO closed at $30.80 on 4/1/05 for a gain of $4.28 or 16.1%.
On January 20, 2005, MarineMax reported 1st quarter 2005 results. Revenue for the quarter ended December 31, 2004, increased 18% to $184.2 million. More importantly (imho), same-store sales jumped 17%. Net income was us 27% to $2.8 million or $.17/diluted share from net income of $2.2 million or $.14/diluted share the prior year. In addition, HZO raised guidance for fiscal 2005 to $1.80 to $1.85/diluted share from a prior $1.75-$1.80/diluted share previously estimated. All-in-all, this was a very nice report!
On February 18, 2004, I selected Marine Products (MPX) on Stock Picks at a price of $20.00. MPX had a 3:2 stock split on 3/11/05, making out effective stock pick price $13.33. MPX closed at $16.25 on 4/1/05, for a gain of $2.92 or 21.9%.
On February 16, 2005, MPX reported 4th quarter 2004 results. For the quarter ended December 31, 2004, net sales came in at $62.7 million, a 33.3% increase over the $47.0 million the prior year. Net income for the quarter was $5.5 million, a 22.4% increase over the $4.5 million the prior year. Diluted earnings per share came in at $.20, a 17.6% increase over the $.17/diluted share the prior year. In addition, the company announced a 3:2 stock split as well as a 50% increase in the dividend. These are all bullish for the stock price (imho).
On February 19, 2004, I selected OmniVision Technologies (OVTI) for Stock Picks at a price of $29.45. OVTI closed at $15.08 on 4/1/05 for a loss of $(14.37) or (48.8)%.
On February 28, 2005, OVTI reported 3rd quarter 2005 results. Revenue jumped to $101.8 million from $93.6 million the prior year. Net income was $21.1 million, or $.33/diluted share, up from $17.9 million, or $.29/diluted share the prior year. However, the stock slumped after this seemingly positive announcement due to lowered 4th quarter guidance and growth in inventories, both negative factors for future performance.
My last pick that week was UniFirst (UNF) which was picked for Stock Picks on February 21, 2004 at a price of $26.83. UNF closed at $40.98 on 4/1/05 for a gain of $14.15 or 52.7%.
On March 30, 2005, UNV announced 2nd quarter 2005 results. Revenue for the 2nd quarter 2005 which ended February 26, 2005, came in at $190.7 million, a 7.5% increase over the $177.4 million in the same period the prior year. Net income was $10.1 million or $.52/diluted common share, a 52.7% increase over last year's $6.6 million or $.34/diluted common share.
So how did we do that week? Overall, it was a good week for picking stocks, with three gainers and one unfortunately signifact loser (OVTI). Averaging the percentage change for each of the four picks, gives us an average gain of 10.5%.
Thanks again for stopping by! If you have any questions, comments, or words of encouragement, please feel free to email me at firstname.lastname@example.org and I will try to respond the best I can in my amateur way right here on the blog!