November 12, 2009
We have been pleased with the acquisitions thus far for Abbott (ABT). The industry is consolidating and biologics is looking to be a very good play for those companies that have expertise. (Original purchase cost of $51.43 – 2.6% position for TDIMG portfolios)
Definition of Biologics from Wikipedia:
Biologics include a wide range of medicinal products such as vaccines, blood and blood components, allergenics,somatic cells, gene therapy, tissues, and recombinant therapeutic proteins created by biological processes (as opposed to chemically). Read more
September 14, 2009
We have been holding Longtop Financial (LFT) for the past few weeks as we like the technicals and the fundamentals. The company could see some good order flow as China continues to attempt to gain insight to the financial markets and as companies continue to look to control costs.
Another win today for the LFT which been Read more
July 30, 2009
We recently added a long position of MELI at a 1.5% allocation (max) with an entry price of $ 28.14.
MercadoLibre Inc. (MELI) operates an online trading site for the Latin American markets. The Company’s website allows businesses and individuals to list items and conduct sales and purchases online in either a fixed-price or auction format. MercadoLibre offers classified advertisements for motor vehicles, vessels, aircraft, real estate and services, and offers online payment services.
MELI is a Latin version of eBay (EBAY). The difference is that this company has a much better outlook and it is in the initial growth phase. So, we may think of it as a young eBay before it got caught up in Skype, PayPal and other bureaucratic red tape.
Points to consider Read more
July 16, 2009
We have added a SMALL position of Cintas (CTAS) to portfolios. I know what you are thinking…. A uniform company? We thought the same thing.
But, even as we are in the low point of this recession, seemingly making some progress, we see that this is an opportunity to get into a position that will see a light at the end of the dark jobless tunnel.
The thesis is that Cintas is a company that worked on restructuring their distribution and inventory management. This is something we we have seen with so many other firms that have been hit hard. Earnings have been holding up well, all things considered.
We were looking for the company to at least meet earnings estimates and they actually pulled off a beat on both earnings and revenues. Read more