Monday, April 28, 2008

Conviction Buy added:

1. DCI (Donaldson)

Bot last week at $42s. Target was low $50s in three months, but I am upping it now to $60.

Why? This thing works like clockwork, that's how clean it is.




2. Thinking hard about doubling my DHR position in the "trading" portfolio.
3. FRE covered trade is beginning to be profitable. The call is decaying 20% in value since Friday. Once it dropped 80% I will cancel it (if underlying goes to $25.50), double the trading position and position LONG going into FNM and FRE earnings, tentatively speaking. By that I am evaluating fundamental and news flow DAILY.

3 comments:

Mike said...

Are you buying DCI via calls or straight stock? I see that the Aug 45s are decent at 1.90 or even the 50s at .60 are not too bad if your thesis is correct.

MTGSPY said...

I have no timing component. buying straight 500 stocks so far, might add later. I want to collect the earnings. $2.50 earnings in 09 x 24 P/E is $60.

MTGSPY said...

Hmm, 1.90 looks cheap indeed. I may want to add timing components. Thanks for alerting me.