Pick Your Price Target! 53
Glen is a member of The Motley Fool Blog Network -- entries represent the personal opinion of the blogger and are not formally edited.
Hi, my name is Glen Bradford. I set out to price the entire S&P500 last month. I'm doing pretty well so far. Let's take a look at your company why don't we.
328. Robert Half International (NYSE: RHI) is a consulting and staffing company. If you think that employment is going to pick up, this is one way to play that. I do not. The director recently bought shares at $24. Solid buy, sir. Otherwise I see sells over $33. Makes my job really easy. Target: $25-$30. I think that there isn't much upside here but at the same point I like to short with a margin of safety. I am just not seeing the upside here that makes me want to put the top of my target range much higher than the current price. So be it.
329. Ryder System (NYSE: R) makes me wonder at what price insiders would start buying. Obviously they're willing to sell $50+. The stock tipped in the latter half of last year at $60. I can't figure out why the stock got massacred back then, but perhaps it is just that it ran too far too fast. If that's the case, how are they beating quarterly expectations on mostly all of their metrics? Target: $55-65. To me, the dip in the middle of last year seems like it would have been a good time to pick up a good company at a good price. Unfortunately I didn't have Ryder on my radar at the time.
330. Rockwell Automation Inc. (NYSE: ROK) just killed their latest numbers. Quick! Analysts raise your targets and investors distribute your shares! Target: $73-$$83. I'd try to wait for a dip here before entering. Rockwell is presently trading at 15x their 2012 guidance which I think is about what I'd expect. It got beat up earlier this past year due to fears eminating out of europe. I think these fears are entering phase two of heating up as Greece prepares for default numero uno.
331. Rockwell Collins (NYSE: COL) is preferrable to Rockwell Automation based on price alone. They were caring enough to give 2012 guidance in their last call. Rockwell is worth up to $67. Past 15x 2012 earnings I'd begin wondering where my investment thesis was coming from. Target: $55-$65. Analysts of course put their price targets at prices that expect Rockwell to outperform their guidance by more than 10%. Analysts have such a rosy view on the world.
Extra: BE Aerospace, Inc. (NASDAQ: BEAV) is a tribute to my opinion that it's better to own companies that work with airlines than the airlines themselves. Through BE Aerospace, I learned not to buy call options that expire in March of 2009. Ode to worthless expiration at a 10 year stock bottom! I believe I had strike $10's that I bought earlier in October. As airplanes get fatter, bet on BE Aerospace. I hate to pick outperform at the present price, but I will try to if I can get a dip below $35. Target: $40-$45.
That's all for now, stay tuned!
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