This is my day for self education (with your help). I have always thought that the oil industry service and support and marine shipping stocks are some of the best around. Companies like TBSI, OIS, ANW, etc. seem to be in great demand with lots of business backlogs. So why are they crashing? I'm still reeling from how TBSI has dropped 55% according to my computer. Their PE now is about 11.6. This is a great outfit, so why are they being punished??
I hate to admit it, but I have no idea what commenters mean when they say that a stock does or does not have a "moat". It's probably a very descriptive term, but for the life of me I haven't figured it out. Can anyone enlighten me?
I saw in the newspaper that PG&E (local electric company) is paying 1000 of their employees to give out fluorescent light bulbs free to encourage their use. Let me emphasize that I am a flourecent light lover. I always have been even before it became fashionable. But I really get annoyed when they hype the extra long life of the f-bulbs. Since I have used a lot of f-bulbs over the years, I feel qualified to say THIS about THAT. F-bulbs may not burn out as fast as incadescent bulbs, but they DO lose their brightness fairly rapidly. It's been my experience that an f-bulb will fade down to unacceptability after about 12 to 18 months. To partially offset this effect, I tend to buy a brighter "100-watt" bulb when all I need is a "75-watt" bulb. This is for those applications where I tend to use the light a lot. I've come to accept this quality of the f-bulb, and it no longer deters me from using them. But it DOES annoy me when I see the ads claiming a longer life. To me the life of a bulb is determined by how long it retains a useful brightness. Why don't they do brightness ratings?? This has nothng to do with the stock market, but I just had to get it off my chest. [more]
When people ask me about interpreting the patterns made by stock price charts I always strongly recommend the book "Technical Analysis of Stock Trends" by Edwards and Magee ... it's a classic and well worth looking at. [more]
I was just reviewing the charts of Cameron Int'l Corp (CAM), National Oilwell Varco (NOV), Transocean Inc (RIG), Oceaneering Int'l (OII), Oil States Int'l (OIS), and Tsakos Energy Navigation (TNP). I'm sure there are many, many others, but I just haven't reviewed them yet. I have been impressed with the nice straight (for the most part) growth chart for these companies. When I compute their price growth rate from March 07, they all seem to have a rate in the 2% to 3% per week. PE's vary quite a bit, but all seem to have a PE under 30, which seem reasonable. Most don't seem to pay much of a dividend if any, except TNP which has a yield of about 4%, which is nice. [more]