1daveinva (49.56)

Update Number 1

July 29, 2011 – Comments (1) | RELATED TICKERS: IO , YUM

Long on YUM and have a limit order in to pick up some more (my limit order is way below market price ($50) so the market will really have to dive for me to increase my position).  Did buy GE and AA yesterday as well.  In hindsight, I could have waited until today but without knowing how/when Congress is going to act, it's very difficult to judge how the market is going to re-act.

Numbers for IO (ION Geophysical):

PE: 42 (high for me)

PEG: 0.689 (not bad)

EPS Growth Rate (estimated, YOY): 60.87% (good!)

Sales (5 year average): -1.2% (yikes!)

Net Profit Margin (5 year average): -10.7% (yikes! again!)

Current Ratio: 2.6 (ouch!)

ROA (5 year average): -8.2% (ouch!)

ROI (5 year average): -13% (ouch again)

LT Debt to Equity: 0.27 (okay)

These are the basic numbers I run on companies I am considering investing in.  Based on these numbers, I am going to wait for IO to announce their quarterly results on the 4th of August, and will re-examine it again...but I'm not buying now.