Hello, Fool! | Login | Signup | My Fool
Dec 3, 2008 8:54 PM ET | Feedback | Site Changes | Help
The Company is a North American and U.K. producer and marketer of nitrogen products, serving agricultural and industrial markets.
View All Commentary (TRA)
Recs
ChimpInvestor (32.32) Submitted: 6/20/08 10:05 AM : Start Price: $52.83 TRA Score: -42.61
the market dives 140 pts to 11,920 and one of the only groups working are the fertilizers.... how do you think they will work in a good market? at the end of the day we are still in the early innings of fertilizer stocksbought with real money at 53.67....wall street has to put money to work... you have cash and bonds... and although capital preservation is important, at some point you have to put money on equities... most industry groups are broke and should only be bought on technical bounces... oil stocks are tied to the price of oil and I think that is a bubble.... food and shelter was important in caveman days and it still is now.......... even a chimp knows that TRA was recently made a top pick by Citi's analysts... i am comfortable with this stock since I have owned it in the past.... i prefer to buy on pullbacks, but this group is too strong to risk letting it run
Report this Post Replies: 2 | Reply | Permalink
Oops! There appears to be a problem with your comment. Check to see if there's something you left out.
collinmcb2 (97.84) Submitted: 6/25/08 1:50 PM
Recs: 0 | Rec This
What are some indicators that we are still in the early innings for fertilizers? I do not have much market history under my belt, so what are some indicators that an industry is beginning to fade out. I did not follow stocks at the time of the tech bubble, but I have heard too many horror stories, that I am still leary of investing in hot sectors. Are food prices tied to oil prices because of inflation? If so, if/when oil prices tumble, won't food prices and fertilizer tumble with it?
Report this Post Reply
ChimpInvestor (32.32) Submitted: 6/25/08 10:07 PM
Recs: 1 | Rec This
from a macro standpoint it is supply and demand.... from a technical standpoint these stocks broke out in late 2006 so it hasn't been 2 years even... usually a group that has strong fundamentals will run for 4 years or more and during that run there will be large pullbacks... based on your question and the horror stories you speak of, you would be better off buying the most oversold companies in big sell offs.... financials, builders, airlines and retail probably won't be the next big boom industries.... normally whatever leads you into the abyss doesn't lead you out... example tech lead into the abyss and commodities lead out.....If oil weakens you will hear a big commodity bubble pop......... i don't have a crystal ball, so I don't know what leads us out............ maybe tech or healthcare........ i jumped on fertilizer because it is food related and that my friend is a much bigger problem than energy.......... as for the other commodities, I rode them and got off.... I need to see them pull back before buying into them again.......... i have a pretty balanced portfolio, some of my older stocks aren't on chimpinvestor, and at the end of the day something is always working.... if your portfolio consists of bottom fishing and momentum investing then something will always work... its when everything is bottom fishing or momentum investing that now you are not as diversified as you think, because different industries with similar characteristics is not diversified...
Terms & Conditions
RSS Headlines
Fool UK