Pacer International, Inc. (PACR)

This met a high level screen to indicate a buy and strong outperform against its peers (other tickers in its industry). My 1st version of this spreadsheet devles deep into the company's balnace sheet and recent income statements, combined with other relevant price data for the company including insider/institutional holdings, short interest, debt levels, etc.
Testing capabilities of this 1st version of my automated, valuation spreadhseet matched with my personal criteria and see how it holds up.

transportation/shipping industry. Purchased PACR today in real life portfolio @3.61/share.

PACR is a solvent company, planned to be profitable in 2010 and 2011 with an increasing profitability.

I beleive with a recovering economy this stock will tack on some gains.

I simply used the screener to find all of the 5 star stocks with the greatest 52-week losses. 5 stars should make them good picks and the high 52-week loss should make them cheap. We’ll see how it works!

Coming off long term bottom.

oversold -- 50 day MA will cross the 200 MA within 60-90 days

Mmm...shipping and handling...

Good grief, getting taken here with -66 pts towards the end of July '09. Year over Year its down to $1.85 today from over $20, and 6-month down from over $10. Obviously, they're losing lots of money - several time the current price of late. Little digging into some ratios from Thomson-Reuters and a clue or two I find.
- Price ratios: paying pennies on the dollar for sales, paying 2/3 of book value; both ratios well below industry and even further below sector
- Financial ratios: they are liquid with 1.5 times more current assets than current liabilities; the key to their plunge of recent is in the debt-to-equity ratios which at 85 and 93 for long-term debt/equity and total debt/equity, respectively, indicate tremendous leverage
- Return ratios: This leverage is also reflected in productivity with 5-year averages for Return on Assets, Return on Investment, and Return on Equity all around 2.5 times the industry average

THE TAKE...1) should be safe from bankruptcy; 2) logistics and transportation provider for leading companies, therefore sales should rebound in line with broader economy; 3) current losses are large but due largely to "unusual expenses" incurred in 4Q2008 and 1Q2009 of $200 mill and $88 mill, respectively - excluding these 4Q2008 operating income was approximately $18 mill which would have yielded a pre-tax profit of about $17.5 mill, and in 1Q2009 excluding one-time charge-off operating income was about -$23.5 mill - not good but nowhere close to as bad as reported; 4) with such high leverage ratios the effect of losses on equity are magnified, as will be the effect of *future* profits

No debt, just @ the wrong side of the economic cycle. good company.

great stock

Magic formula

No debt, 6.4% dividend, profitable and trading below book value. Safe long term play here.

Graham formula gives me a fair value of $20 (based on current $1.98 earning) or a more conservative $16 (based on the 2005 earnings of $1.30). That's a discount of 45 to 55%.

There is also the nice 6% dividend, so I am content to wait until the situation improves.

I am trying to pick the best companies in their respective industry that also pay a dividend.

Company is doing exceptionally well in an industry that has been beaten up. I expect a big move up in the stock when people realize that even if the economy shrinks in the 4th Q of 2008, companies will still need to move stuff around... and plenty of it! And Pacer International are doing a da___ good job at it.

good business model, low capital investment, good cost control.

Transport stocks are way out of favor. That makes this an excellent time to pick up this high-quality growth company selling for just 8X free cash-flow per share and with a 19% ROE. Enjoy the 4%+ dividend yield while waiting for Mr. Market to get over its nervous break down.

Another good way to play the Rails versus trucking situation with high gas.