For
his Opportunistic Value portfolio, Covestor model manager Hengfu Hsu uses proprietary computer algorithms to capture equity mispricing opportunities in mid- and small-cap stocks. Current top holdings include Mercer International (MERC), PC Mall (MALL) and Omega Protein (OME).
On March 14, Hsu added to his position in PC Mall (MALL), a direct marketer of technology products, services and solutions to businesses, government and educational institutions and individual consumers. Jim Van Meerten at Seeking Alpha recently summarized MALL‘s strengths:
Technical Factors:
- 100% Barchart technical buy signal
- 17 new highs and up 37.59% in the last month
- Relative Strength Index is 85.79% and rising
- Trades around 9.62 with a 50 day moving average of 7.50
Fundamental Factors:
- Wall Street brokerage analysts have 2 buy recommendations released
- Sales are projected to increase by 5.40% this year and 6.80% next year
- Earnings are expected to increase by 49.20% this year, 24.40% next year and 15.00% annually for the next 5 years
Investor Sentiment:
- Motley Fool Caps members vote 130 to 10 that the stock will beat the market
- The All Stars agree with a vote of 33 to 0
On March 14, Hsu also added to his position in Majesco Entertainment (COOL), a provider of video game products primarily for the family oriented, mass-market consumer. MicroStockProfit recently issued a report on COOL:
“Shares of COOL rallied as much as 36% on Wednesday, a day after the video game maker posted strong quarterly results. For the first quarter ended January 31, 2011, COOL‘s net revenues were $48.5 million versus $29.2 million in the same period a year ago. During this same period, the Company reported operating income of $8.0 million, compared to operating income of $2.5 million in the first quarter of 2010.”
“Jesse Sutton, CEO of COOL, noted that the Company is also preparing to launch its next Facebook game this spring — Parking Wars 2, based on the A&E television series in its fourth season, and that the Company has plans to release at least three Facebook games this fiscal year.”
Shares of COOL closed down 3.77% and MALL closed down 1.12% as of 3/22.
Sources:
“PC Mall: Double Digit Earnings Growth for Technology Distribution Company” Jim Van Meerten. Seeking Alpha, 2/25/11. https://seekingalpha.com/article/255139-pc-mall-double-digit-earnings-growth-for-technology-distribution-company
“Majesco Entertainment Co. is Today’s Focus Stock on MicroStockProfit.com” MicroStockProfit, 3/10/11.
