The Waterbury Top 5

[mrmarket]

Here are my five favorites from the most recent dump:

BITA CCIX HCI QIHU RRGB

Which one do you like? and why??

I'll buy one of these stocks soon!

[jiesen]

I held RRGB once upon a time, bought at 28 something and sold at around 48... wouldn't mind making another 15% on it now, though. Their burgers aren't bad!

BITA looks like it's shooting to the moon right now... good if you want a pick that will cash out next week, but bad if you don't want to lose over 80% if you're wrong.
QIHU also looks quite lofty right here, wouldn't be my top pick.

HCI and CCIX look to be much more reasonable values, and CCIX looks much safer to me than HCI, just comparing the stabilities of the insurance market vs the market for cabling. 'Course anything can happen in either.

So my top pick would be a toss-up between RRGB and CCIX. HCI would be third for me.

[mimo_100]

OK, I had to hold a special meeting of my Research Team on these five stocks. They have tended to shy away from China stocks recently. They said "Accumulate" on both HCI and RRGB, with HCI being the stronger opinion. I think we are in a very treacherous market right now, so taking new positions requires careful consideration. I might just sit back on the sidelines and let the market tell me which one to choose - perhaps late to the party, but maybe the more conservative approach. I like HCI here.

Tim

[tiedyed1]

I agree on HCI. This is an interesting company, based in Florida where I imagine the number of major claims over a decade is at the top of the country. For that reason the premiums are the highest too and any milder than average seasonal weather means huge profitability. Even if a major event occurs these companies have re-insurers footing the bulk of the bill. Everyone I ever met who owns an insurance company has been wealthy. I think this is no exception. I found it humorous that they also have a full service restaurant and two marinas. The original founder is probably uber-wealthy (from the insurance business) and the marinas and boating are most likely what he really enjoys most. (Reminds me of the owner of Star Island Yacht Club in Montauk, a former employer of mine.)

The only other one I continue to like is QIHU. I know it is like grabbing onto a freight train and hoping the momentum takes you higher, but as GOOG is not in China and these guys are a major player in that huge demographic, there is still plenty of growth in QIHU (and BIDU).

I think the earnings we have seen overall is fueling some nice momentum for the short term (and yes, I feel a 5-10% pullback in market is in the cards within the next few months -- maybe sooner as volatility is ridiculously low, but I cannot see sitting on the side lines during this momentum). QIHU is a high flyer with volatility, which is not customarily a Mr. Market style stock, but maybe it will replace GOOG now that GOOG blew out to new highs today!

I think I will buy both, HCI and QIHU.
.

[jiesen]

I held RRGB once upon a time, bought at 28 something and sold at around 48... wouldn't mind making another 15% on it now, though. Their burgers aren't bad!

BITA looks like it's shooting to the moon right now... good if you want a pick that will cash out next week, but bad if you don't want to lose over 80% if you're wrong.
QIHU also looks quite lofty right here, wouldn't be my top pick.

HCI and CCIX look to be much more reasonable values, and CCIX looks much safer to me than HCI, just comparing the stabilities of the insurance market vs the market for cabling. 'Course anything can happen in either.

So my top pick would be a toss-up between RRGB and CCIX. HCI would be third for me.

note that CCIX is up more than 15% from $21, where it traded on 10/17! And there's still room to go on this one, methinks.