The Summer Solstice Top 5

[mrmarket]

Here are 5 beautiful stocks culled from the last data dump. I will buy one of these on Monday or Tuesday, depending on how much I drink this weekend.

I like all of them very much and will consider your pros and cons in my final analysis, so have at it:

BMHC HANS KBH PTC TOL

[Websman]

PTC looks like it's just getting started. It should be easy to get 15% out of it.

[Hany]

KBH is my pick

Out of all the stocks, only KBH is undervalued according to ValuEngine's proprietary engine.

Fair Value: 77.79 KBH is 5.89% undervalued.
Fair Value: 70.47 HANS is 17.32% overvalued.
Fair Value: 92.42 TOL is 8.69% overvalued.
Fair Value: 68.98 BMHC is 2.43% overvalued.
Fair Value: 14.91 PTC is 109.15% overvalued.

[B.J]

Seems to me like home builders have topped, but I've been saying that for six months.

If you pick one of your two home builders, I'd go with TOL. Everyone loves luxury, and will all relish the opportunity to move up. Nearly every area they serve is an area (yes, even California!) is a fast-growing real estate area where, although many already own, the idea of having a high end executive home is icing on the cake. Interest rates continue to stay down (you listening Alan? Probably not.).

BMHC seems to have a unique business model. I have to wonder how they can keep their profit margins up with the raw material prices still strong, but then I think back to the paragraph I just wrote. If one cannot get into a luxo-pad sold by Toll Bros, then the next best thing is to yank out the equity and make the current home the personal paradise.

PAR, seems like their technology is widespread and widely applicable.

HANS, can't comment. Never even seen one of their drinks. Are they regional??

[New-born baby]

KBH--some charts

I guess I am with BJ. The real estate bubble has got to burst sometime. Just a little weary of the building boom right now.

But here's three looks at KBH:
first, the weekly for the past year:


Now, a six month view of the daily action:


And lastly, the daily for the past three months:


Have to say that KBH NEEDS an ABC correction (in my view). Probably not the optimum time to buy.

[New-born baby]

Bmhc

Here's a look at the weekly for the last 52:

Why didn't you call me sooner? Had a truly great run from $45 to $70.

[New-born baby]

PTC weekly

PTC: my view is that she looks the strongest so far on the weekly:


I'll have to look at the daily to tell us more. I'll have to do it tomorrow.

[New-born baby]

HANS: no

I don't think HANS has 15% left to give, unless of course, we short it.

Here's the chart:

I think this one needs a breather.

You notice that GooG didn't make the list, either.

[New-born baby]

Tol

Stop ahead and pay TOL
Nice chart: (weekly version)


I think TOL has 15% left in her, esp. if we buy the pullback. Probably one of
the better ones.

Still, my complaint about all these stocks is that we are coming late to the ballgame. (At least, all look like they need an ABC correction at least). They have had such a good run, they need a breather.

Alright, let me hear you. Start talking!

[ninner]

i have tol in my portfolio.. and i think has alot more to go.....just on fundamentals....plus it owns alot of land as well! The stock is going to split in July which will add to its liquidity...yet it has a relatively low pe....and i am one of those that have to say that homebuilders are going to be strong for awhile yet...esp those that own alot of land!!! I agree with Newborn in that TOL willl hit at least 115 there is alot of money pouring into TOL if i was mr market ...i would follow Ninners choice of tol(which i bought at 83) ...I think BMHC IS IFFY and Hans is due for a pullback!!

[pheenix11]

Top 5

I really like PTC, that is a nice find. Real low floater as well, it could move fast.

[New-born baby]

HANS DUE--is it?

...I think BMHC IS IFFY and Hans is due for a pullback!!

HANS pulled back $6 this morning.
BMHC has pulled back $4.28! Nice call, Mario!

How about some unwanted editorial comment? The market is just awful right now.

[New-born baby]

Orange you glad . . . .

Aren't you glad you didn't pick BMHC as the winner and buy it yesterday?
It's down $8 right now. That would be a hole to dig out from, wouldn't it?

[New-born baby]

Eureka! I have found it!

I've got it! We can pick the stock most likely to hit 15% first simply by looking at today's action. The stock that sold off the least (percentage wise) is the winner. Or, if you are a real contrarian, the one that sold off the most (percentage wise), would be the winner.

It was brutal today . . . .

[New-born baby]

FRIDAY'S SLAUGHTER of TOP FIVE

Here's five charts:













Wait a minute! How'd he get in here?!