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This week's list of top performers has high exposure to retail and solar; areas we have been moving into the past few weeks with greater weightings.... but more into solar than retail for the fund. This list continues to show us that "beaten down" merchandise from the past year is the market's favorite right now. At the very bottom of the entry I also posted the top returners in the $1B to $1.75B range of market capitalization since we are increasingly buying some smaller fare.

Criteria

  1. Market capitalization $1.75B+
  2. Average trading volume 100K+
  3. Stock price $10+
  4. Return this week 12%+

Some names we own, some names we have owned in the past or discussed in the blog. Longs Drugs (LDG) was an acquisition target of mine; and in a miracle of miracles (not) Bill Ackman of Pershing Capital (hedge fund) bought a huge slew of Longs in late June through July at prices of $40.47 to $45.92 - within 6 weeks of his first purchase the stock is acquired @ $71.50. Surely just by chance ;) And that makes your year right there. The 2nd name on this list is Elan (NYSE:ELN) which was absolutely pummeled first from a negative result on an Alzheimer drug and then more bad results from its multiple sclerosis drug Tysabri; the same thing happened a few years ago with Tysabri and Elan was similarly punished. I almost bought this for a trade since it leveled out for 2 weeks and was not heading lower, but 'almost' gets you nowhere in the stock market.

The airlines continue to mock those who believe losing $900 per flight is no better than losing $1500; same story with General Motors (NYSE:GM) - I suppose  people will be lining up to buy their trucks/SUVs now that gasoline has plummeted from $4.19 to $3.79 (on the way to $3.49). Along with flying to Las Vegas to gamble, and buying premium coffee along the way.

Hansen Natural (HANS) - makers of energy drink Monster and a retail investor favorite for many years - is a target of the 1021st "takeover" rumor and had a nice run. This rumor comes out every 8 weeks like clockwork. NVIDIA (NASDAQ:NVDA) another case of a beat up stock that reported "we plan to stay in business for a few more months" and that was enough for investors to drive it up - same story on the retailers. Mechel (NYSE:MTL) seems to be rallying now that Putin is busier with some other minor business (Georgia). NRG Energy (NYSE:NRG) was revealed to be a new Warren Buffet holding (this is the company that filed to build new nuclear plants in the US - which should take a good decade to get through all the legal loopholes) - the lemmings jumped right in when the Buffet stake was made public. Ctrip.com (NASDAQ:CTRP) was also an earnings play.

We had pointed out the reasons for the LDK Solar (NYSE:LDK) spike (earnings) and the Sunpower (NASDAQ:SPWR) spike (huge deal potentially with California utility) and I continue to have my eye on Embraer (NYSE:ERJ) - the stock is finally poking its head over resistance - I am gunshy however because this seems to be a market to buy the carnage and sell the breakout. So I'm still debating this name we highlighted a month ago as a dirt cheap stock [Jul 8: Has Embraer Hit Bottom?] - I thought it would rally more since the airlines are so in favor and it builds planes. It has rallied from $27s to $32s since the July 8 piece. In retrospect the answer to the question in the title of my entry is a resounding "yes".

Symbol

Company Name

% Price Change 1 Week

LDG Longs Drug Stores Corp 37.2
ELN Elan Depository Receipt 31.7
MBI MBIA Ord Shs 30.9
LDK LDK Solar Co Ltd 27.8
UAUA UAL Ord Shs 27.4
     
HANS Hansen Natural Corp 23.3
CTRP Ctrip.com 17.8
NVDA NVIDIA Corp 17.8
CY Cypress Semiconductor Corp 16.8
CREE Cree Inc 14.6
UB UnionBanCal Corp 14.4
WEN Wendy's International Inc 14.3
NTES Netease.com Inc 14.3
ONXX Onyx Pharmaceuticals Inc 14.1
HTV Hearst-Argyle Television, Inc 14.0
DRYS DryShips Inc 13.4
STP Suntech Power Holdings 13.2
FOSL Fossil Inc 12.1
EL Estee Lauder Ord Shs Class A 12.1
MTL Mechel ADR Rep 3 Ord Shs 11.9
DISCA Discovery Holding Series A Ord Shs 11.8
STX Seagate Technology 11.7
JCP JC Penney Co Inc 11.7
PBEGF Petrobank Energy and Resources Ltd 11.6
GA Giant Interactive Group Inc 11.5
GM GENERAL MOTORS 11.5
CVC Cablevision Systems Corp 11.5
ENER Energy Conversion Devices Inc 11.2
WFR MEMC Electronic Materials Inc 11.2
IHS Information Handling Services Inc 11.0
GNK Genco Shipping & Trading Ltd 10.7
PENN Penn National Gaming Inc 10.7
ERJ Embraer-Empresa Brasileira de Aeronautica 10.7
NRG Nrg Energy Ord Shs 10.7
TOL Toll Brothers Inc 10.6
OTEX OPEN TEXT CORP 10.5
KSS Kohl's Corp 10.5
LVS Las Vegas Sands Corp 10.5
SBUX Starbucks Corp 10.4
LII Lennox International Ord Shs 10.0

 

 

Below are the stocks in the $1.0B to $1.75B range who returned 13%+ this week - 16 names. Solar names continue to pop up here - and lo and behold a few dry bulk shippers and energy names.

Symbol

Company Name

% Price Change 1 Week

SOL Renesola ADR 30.4
EXM Excel Maritime Carriers Ltd 22.1
IRF International Rectifier Corp 21.2
ENS EnerSys 18.9
PETD Petroleum Development Corp 17.8
PDC Pioneer Drilling Co 15.9
TEN Tenneco Inc 15.7
GEO Geo Group Inc 15.3
ALK Alaska Air Group Inc 15.2
AIXG Aixtron ADR 14.9
TSL Trina Solar Ltd 14.2
CLWR Clearwire Corp 13.9
WINN Winn Dixie Stores Inc 13.5
ESC Emeritus Corp 13.5
ASCA Ameristar Casinos Inc 13.5
IOC INTEROIL CORP 13.0
Source: 41 Stocks Returning 10% or More Last Week