We are all wrong so often that it amazes me that we can have any conviction at all over the direction of things to come. (Jim Cramer)
If you have seen any of my previous posts, you will notice an absence of touting stock. This is because I like to play long, and this particular bear market eats people like me alive.
Today I receive an email from George who is a friend of mine from my days when I managed heavy construction projects:
Prior to attending the Conexpo show in March of this year, I stopped in Quincey, Illinois to visit Titan International (NYSE:TWI), a tire manufacturer for ag and industrial products. In conversations with Maurice Tayler, CEO, I learned of his efforts to break into the big tire business to serve the mining community...i.e. 14' diameter tires, new compound technology and new wheels as well. These tires go under 400 ton trucks working the tarsands in Canada. He was just about to start production with the first test set.I was so impressed by what he was doing, I bought $10,000.00 of their stock. It gained in value over several months and just realized a 5 to 4 split. I bought $5000.00 more last month.
In my opinion, the tires will be in competition with Goodyear (NYSE:GT), Bridgestone [BGT.DE] and Michelin [ML.PA] but Titan has a lot of new technology in their offering and the other manufacturers have not done anything with their tires since inception.
I think this company will be a major force in OTR big tires and I'm in the stock for at least another year.
Might be something you want to check out.
Titan just broke off talks to purchase Titan Europe, and their stock price increased on the news.
A stock like this is a long play – good company, good management, good product. George is an old warrior who has served the mining heavy equipment industry from before Christ was born. If George thinks Titan is a good play, believe me that it is good.