weiwentg

What to Buy and Why: Barron's 2009 Roundtable, Part II

As for AMAT, semis are cyclical, but AMAT is probably the best among all the semi stocks. It has larger scale than its competitors as well as an emerging solar business. I think we're around the bottom of the cycle - this is the time to buy AMAT.

As to Abby's pick of BAC common, I have to say that BAC (which I bought around $48) is starting to look like a deep value play. Ken made a blunder with the Merrill acquisition. However, BAC is not as scattered as Citi. Merrill's brokers are a solid asset. The bank has a dominant and stable retail presence in the US. The terms of the last aid package were not onerous. BAC is also too big to nationalize. I would prefer that Ken Lewis step down in atonement for the Merrill fiasco, but I think the bank will survive. $7 a share is not reasonable, either.