|
PureBytes Links
Trading Reference Links
|
All,
My weekly pick is C Cube Microsystems (CUBE). It provides highly
integrated, standards based digital video compression solutions for
applications in the consumer electronics, computer, and communications
market. CUBE was mentioned on the list several times during the last week,
but I had it in a Long Term Down Trend Channel and wasn't interested until
it broke out. It did break out Thursday and I liked it so much that I
opened a position yesterday at 24.6875. But you are not too late, it
closed below my position price <G>.
CUBE at 23.937 is in a Short Term Up Trend Channel (STUTC) with the
top at 28 and the bottom at 22.5. It dropped from a high of 73.5 in Feb 96
to a low of 16.75 in May. It moved sideways from there until early July
when it started to move up. It broke out of the Long Term Down Trend
Channel (LTDTC) Thursday. The fundamentals are good although the PSR at
2.16 is a little on the high side, the debt/equity is 0.81, insider
ownership is at 22%, revenue growth was over 150% last year and earnings
are recovering. The indicators look like a strong up move to the 52 week
high is a good possibility. I set my initial target at 50 which is just
under the 52 week high and my stop at 21 3/4.
I'm sending a CUBE.GIF chart to everyone on the email list. If you
are not on the list and want on, just yell.
Jim
|