Tuesday, March 31, 2009

Portfolio Update March 2009

Portfolio Growth (YTD) 42.67%
Portfolio Value (Asset Value) $16,552.38
Account Value (Owner's Equity) $12,117.19
Outstanding Shares 100,000
Wittaya Wongwanich 88,362
Pramote Lumyai 11,638
Price/Share $0.1655
Capital Inflow $0
Capital Outflow $0
Fund Purchasing Fee $0
Total Capital $11,600.00
Wittaya Wongwanich $10,250.00
Pramote Lumyai $1,350.00
Asset Category
Cash Acct Balance ($0.78)
Margin Acct Balance $4,435.97
Margin Loan Balance $0
Equity $12,117.19
Fixed Income $0
Commodity $0
Real Estate $0
Options $0

Friday, March 20, 2009

Screen Potential Candidate EP V

Momentum Stocks

Trading on a short-term basis has provided both boom and bust outcomes for many. The theory of investing in stocks based on technical factors such as volume traded, comparative price changes, and recent price changes was, and is, the home for day traders.

Yet, with that said, it has to be understood that there are those who want hot stocks and lots of trading action for a portion of their portfolio. Still, whether or not you believe that this is a good investment strategy is another story altogether.

Screening can be used to find information about the underlying technicals of a stock. A wonderful search that can be found directly on the MSN Money website looks for stocks whose prices have moved rapidly higher during the past six months. The screen also has requirement of at least a $100 million market cap and an average daily volume of at least 10,000, to help exclude very small companies.


The primary result will be stocks with terrific performance over the past few weeks. It also searches for companies with increasing trading volume. Theoretically, the increased volume
will lead us toward stocks that are finding more interest with investors.

Criteria We Used:
  1. Market Cap more than 1 Billion.
  2. On Balance Volume between 80 and 300.
  3. Average Daily Volume Last 2 Weeks more than Average Daily Volume Last Month.
  4. Average Daily Volume Last Month more than Average Daily Volume Last Quarter.
  5. Average Daily Volume Last Quarter more than Average Daily Volume Last Year.
  6. Average Daily Volume Last Month more than 10,000.
  7. 6-Month Relative Strength more than 90.
  8. 12-Month Relative Strength more than 90.
  9. 3-Month Relative Strength more than 6-Month Relative Strength.
  10. Percent Price Change 1 Week more than 5%.
As you look at the screening criteria for this search, notice how the progression starts from the most recent time period and extends forward. The next time period of volume is compared
to the previous to ensure gains during the more recent period. Momentum is the goal here.

With that in mind, it is time to move on to the next topic in order to help bring some of this together. It is wise to remember that none of the disciplines that are presented represent a
black-box answer to investment analysis. Only when combined with the appropriate investment research and analysis should a decision be reached to buy or sell a stock.


Use each of the disciplines as building blocks to gain insight into the future direction for your investments. Then develop a thorough understanding of the company, and the answers to the many questions you seek will become clear.

Tuesday, March 17, 2009

Apple Store, Fifth Avenue. You got it !!!

New York City, the city that never sleeps, there’s a store that never stops. the Apple Store at 5th Avenue in Midtown Manhattan, they open 24 hours a day, 365 days a year. Whenever you ready to see and test-drive the latest Apple products, they ready to serve you. Such a cool design; a unique glasses box-like shaped exterior with a spiral stair to basement and very sleek store layout.

Tuesday, March 3, 2009

Science vs. Philosophy

"Science gives us knowledge, but only philosophy can give us wisdom."

By Will Durant, A prolific American writer, historian, and philosopher

Monday, March 2, 2009

Screen Potential Candidate EP IV

GARP (Growth at Reasonable Price)

Contrarian plays have long been attractive strategies for those investors who do not have the stomachs for high-ratio stocks. By their very nature, these types of strategies expose stocks that have fallen from grace within the eyes of the markets. They also find ones that have never caught fire while growing at rates appropriate to their underlying fundamentals.

Somewhere in between the world of growth and value investing is the GARP (growth at a reasonable price) patron. This theory focuses on finding opportunities with a modest risk within the realm of smaller capitalization stocks. To control risk, companies with proven management structures with sound balance sheets and strong standings in their industries, while simultaneously avoiding those that are already overpriced.

Criteria We Used:
  1. Market Cap less than 1 Billions.
  2. Income Per Employee more than Industry Average.
  3. Inventory Turnover more than Industry Average.
  4. D/E less than 50%.
  5. 5-Year Revenue Growth more than 20%.
  6. EPS Growth Next 5 Years as High as possible.
  7. P/E Ratio less than EPS Growth Next 5 Years.
  8. PEG Ratio Below 1.
The information returned from this hybrid technique, which employs multiple levels of filters, will help find additional opportunities for investment. For the most part, looking at both the income per employee and the inventory turnover helps to seek out those companies that have an edge over their industry constituents. Each of the resulting stocks from this screen likely reflects the company’s ability to understand the distribution and manufacturing process of the goods they are selling.


When a company consistently shows the ability to be a leader within these two important areas, there may be something further to review.

Debt to equity is very important to keep at a minimum, especially in smaller companies. The impact of large debt loads are most pronounced with small-cap firms. As this screen hunts for companies with market capitalization of under $1 billion, this particular overlay provides a better positioning with companies that have lower than average debt.

Finally, the earnings per share (EPS) and PEG ratio fields filter for stocks that show reasonable growth. The requirement to screen out those companies with PEG ratios above one and those that have P/E ratios above their projected EPS growth rates is very important. By doing so, it will be clear that the results will have analysts showing that they believe in the stock’s prospect for growth and that most investors have not over exaggerated the buying. Therefore, the current price is in line or lower than it should be, taking into consideration earnings and earnings growth.