Picking the Slaughtered

 | Apr 24, 2014 | 10:35 AM EDT
  • Comment
  • Print Print
  • Print
Stock quotes in this article:










No price they won't sell? It sure feels like it. I write that because if a stock has real growth, not manufactured growth, but no dividend and little to no buyback, it is being crushed right now.

Some are calling it the denouement of high-growth investing. Others are saying that it is simply the washout at last. Still others are saying that this is the bond market showing too much strength in regard to Ukraine and when we have seen interest rates go down it does provoke selling. 

I think it is case by case unless it is in high-multiple tech or ANYTHING biotech. ANYTHING.

What's so incredible to me is that you get situations like Facebook (FB) where the company literally threw boilerplate cold water on growth and people believed it.

You have companies that are cautious on growth, notably Qualcomm (QCOM) and Xilinx (XLNX) and people believe it.

You take a look at the software as a service companies and we see -- for the moment -- that there is no price anyone will pay for these, almost as if someone put on a short basket right at the opening and everyone who bought was picked off. It is a remarkable development.

I don't trust the selloff, meaning there are stocks with good earnings going down as fast as companies with no earnings, but good revenues. The only stocks that are up right now are looking like Caterpillar (CAT) and GM (GM), both with very low expectations.

I am a picker of the slaughtered with good earnings, even in light of bonds and Ukraine.

I am not a buyer of what's up.

You had to do that yesterday.

Columnist Conversations

Spent a good amount of time with PayPal CEO Dan Schulman this week...and came away fully understanding why thi...
Has quietly taken a mini beating over the past few weeks. Might be worth a look on Monday given everything tha...



News Breaks

Powered by


Except as otherwise indicated, quotes are delayed. Quotes delayed at least 20 minutes for all exchanges. Market Data provided by Interactive Data. Company fundamental data provided by Morningstar. Earnings and ratings provided by Zacks. Mutual fund data provided by Valueline. ETF data provided by Lipper. Powered and implemented by Interactive Data Managed Solutions.

TheStreet Ratings updates stock ratings daily. However, if no rating change occurs, the data on this page does not update. The data does update after 90 days if no rating change occurs within that time period.

IDC calculates the Market Cap for the basic symbol to include common shares only. Year-to-date mutual fund returns are calculated on a monthly basis by Value Line and posted mid-month.