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Wednesday, July 12, 2006

Notablecalls - Paperstand

The Wall Street Journal "Heard on the Street" column suggests that private equity goes shopping for retailers. "There is a lot of private-equity money sloshing around looking for a home," said Patricia Edwards, of Wentworth, Hauser & Violich. "Retailers that have fallen on hard times can offer a good return if it appears they could still generate good cash-flow returns and are underleveraged." Potential buyout targets include JWN, HD, HOTT, PSUN, GPS, PETC, ZLC, BJ and BGP.


Barron's Online recommends investing in the electronic-equipment sector in a increasing interest rate environment. These are mostly small- and mid-cap co's that sell a broad array of technology to overseas mkts, where credit tightening is just starting to take hold, allowing co's to buy some extra time. Stocks mentioned include Agilent (A) and Amphenol (APH). Agilent may reach $42 and Amphenol may go up to $70 over the next 12 months.


According to the Barron's Online, since May 8, five Starbux (SBUX) insiders, including founder and Chmn Howard Schultz and CFO Michael Casey, have either sold, or exercised their options to sell, a total of $75.1m in shares. The bulk of the selling was done by Schultz, who exercised his options to sell 1.7m shares for a total of $62.1m.


Notbalecalls: Nothing actionable, but all good to know.

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