LONDON -- One of Warren Buffett's famous investing sayings is "be fearful when others are greedy and greedy only when others are fearful" -- or, in other words, sell when others are buying and buy when they're selling.
But we might expect Foolish investors to know that, and looking at what Fools have been selling recently could provide us with an indication of investments that might be past their prime.
So, in this series of articles, we're going to look at what customers of The Motley Fool ShareDealing Service have been selling in the past week or so, what might have made them decide to do so, and what the future might hold for the company concerned.
Dividend obsession
SSE� (LSE: SSE ) -- the utilities group formerly known as Scottish & Southern Energy -- has long been a favorite of income-seeking investors because of its spectacular dividend record. It's one of just only five FTSE 100 companies that has, according to SSE's website, delivered a real increase in its dividend for the past 13 successive years. They even describe their one strategic objective of "sustained real dividend growth" as their "dividend obsession".
Top 10 Warren Buffett Stocks To Buy Right Now: Ixia(XXIA)
Ixia supplies converged network and application performance testing solutions in the United States and internationally. It designs and validates a range of Internet protocol (IP) and third generation/long-term evolution networking equipment. The company?s solutions generate realistic traffic to stress routers, switches, and converged network appliances. It provides converged IP test systems and services for wireless and wired infrastructures and services. Ixia serves network equipment manufacturers, service providers, enterprises, and government agencies. The company was founded in 1997 and is headquartered in Calabasas, California.
Top 10 Warren Buffett Stocks To Buy Right Now: Granville Pacific Capital Corp. (GE.V)
Granville Pacific Capital Corp., through its subsidiaries, provides housing and care for the elderly, and residents living with Huntington�s disease or brain disorders in Canada. It operates a 66 bed residential care facility; and a care facility with 112 care beds and 62 assisted living units. The company was incorporated in 1998 and is based in Surrey, Canada.
Top 5 Small Cap Stocks To Watch Right Now: General Steel Holdings Inc. (GSI)
General Steel Holdings, Inc., through its subsidiaries, engages in the manufacture and sale of steel products in the People's Republic of China. It offers hot-rolled carbon and silicon steel sheets primarily for use in the production of small agricultural vehicles and other specialty markets; spiral-weld pipes for the energy sector primarily to transport oil and steam; and high-speed wire and reinforced bar products for the construction industry. The company sells its products primarily to distributors. General Steel Holdings, Inc. was founded in 1988 and is headquartered in Beijing, the People?s Republic of China.
Top 10 Warren Buffett Stocks To Buy Right Now: Axcelis Technologies Inc.(ACLS)
Axcelis Technologies, Inc., together with its subsidiaries, designs, manufactures, and services ion implantation, dry strip, and other processing equipment used in the fabrication of semiconductor chips in the United States, Europe, and the Asia Pacific. It offers a line of high energy, high current, and medium current ion implanters for various applications, such as line of single wafer implanters, known as the Optima platform, comprising the Optima XE, the Optima HD, and the Optima MD. The company also offers dry strip tools, including the Integra RS, which comprises paired-chamber process modules. In addition, it provides aftermarket services and support, such as spare parts, equipment upgrades, maintenance services, and customer training. The company sells its equipment and services through direct sales force, distributors, and manufacturing representatives. Axcelis Technologies was founded in 1995 and is headquartered in Beverly, Massachusetts.
Top 10 Warren Buffett Stocks To Buy Right Now: Kam And Ronson Media Group Inc (KME.V)
Kam and Ronson Media Group Inc., together with its subsidiary, Kam and Ronson Enterprise Company Limited, engages in the distribution of home video program titles primarily in Hong Kong and Macau. The company distributes various titles in digital video disc, video compact disc, compact disc, and blue ray disc formats. It also involves in the production of digital video discs and video compact discs. The company is based in Calgary, Canada.
Top 10 Warren Buffett Stocks To Buy Right Now: Orbital Sciences Corporation(ORB)
Orbital Sciences Corporation develops and manufactures small and medium-class rockets and space systems for commercial, military, and civil government customers. The company operates in three segments: Launch Vehicles, Satellites and Space Systems, and Advanced Space Programs. The Launch Vehicles segment develops and produces small-class launch vehicles that place satellites into low-Earth orbit; interceptor launch vehicles for missile defense systems, including interceptor boosters; and target launch vehicles, such as suborbital rockets and their principal subsystems, as well as payloads carried by vehicles used in the development and testing of missile defense systems. The Satellites and Space Systems segment develops and produces communications satellites that provide cable and direct-to-home television distribution, business data network connectivity, regional mobile telephony, and other space-based communications services; and science and remote sensing satellites tha t are used to conduct space-related scientific research, collect imagery and other remotely-sensed data about the Earth, carry out interplanetary and other deep-space exploration missions, and demonstrate new space technologies. This segment also provides space systems and subsystems, including satellite command and data handling, and attitude control and structural subsystems; and a range of space-related technical services, including analytical, engineering, and production services for space-related science and defense programs. The Advanced Space Programs segment develops and produces human-rated systems to be used in earth orbit, planetary exploration, and other space missions; and small and medium-class satellites and related systems used primarily for national security space missions and related technology demonstration programs. It operates in the United States, Europe, Mexico, South America, Australia, and east Asia. The company was founded in 1982 and is headquarter ed in Dulles, Virginia.
Top 10 Warren Buffett Stocks To Buy Right Now: Anika Therapeutics Inc.(ANIK)
Anika Therapeutics, Inc., together with its subsidiaries, develops, manufactures, and commercializes therapeutic products for tissue protection, healing, and repair. Its products are based on hyaluronic acid (HA), a naturally occurring biocompatible polymer found in the body. The company offers orthobiologics products for providing relief from the pain of osteoarthritis, and regenerating damaged tissue, such as cartilage defects; ORTHOVISC for the treatment of osteoarthritis of the knee and various joints; ORTHOVISC mini for the treatment of osteoarthritis in small joints; and MONOVISC, a single injection product used for the treatment of osteoarthritis in various joints. It also provides wound care products that comprise Hyalograft 3D for the regeneration of skin; and Hyalomatrix for the treatment of burns and ulcers. In addition, the company offers AMVISC, AMVISC Plus, STAARVISC-II, Optivisc, and AnikaVisc which are injectable HA products used as viscoelastic agents in o phthalmic surgical procedures, such as cataract extraction and intraocular lens implantation. Further, it provides INCERT, a HA based product for the prevention of post-surgical adhesions; Hyalobarrier and Hyalobarrier Endo, which are post operative adhesion barriers for abdominal indications; and HYVISC, an injectable HA product used for the treatment of joint dysfunction in horses due to non-infectious synovitis associated with equine osteoarthritis. Additionally, the company offers Merogel, a product used for the treatment of ear, nose, and throat disorders; and provides dermal fillers for facial wrinkles and scar remediation under the ELEVESS and HYDRELLE brand names. It markets its products directly, as well as through a network of distributors primarily in the United States and Europe. The company was founded in 1983 and is headquartered in Bedford, Massachusetts.
Top 10 Warren Buffett Stocks To Buy Right Now: Zuoan Fashion Limited(ZA)
Zuoan Fashion Limited, through its subsidiaries, engages in the manufacture, distribution, and retail sale of men?s apparel products and accessories. It apparel products comprise blazers, jackets, sweaters, shirts, T-shirts, leather jackets, down jackets, pants, and jeans, as well as accessories, such as shoes, bags, ties, belts, socks, and scarves. The company offers its products under the Zuoan brand. As of September 30, 2011, it had 1,246 stores in 27 provinces and municipalities of China. The company also sells its products through the retail stores operated by its distributors and sub-distributors under the Zuoan brand name. The company is headquartered in Shanghai, China.
Top 10 Warren Buffett Stocks To Buy Right Now: Supertel Hospitality Inc.(SPPR)
Supertel Hospitality, Inc. is an independent equity real estate investment trust. The firm invests in the real estate markets of the United States. It primarily invests in limited-service hotels. The firm was formerly known as Humphrey Hospitality Trust, Inc. Supertel Hospitality, Inc. was launched on August 23, 1994 and is based in Norfolk, Nebraska.
Top 10 Warren Buffett Stocks To Buy Right Now: AuthenTec Inc.(AUTH)
AuthenTec, Inc. provides mobile and network security solutions for enterprise, government, and consumer markets worldwide. The company operates in two segments, Smart Sensor Solutions and Embedded Security Solutions. The Smart Sensor Solutions segment designs, develops, and sells mixed-signal fingerprint sensor semiconductors primarily used in the personal computer and mobile device markets; touch-based sensors for government and access control applications; sensors that enable users to access and control various functions on an electronic device; fingerprint sensor chipsets and modules; USB fingerprint readers; and identity management software. The Embedded Security Solutions segment provides a range of embedded security solutions, including hardware intellectual property (IP) and software for implementing in Internet protocols, such as IPsec, MACsec, and SSL/TLS for communications protection; digital rights management for multimedia content piracy prevention; and functio ns comprising secure boot and hardware-based key protection for computing platform integrity. The company primarily sells its products through direct sales force, independent sales representatives, and distributors to original equipment manufacturers, original design manufacturers, contract manufacturers, software application vendors, and service providers. AuthenTec, Inc. was founded in 1998 and is headquartered in Melbourne, Florida.
Advisors' Opinion:- [By Fernandez]
AuthenTec (NASDAQ: AUTH): AuthenTec is the world’s leading provider of fingerprint sensors and solutions to the wireless, PC and Access Control Markets.
If you’ve been following my picks lately, it will come as no shock that AuthenTec is hurting as a result of a significant customer loss, that will severely impact 2009-2010 sales and earnings, and raises serious questions as to whether or not AuthenTec can even sustain themselves as an ongoing company.
That being said, AuthenTec just released earnings this week, and as I wrote, things weren’t horrible.
There were some positive developments including news that the customer loss that they thought was going to affect their revenue and earnings in the back half of 2009, will not actually impact them until well into 2010, thus allowing AuthenTec more time to make up the difference and find new customers and applications to overcome this loss.
You can read all about AuthenTec’s last company update and conference call about these issues here.
With shares trading at around $2.00 per share as of this writing, the downside is limited as a result of AuthenTec having $2.38 per share in cash, and a tangible book value of about $2.58 per share.
With a market cap of only $53 million, and having $67 million in cash on their balance sheet with no debt, the stock is currently trading below cash value!
I do not recommend purchase of shares in AuthenTec for those that are risk averse, and for only those who can stomach further losses, or are playing this stock for the bounce back that might come as a result of a takeover.
For AuthenTec’s intellectual property alone, there is value in the shares of the company, and I would not be surprised to see AuthenTec bought out by a larger player within the next 6-12 months because of their dirt cheap valuation, and the assets that they do possess.
If you own shares of AuthenTec, now is not the time to sell. There is some value here that is ! not currently priced into the shares of the stock.
If you don’t own shares, tread lightly, and at your own risk.
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