Final Closing Commentary:
Today is that last day for Zacks Elite, the service will end tonight around midnight CST. We would just like to thank all of our subscribers and want to express our gratitude for your commitment over the years.
It has been a pleasure running the service and we wish you all many more years of successful investing. You will be in good hands with any of the other programs offered by Zacks, included Zacks Premium, the Focus List 100 and the Home Run Investor.
As for your current holdings from the Focus List, Growth & Income or Timely Buys we are officially closing them out for reporting purposes. But, if you want to keep holding them we advise that you keep a close eye on the earnings estimates. Once the outlook starts to fade, go ahead and sell them. Take a look below for an update on LZ though.
Again, thank you from all of us at Zacks Elite -
Tracey, Mike, Todd, Jim, Sheraz and Bill
Carbo Ceramics, Inc. (CRR) was a winner in the weak market, adding 2.88% on the day as investors quickly moved back into energy stocks in the afternoon rally.
Apple Inc. (AAPL) was also in the green, adding .45% in the down market on a strong showing from its iPad 2 over the weekend.
Lubrizol (LZ) was one of the top stories on the trading floor today after Berkshire Hathaway announced it would be buying the lubricant maker for $135 a share in all cash. Shares closed up 28% at $134.68. The deal is expected to close in the third quarter.
For some investors, it will make sense to simply sell the stock at this level- especially if you believe that no other offers will be forthcoming which is usually the case with Buffett's acquisitions. Shares are at all-time highs. Investors could easily cash in their holdings here and take the cash now instead of waiting until the deal actually closes. The portfolio will end up with a gain of 47% after buying shares in August 2010. It's been a great holding for us.
Coach (COH) lost 5.3% on big volume today on fears about the Japanese retail market. Japan is one of Coach's largest markets with 161 store-in-shops and retail and factory stores. Most of the luxury retailers with large operations in the country traded down today. Coach has not released a statement saying if any of its retail stores have been affected by the earthquake or tsunami. Today's trading action was simply a "trading on the unknown" type of sell-off. We're still up 60% in the Growth & Income portfolio after adding the stock on Oct 21, 2009.