DOLLARS & SENSE : COMPANY SPOTLIGHT.Name: Superior National Insurance Group Inc. HQ: 26601 Agoura Road, Calabasas. BUSINESS: Insurance group that sells workers' compensation policies. Has subsidiaries that provide data processing, vocational rehabilitation, legal and paralegal services. Major competitors include American International Group, Zenith National Insurance and the State Compensation Insurance Fund. In December, Superior completed the purchase of Foundation Health Systems Inc.'s workers' compensation insurance subsidy, Business Insurance Group, for $285 million. Annual revenue: $153.6 million in calendar year 1997, up 59 percent from $96.4 million the prior year. Revenues through third quarter 1998 were $147 million. Annual revenue: Lost $2.1 million (or 30 cents per diluted share) in 1997, compared with a $3.6 million (75 cents per diluted share) profit the prior year. Net income for the nine months of 1998 was $6.2 million, or 79 cents per diluted share. Ticker symbol: SNTL. Friday close: $18.25. Web site: www.superior.com. Company contact: J. Chris Seaman, executive vice president and chief financial officer, (818) 878-2240. INVESTOR SPOTLIGHT Name: Bryan Stockton. Residence: Burbank. Occupation: High school student. Age: 16. How he got started: Stockton listened to his parents: It's never too early to start planning for your future. Borrowing some books from the library - Peter Lynch's ``Beating the Street'' is a favorite - he began learning about the stock market. Using his savings, he took the plunge and bought Disney as his first stock. He was rewarded with a 3-for-1 split. That success led to another winner, Dell Computer. Stockton chooses companies with a household name and a strong potential for growth. But they also should show good profits and acceptable price-to-earnings ratio. Best stock pick: Disney. He bought it for a split-adjusted $24.67 a share. It closed at $36.0625 on Friday. Worst stock pick: Dreyfus Capital Appreciation Fund Capital Appreciation Fund A mutual fund that attempts to increase asset value primarily through investments in growth stocks. The heavy investment in growth stocks increases the risk associated with these types of funds. Also called "aggressive growth fund".Notes: As its name suggests, a capital appreciation fund seeks to deliver value to shareholders by investing in companies with appreciating share prices.. He bought it for $42 a share and sold it at $42.60 after two months. Investment philosophy: ``I don't go for Internet stocks. I think they are all too risky. I like to invest in a solid company with potential for growth. I like companies that I'm familiar with.'' CAPTION(S): Photo PHOTO (Color) Bryan Stockton |
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