Schaeffer's "Behind the Headlines" Highlights the Following Stocks: American Railcar Industries, AngioDynamics, Lear, and Lowe's Companies.CINCINNATI -- Today's "Behind the Headlines" from Schaeffer's Investment Research focuses on American Railcar Industries (NASDAQ NASDAQ in full National Association of Securities Dealers Automated Quotations U.S. market for over-the-counter securities. Established in 1971 by the National Association of Securities Dealers (NASD), NASDAQ is an automated quotation system that reports on :ARII ARII American Railcar Industries Inc (St Louis, Missouri) ), AngioDynamics (NASDAQ:ANGO ANGO Algemene Nederlandse Gehandicapten Organisatie (Dutch: Equal Opportunities for Persons with Disabilities) ), Lear (NYSE NYSE See: New York Stock Exchange :LEA), and Lowe's Companies (NYSE:LOW). "Behind the Headlines" is a report that analyzes newsworthy news·wor·thy adj. news·wor·thi·er, news·wor·thi·est Of sufficient interest or importance to the public to warrant reporting in the media. news stocks that are generating a lot of attention on Wall Street. "Behind the Headlines" is published on www.SchaeffersResearch.com - the home of Bernie Schaeffer and Schaeffer's Investment Research. Take advantage of the timely Schaeffer commentaries by signing up for their free e-newsletters -- Opening View, Market Recap, and Monday Morning Outlook. Click here to have the Schaeffer's commentaries delivered to you free via email every day and get entered to win an iPod Nano A flash-based digital music player from Apple, introduced in 2005. Like larger iPod models, the nano has a color screen. Although the nano name suggests ultra-small "nanotechnology," the iPod shuffle is actually smaller. See iPod. . http://www.schaeffersresearch.com/redirect.aspx?CODE=PROAW13M&PAGE=1. Behind the Headlines: American Railcar Industries: After the close on Monday, American Railcar Industries (NASDAQ:ARII) announced that it will make and sell 2,400 tank railcars to American Railcar Leasing, which is controlled by Carl Icahn Carl Celian Icahn (born February 16, 1936) is an American billionaire financier, corporate raider, and private equity investor. Carl Icahn Net worth is $14.5 Billion as of 2007 Forbes estimate. , American Railcar Industries' chairman and principal shareholder. The company stated that its new contract with American Railcar Leasing, together with other contracts for a total of 2,000 railcars per year in each of 2008 and 2009, provides the company with sufficient backlog to fill the initial expected capacity of its new plant being built in Arkansas through its first two years of operations. The stock has rallied more than one percent on the positive news, but the equity has been halted by its descending descending /des·cend·ing/ (de-send´ing) extending inferiorly. 80-day moving average, which it has not closed a session above since the beginning of June. A continued rejection at this trendline could result in a breakdown below support in the 26.50-27.50 region. Click the following link to see a Daily Chart of ARII since May 2006 with 80-Day Moving Average: http://www.schaeffersresearch.com/wire?ID=17418 . AngioDynamics: Also reporting news last night was AngioDynamics (NASDAQ:ANGO). The firm announced a first-quarter profit of 12 cents per share Cents per share The amount of a mutual fund's dividend or capital gains distributions that a shareholder will receive for each share owned. , beating the Street estimate by two cents. The company also backed analysts' 2007 earnings outlook. The shares of ANGO gapped higher on the news, taking out resistance in the 19 region, which had capped the stock since it gapped lower on August 11. What's more, the security is finding a layer of support at the 21 level, which marks the upper level of its August 11 gap. However, from a longer-term perspective, the stock is facing staunch resistance at its declining 20-week moving average, which has halted the equity's rally attempts since the beginning of June. Click the following link to see a Daily Chart of ANGO since July 2006: http://www.schaeffersresearch.com/wire?ID=17418 . Lear: Sticking with positive news, Lear (NYSE:LEA) enjoyed an upgrade at UBS UBS Union Bank of Switzerland UBS United Bible Societies UBS United Blood Services UBS United Buying Service UBS Used Bookstore UBS University Business Services UBS Universal Building Society (UK) UBS Ulaanbaatar Broadcasting System this morning from "reduce" to "neutral," citing a 34-percent fall in the company's share price since May. The stock has edged higher nearly seven percent this afternoon on the upgrade, but has been halted by resistance at the 20 level. This region has served as support in the past and is now providing a layer of resistance. What's more, the stock is facing additional resistance at its declining 10-month moving average in the 22.50 area. Since May 2004, LEA has logged only two monthly closes above this trendline. Click the following link to see the Daily Chart of LEA since March 2006: http://www.schaeffersresearch.com/wire?ID=17418 . Lowe's Companies: Now turning to a little negative news. Last night, Lowe's Companies (NYSE:LOW) warned that it now expects fiscal 2006 per-share earnings at the lower end of its outlook of $2.00 to $2.07. The retailer added that revenue for the period is below its expectations. Surprisingly, the shares rallied after a weak start to the session and are currently hovering hov·er intr.v. hov·ered, hov·er·ing, hov·ers 1. To remain floating, suspended, or fluttering in the air: gulls hovering over the waves. 2. at breakeven breakeven 1. The level of output or sales necessary to cover fixed expenses. Companies in industries that have high fixed costs and, consequently, high breakevens, such as automobile and steel manufacturing, are likely to exhibit large fluctuations despite the negative news. The stock is currently perched on support at its 50-month moving average, which halted LOW's pullback Pullback A falling back of a price from its peak. This type of price movement might be seen as a brief reversal of the prevailing upward trend, signaling a slight pause in upward momentum. on a number of occasions since November 1995. Furthermore, the equity has overcome resistance at its 50-day moving average and is now using this trendline as support. Click the following link to see a Monthly Chart of LOW since October 1995 with 50-Month: http://www.schaeffersresearch.com/wire?ID=17418 . The best way to take advantage of the timely Schaeffer commentaries is to sign up to receive their free e-newsletters -- Opening View, Market Recap and Monday Morning Outlook. Click here to have the Schaeffer's commentaries delivered to you free via email every day and get entered to win an iPod Nano. http://www.schaeffersresearch.com/redirect.aspx?CODE=PROAW13M&PAGE=1 . About Schaeffer's Investment Research (www.SchaeffersResearch.com) Schaeffer's Investment Research, founded by Bernie Schaeffer in 1981, is a financial information and trading resources company. It publishes Bernie Schaeffer's Option Advisor, the nation's leading options subscription newsletter. The firm's contrarian Contrarian An investment style that goes against prevailing market trends by buys assets that are performing poorly and selling when they perform well. Notes: A contrarian investor believes that the people who say the market is going up do so only when they are fully approach focuses on stocks with technical and fundamental trends that run counter to investor expectations. The firm's website, http://www.SchaeffersResearch.com , is recognized as one of the leading information sources for stock and options traders and was cited as the top options website by both Forbes and Barron's. Click here for more details about Schaeffer's trading methodology: http://www.SchaeffersResearch.com/method . |
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