THE VALLEY'S STOCK SUPERSTARS; READERS PIT MARKET SAVVY IN DAILY NEWS INVESTING CONTEST.Byline: Deborah Adamson Daily News Staff Writer Answer: A homemaker, a retired IRS An abbreviation for the Internal Revenue Service, a federal agency charged with the responsibility of administering and enforcing internal revenue laws. agent, a golf-loving sales manager sales manager n → gerente m/f de ventas sales manager n → directeur commercial sales manager sale n → , a mechanic and an Air Force administrator. Question: Who were chosen to compete in the Daily News stock-picking contest? They came from all over town and from all walks of life. But they all had this in common: They love to invest in the stock market. When the call went out for participants to join the stock-picking contest, readers deluged the Daily News with letters, faxes and e-mail. In less than a week, hundreds took the time to tell us about themselves - they were teen-agers, young couples, baby boomers See generation X. and grandparents grandparents npl → abuelos mpl grandparents grand npl → grands-parents mpl grandparents grand npl . They ranged from the presidents of small companies to stock-savvy grocery clerks. Even readers without any experience in the stock market were eager to compete against each other and the business section's mascot MASCOT - Modular Approach to Software Construction Operation and Test: a method for software design aimed at real-time embedded systems from the Royal Signals and Research Establishment, UK. , Mark T. Maker. The stakes, though fictitious Based upon a fabrication or pretense. A fictitious name is an assumed name that differs from an individual's actual name. A fictitious action is a lawsuit brought not for the adjudication of an actual controversy between the parties but merely for the purpose of , are high: Invest $100,000 in the stock market. Beat the pants off everyone else. Be showered with fame and glory. The chosen five's initial investments were based on the closing prices Aug. 1. Several contestants chose technology stocks for their portfolios, while one went for blue-chip firms. Others diversified diversified (di·verˑ·s their portfolio across many industries, focusing on performers rather than specific markets. The participants can change their holdings once a week, but it will cost them $50 per trade regardless of the number of shares. And they've only got six months to show their stuff, since the contest ends Feb. 1. No ``buy-and-hold'' philosophies here. Readers can follow the contestants' progress as well: Their photos and portfolio value will be updated weekly in Monday's Money & Careers section. Mark T. Maker will join the contest. Since he's a local, he'll be rooting for companies headquartered in the Daily News circulation area. Without further ado Ado (ä`dō), city (1987 est. pop. 287,000), SW Nigeria. Located in a region where rice, corn, cassava, and yams are grown. Traditionally an important cotton-weaving town, Ado also manufactures bricks, tile, and pottery. , here are the contestants: Name: Michele Cohn Town: Chatsworth Age: 30 Occupation: Homemaker Investment experience: She began investing three months ago after years of listening to her brother-in-law - a supermarket assistant manager - advocating the idea. ``Getting a 2 percent interest rate at the bank isn't enough,'' she explained. ``He said, `Make your money work for you.' '' Since her husband works in the computer industry, Cohn feels comfortable with technology stocks - reflected by her choices for the stock-picking contest. She also likes the high-tech industry because these stocks have lost ground in the past year and ``have a lot to make up.'' Cohn likes inexpensive stocks as well, so her limit is usually $20 a share. She researches her stocks by checking on their earnings, price to earnings ratio, stock price history and news about the companies. She gets up at 6:30 a.m. to watch a business news TV channel before she feeds and plays with her 4-year-old son, Ryan - he beats her in the Mario Brothers video game - and launches herself into her daily routine. Even Ryan has gotten in tune with his mother's investment zeal Zeal Bows, Mr. crippled fiddler with intense feelings. [Br. Lit.: Pendennis] Cedric of Rotherwood zealous about restoring Saxon independence. [Br. : He surprised her one day by yelling yell v. yelled, yell·ing, yells v.intr. To cry out loudly, as in pain, fright, surprise, or enthusiasm. v.tr. To utter or express with a loud cry. See Synonyms at shout. n. out the business channel's station ID complete with its call letters call letters pl.n. The identifying code letters or numbers of a radio or television transmitting station, assigned by a regulatory body. Also called call sign. . He also attempted to negotiate his allowance, asking for $5 a week when Cohn offered $1. Mom won. Ryan saves his allowance in a fish bowl. Stock picks: Syquest - 10,000 shares at 2 17/32 Fore Systems See Marconi. - 1,400 shares at 15 15/16 Topro - 5,750 shares at 5 27/32 Kollmorgen - 1,000 shares at 18-1/2 Portfolio on Aug. 1: $99,726.56 stocks, cash $273.44 Portfolio value on Friday's close: 102,667 Name: Mildred Chavez Town: Glendale Age: 76 Occupation: Retired IRS agent Investment Experience: A female friend who invested in the stock market gave Chavez's name to her stock broker 21 years ago. He called and got her invested in San Diego San Diego (săn dēā`gō), city (1990 pop. 1,110,549), seat of San Diego co., S Calif., on San Diego Bay; inc. 1850. San Diego includes the unincorporated communities of La Jolla and Spring Valley. Coronado is across the bay. Gas & Electric. But Chavez didn't really get into the market until eight years ago. ``It's more fun than bridge,'' said the retiree. ``My husband plays the horses, I play the stock market.'' Her philosophy is to buy and hold. One stock she's had for 20 years. When Chavez does sell, she laments that it's never at the right time. ``I sold my Bank of America
Bank of America (NYSE: BAC TYO: 8648 ) is the largest commercial bank in the United States in terms of deposits, and the largest company of its kind in the world. and Ahmanson too soon,'' she said. ``Story of my life.'' She looks for good companies whose stock prices are under the gun because of recent problems. ``I like to buy them when there's blood on the streets,'' she said. ``I like turnarounds, like Apple and Unisys.'' Chavez picked Apple last week because founder Steve Jobs Steve Jobs - Stephen Jobs returned to the company as a director and interim chairman and Oracle founder Larry Ellison Lawrence Joseph Ellison (born August 17, 1944) is the co-founder and CEO of Oracle Corporation, a major database software company. Early life Ellison was born in New York City to Florence Spellman, a 19-year-old unwed Jewish mother. joined the board. She obviously couldn't predict Microsoft's stunning announcement last week that it was investing in Apple, a development that sent Apple's stock soaring. While a good amount of her retirement income is in the stock market, her goal is not to get rich. ``I'm comfortable, not wealthy,'' she said. ``But you can only sleep in one bed, sit in one chair and eat one meal at a time.'' Her simple life doesn't stop her grandchildren GRANDCHILDREN, domestic relations. The children of one's children. Sometimes these may claim bequests given in a will to children, though in general they can make no such claim. 6 Co. 16. from calling her the money grandma. That's because Chavez doesn't give them sweaters that they'll end up returning to the store. ``There's something they always like: M-O-N-E-Y,'' she said, singing the last part. ``I go to the bank and get a nice crisp bill. When I give it to them, boy, do their eyes shine.'' Stock picks: Apple - 500 shares at 19 3/16 Unisys - 1,000 shares at 11 3/16 AT&T - 300 shares at 37-1/4 Iomega - 500 shares at 22-1/8 Glendale Federal Bank - 300 shares at 28-5/8 Telefonos de Mexico - 200 shares at 55 1/16 Cirrus -- 500 shares at 13 7/16 C-Cube -- 400 shares at 24 Quantum -- 500 shares at 29 7/16 Xoma -- 1,000 shares at 5-1/4 Portfolio on Aug. 1: $98,906.25, cash $1,093.75. Portfolio value on Friday's close: $108,061 Name: Jeffrey Wood Jeffrey Wood (born September 12, 1969 in Juneau, Wisconsin) is currently a Republican member of the Wisconsin State Assembly representing the 67th district since 2002. He attended University of Wisconsin-Eau Claire in Eau Claire, Wisconsin. Town: Moorpark Age: 30 Occupation: Sales manager Investment experience: He started investing a year and a half ago at the urging of family members. ``The stock market was moving up, and it was a good time,'' he said. Wood and his wife have been putting $300 to $500 a month in the stock market. Scrupulous scru·pu·lous adj. 1. Conscientious and exact; painstaking. See Synonyms at meticulous. 2. Having scruples; principled. savers, they faithfully save 20 percent of their combined salaries. They also contribute to the maximum of their 401(k) plans at work. ``Are we loaded? No, not at all,'' Wood said. ``In 20 years, maybe. We're working hard now so we don't have to work hard in the future.'' While he's employed in the payroll services industry, Wood's heart is in computer stocks. ``I'm a big Internet fan,'' he said. ``This whole electronic age is exciting.'' He picked companies that make computer hardware, software and related peripherals. He thinks Microsoft and Cisco may be due for a stock split and read that Stac Inc. plans to buy back its stock. He also likes Sun Microsystems Sun Microsystems, Inc. (NASDAQ: JAVA[3]) is an American vendor of computers, computer components, computer software, and information-technology services, founded on 24 February 1982. because it created Java, a computer language of the Internet. But Wood does have one emotional pick: 3Com. ``I don't really know why I like them. Maybe it's because I'm a 'Niner fan and they gave Candlestick Candlestick A price chart that displays the high, low, open, and close for a security each day over a specified period of time. Park a lot of money to change its name to 3Com,'' he said. Stock picks: Apple - 200 shares at 19 3/16 3Com - 150 shares at 54 5/16 Cisco - 550 shares at 79 13/16 Microsoft - 100 shares at 140-5/8 Oracle - 200 shares at 54-7/8 Stac - 1,100 shares at 4-1/8 Sun - 275 shares at 45 1/16 Portfolio value on Aug. 1: $97,848.44, cash $2,151.56. Portfolio value on Friday's close: 99,834. Name: Clifford Harwood Town: Encino Age: 49 Occupation: Mechanic Investment experience: Two decades ago, he started with mutual funds and when they did well, he began investing in individual stocks. At work, his co-workers often ask him investment advice. Over lunch, they pore pore (por) a small opening or empty space. alveolar pores openings between adjacent pulmonary alveoli that permit passage of air from one to another. over the business pages. While HarwooNd watches the market and understands the technical fundamentals of picking stocks, he trusts his instincts most of all. ``I have these feelings. It's bizarre,'' Harwood said. He told friends that the market was going to crash in October 1987 - himself getting out a week before the Dow Jones Industrial Average Dow Jones Industrial Average The best known U.S. index of stocks. A price-weighted average of 30 actively traded blue-chip stocks, primarily industrials including stocks that trade on the New York Stock Exchange. lost more than 500 points - close to 20 percent - in a single day. While he makes a comfortable living at his job, Harwood says he makes more money in the market. The Japanese culture fan likes high-quality stocks, picking well-established companies such as General Electric and Coca-Cola. Stock picks: Allied Signal - 108 shares at 91 15/16 American Express American Express (NYSE: AXP), sometimes known as "AmEx" or "Amex", is a diversified global financial services company, headquartered in New York City. The company is best known for its credit card, charge card and traveler's cheque businesses. - 120 shares at 83-1/8 Boeing - 170 shares at 58-1/2 Coca-Cola - 145 at 68-5/8 General Electric - 144 shares at 69-1/8 Merck - 97 shares at 102-1/2 Philip Morris - 222 shares at 45 Goodyear - 153 shares at 65-1/8 Sears - 160 shares 62-1/4 Union Carbide Union Carbide Corporation (Union Carbide) is one of the oldest chemical and polymers companies in the United States, and currently has more than 3,800 employees. - 181 shares at 55 1/16 Portfolio value on Aug. 1: $99,576.81, cash $423.19 Portfolio value on Friday's close: 97,426.24 Name: Lorraine Sadler Town: Palmdale Age: 63 Occupation: USAF administration officer Investment experience: The stock market didn't interest Sadler until she saw the Beardstown Ladies The Beardstown Ladies were a group of older women who formed an investment club, formally known as the Beardstown Business and Professional Women's Investment Club, in Beardstown, Illinois, USA. , an investment club of senior citizens, on television about two years ago. Intrigued, she bought one of their books and their video on investing. ``It didn't interest me until I saw those ladies,'' she said. ``They made it fun, not work.'' In January, she founded the Westpark Investment Club. Not only can she read Value Line, a financial research journal, but she can follow the stock pages and understand many financial terms. ``I had zero experience as far as stocks are concerned. My friends also knew zip about the market,'' Sadler recalled. ``If someone had told me that I would be reading Value Line (today), I would have said they were nuts. I had not even heard of it beNfore my brother told us about it.'' Sadler is starting her 11-year-old grandson early on investing - she gave him a few shares of Disney and Pepsi. For the contest, she chose a variety of stocks that are volatile but with a potential to appreciate quickly. Stock picks: Intel - 100 shares at 93-5/8 Mylan - 1,000 shares at 18 Ascend - 200 shares at 53 9/16 Western Digital - 200 shares at 39-5/8 Oracle - 200 shares at 54-7/8 Quantum - 400 shares at 29 7/16 Cisco - 150 shares at 79 13/16 Gateway 2000 - 150 shares at 39-1/4 American Express - 100 shares at 83-1/8 Callaway Golf - 125 shares at 35 Portfolio value on Aug. 1: $99,296.87, cash $703.13. Portfolio value on Friday's close:105,779.42 Mark T. Maker, the Daily News Business mascot, is a local boy, so he prefers to invest in area companies for the stock-picking contest. With help from the business staff, he picked seven companies in promising markets that have shown double-digit earnings growth in recent years. While these firms might not have a low price-to-earnings ratio Noun 1. price-to-earnings ratio - (stock market) the price of a stock divided by its earnings P/E ratio securities market, stock exchange, stock market - an exchange where security trading is conducted by professional stockbrokers , they offer other potential. For instance, On Assignment Inc. has a P/E P/E See: Price/earnings ratio of 31, about 25 percent higher than the market average. But it serves the fast-growing temporary employment industry. Earnings have jumped by 30 percent a year for the last three fiscal years. He also likes Cohr Inc., a Chatsworth outsourcing (1) Contracting with outside consultants, software houses or service bureaus to perform systems analysis, programming and datacenter operations. Contrast with insourcing. See netsourcing, ASP, SSP and facilities management. firm that serves hospitals and other health care providers. The firm takes over equipment servicing, group purchasing and other functions normally done in-house. In 1996, earnings shot up by 129 percent while sales rose by 37 percent. Countrywide coun·try·wide adv. & adj. Throughout a whole country; nationwide: launched a fundraising campaign countrywide; a countrywide search. Adj. 1. Credit in Calabasas, the nation's largest mortgage lender, seems poised to benefit from low interest rates and a recovering real estate market. Its earnings and revenues have surged in the last two fiscal years. Sales rose by 25 percent in 1996 and earnings by 32 percent. In 1995, sales went up by 31 Npercent and earnings by 121 percent. Stock picks: Cheesecake Factory - 500 shares at 25-7/8 On Assignment Inc. - 400 shares at 41 1/16 Amgen - 200 shares at 58-1/2 IHOP IHOP International House Of Pancakes (restaurant chain) iHOP Information Hyperlinked Over Proteins IHOP International House of Prayer IHOP International H2O Project IHOP International House of Pain Corp. - 500 shares at 32-1/4 Cohr Inc. - 1,000 shares at 19-1/8 Countrywide Credit - 375 shares at 34 3/16 Four Media Corp. - 1,500 shares at 7 Portfolio value as of Aug. 1: $99,632.81, cash $367.19 Portfolio value on Friday's close: 95,940.62 CAPTION(S): 10 photos, chart Photo: (1 -- 2 -- color) Contestant Mildred Chavez, top, is an avid AVID Cardiology A clinical trial–Antiarrhythmics Versus Implantable Defibrillators that compared the effect of implantable defibrillators vs the best medical therapy–antiarrhythmics for survivors of MI or those with nonsustained ventricular tachycardia rose gardener. Contestant Michele Cohn, right, encourages her 4-year-old son, Ryan, to add to his fishbowl allowance. Gus Reulas/Bob Halvorsen/ Daily News (3 -- color) Contestant Clifford Harwood collects models of the Imperial Japanese Fleet. Bob Halvorsen/ Daily News (4) Contestant Lorraine Sadler is an administrative officer for the Air Force. (5) Contestant Jeffrey Wood is a fan of buying technology stocks. John Lazar/Special to the Daily News (6) Michele Cohn (7) Mildred Chavez (8) Jeffrey Wood (9) Clifford Harwood (10) Lorraine Sadler (11) Mark T. Maker Chart: Daily News Stock Picking Contest (see text) |
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