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Company name JPMorgan Chase & Co.
Stock ticker JPM
Live stock price [stckqut]JPM[/stckqut]
P/E compared to competitors Good

MANAGEMENT EXECUTION

Employee productivity Good
Sales growth Poor
EPS growth Good
P/E growth Good
EBIT growth Good

ANALYSIS

Confident Investor Rating Good
Target stock price (TWCA growth scenario) $66.87
Target stock price (averages with growth) $76.65
Target stock price (averages with no growth) $65.08
Target stock price (manual assumptions) $57.76

The following company description is from Google Finance: http://www.google.com/finance?q=jpm

JPMorgan Chase & Co. (JPMorgan Chase) is a financial holding company. The Company is engaged in investment banking, financial services for consumers and small businesses, commercial banking, financial transaction processing, asset management and private equity. One of the Company’s principal operating subsidiaries in the United Kingdom is J.P. Morgan Securities plc. JPMorgan Chase’s activities are organized into four business segments, as well as Corporate/Private Equity. The Company’s consumer business is the Consumer & Community Banking segment. Effective January 7, 2014, JPMorgan Chase & Co acquired an undisclosed minority stake in Chi-X Global Holdings LLC. In March 2014, Aurora Oil & Gas Ltd announced that JPMorgan Chase & Co and its affiliates has ceased to be substantial shareholder of Aurora Oil & Gas. In March 2014, Slater & Gordon Ltd announced that JPMorgan Chase & Co and its affiliates has ceased to be substantial shareholder of the Company.

 

Confident Investor comments: At this price and at this time, I think that a Confident Investor can confidently invest in JPMorgan Chase & Co.

If you would like to understand how to evaluate companies like I do on this site, please read my book, The Confident Investor. You can review the best companies that I have found (and I probably invest my own money in most of these companies) in my Watch List.

How was this analysis of JPMorgan Chase & Co. calculated?

For owners of my book, “The Confident Investor” I offer the following analysis (you must be logged in to this site as a book owner in order to see the following analysis). If you have registered and cannot see the balance of this article, make sure you are logged in and refresh your browser.
[s2If current_user_can(s2member_level1)]
In order to assist you in using the techniques of this book, the values that I used when calculating the Manual pricing above were:

Stock price at the time of the calculation: $54.62

Growth: 0.12

Current EPS (TTM): $4.06

P/E: 13

Future EPS Calc: $7.15

Future Stock Price Calc: $93.01

Target stock price: $57.75

I hope that this makes you a better investor. [/s2If]

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Company name Jarden Corp
Stock ticker JAH
Live stock price [stckqut]JAH[/stckqut]
P/E compared to competitors Good

MANAGEMENT EXECUTION

Employee productivity Poor
Sales growth Good
EPS growth Good
P/E growth Good
EBIT growth Good

ANALYSIS

Confident Investor Rating Good
Target stock price (TWCA growth scenario) $88.35
Target stock price (averages with growth) $114.72
Target stock price (averages with no growth) $93.38
Target stock price (manual assumptions) $76.37

The following company description is from Google Finance: http://www.google.com/finance?q=jah

Jarden Corporation (Jarden) is a global consumer products company. The Company operates in three segments through a range of brands, including: Outdoor Solutions: Abu Garcia, Aero, Berkley, Campingaz, Coleman, ExOfficio, Fenwick, Gulp!, K2, Marker, Marmot, Mitchell, Penn, Rawlings, Shakespeare, Stearns, Stren, Trilene, Volkl and Zoot; Consumer Solutions: Bionaire, Crock-Pot, FoodSaver, Health o meter, Holmes, Mr. Coffee, Oster, Patton, Rival, Seal-a-Meal, Sunbeam, VillaWare and White Mountain, and Branded Consumables: Ball, Bee, Bernardin, Bicycle, Billy Boy, Crawford, Diamond, Dicon, Fiona, First Alert, First Essentials, Hoyle, Kerr, Lehigh, Lillo, Loew-Cornell, Mapa, NUK, Pine Mountain, Quickie, Spontex and Tigex. On December 31, 2012, American Capital Ltd sold its portfolio company Lifoam Holdings, Inc. to the Company. In October 2013, Jarden Corporation completed its acquisition of Yankee Candle Investments LLC from a fund managed by Madison Dearborn Partners, LLC.

 

Confident Investor comments: At this price and at this time, I think that a Confident Investor can confidently invest in Jarden Corp.

If you would like to understand how to evaluate companies like I do on this site, please read my book, The Confident Investor. You can review the best companies that I have found (and I probably invest my own money in most of these companies) in my Watch List.

How was this analysis of Jarden Corp calculated?

For owners of my book, “The Confident Investor” I offer the following analysis (you must be logged in to this site as a book owner in order to see the following analysis). If you have registered and cannot see the balance of this article, make sure you are logged in and refresh your browser.
[s2If current_user_can(s2member_level1)]
In order to assist you in using the techniques of this book, the values that I used when calculating the Manual pricing above were:

Stock price at the time of the calculation: $57.17

Growth: 0.17

Current EPS (TTM): $1.87

P/E: 30

Future EPS Calc: $4.09

Future Stock Price Calc: $122.99

Target stock price: $76.37

I hope that this makes you a better investor. [/s2If]

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Company name Intuitive Surgical, Inc.
Stock ticker ISRG
Live stock price [stckqut]ISRG[/stckqut]
P/E compared to competitors Good

MANAGEMENT EXECUTION

Employee productivity Good
Sales growth Poor
EPS growth Good
P/E growth Poor
EBIT growth Good

ANALYSIS

Confident Investor Rating Fair
Target stock price (TWCA growth scenario) $314.69
Target stock price (averages with growth) $448.4
Target stock price (averages with no growth) $470.31
Target stock price (manual assumptions) $392.66

The following company description is from Google Finance: http://www.google.com/finance?q=isrg

Intuitive Surgical, Inc. (Intuitive) designs, manufactures and markets da Vinci Surgical Systems and related instruments and accessories. A da Vinci Surgical System consists of a surgeon’s console, a patient-side cart and a high performance vision system. The da Vinci Surgical System translates a surgeon’s natural hand movements, which are performed on instrument controls at a console, into corresponding micro-movements of instruments positioned inside the patient through small incisions, or ports. The da Vinci Surgical System is designed to provide its operating surgeon with intuitive control, range of motion, fine tissue manipulation capability and three dimensional (3-D), high-definition (HD) vision while simultaneously allowing the surgeon to work through the small ports of MIS. In January 2014, Luna Innovations Inc announced the sale of its shape-sensing technology for medical applications to Intuitive Surgical, Inc.

 

Confident Investor comments: At this time, I think that a Confident Investor can cautiously invest in Intuitive Surgical, Inc. as long as the price is correct. Most of the fundamentals of this company are good but there are some concerns. I am removing Intuitive Surgical from my Watch List.

If you would like to understand how to evaluate companies like I do on this site, please read my book, The Confident Investor. You can review the best companies that I have found (and I probably invest my own money in most of these companies) in my Watch List.

How was this analysis of Intuitive Surgical, Inc. calculated?

For owners of my book, “The Confident Investor” I offer the following analysis (you must be logged in to this site as a book owner in order to see the following analysis). If you have registered and cannot see the balance of this article, make sure you are logged in and refresh your browser.
[s2If current_user_can(s2member_level1)]
In order to assist you in using the techniques of this book, the values that I used when calculating the Manual pricing above were:

Stock price at the time of the calculation: $365.47

Growth: 0.12

Current EPS (TTM): $13.29

P/E: 27

Future EPS Calc: $23.42

Future Stock Price Calc: $632.38

Target stock price: $392.65

I hope that this makes you a better investor. [/s2If]

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Company name IBERIABANK Corporation
Stock ticker IBKC
Live stock price [stckqut]IBKC[/stckqut]
P/E compared to competitors Fair

MANAGEMENT EXECUTION

Employee productivity Fair
Sales growth Fair
EPS growth Poor
P/E growth Good
EBIT growth Good

ANALYSIS

Confident Investor Rating Fair
Target stock price (TWCA growth scenario) $76.87
Target stock price (averages with growth) $85.25
Target stock price (averages with no growth) $63.7
Target stock price (manual assumptions) $69.19

The following company description is from Google Finance: http://www.google.com/finance?q=ibkc

IBERIABANK Corporation (IBKC), incorporated on November 21, 1994, is a financial holding company. IBKC is the holding company for IBERIABANK, a Louisiana banking corporation; Lenders Title Company, an Arkansas-chartered title insurance and closing services agency (Lenders Title); IBERIA Capital Partners, LLC, a corporate finance services firm; IB Aircraft Holdings LLC, a holding company for its fractional investment in an aircraft; IBERIA Asset Management, Inc. (IAM), which provides wealth management and trust services, and IBERIA CDE LLC (CDE), which invests in purchased tax credits. It offers commercial and retail banking products and services to customers throughout locations in six states. On July 31, 2012, it acquired Fort Myers, Florida-based Florida Gulf Bancorp Inc and its subsidiary bank, Florida Gulf Bank.

 

Confident Investor comments: At this time, I think that a Confident Investor can cautiously invest in IBERIABANK Corporation as long as the price is correct. Most of the fundamentals of this company are good but there are some concerns. I will be removing IBERIABANK Corporation from my Watch List.

If you would like to understand how to evaluate companies like I do on this site, please read my book, The Confident Investor. You can review the best companies that I have found (and I probably invest my own money in most of these companies) in my Watch List.

How was this analysis of IBERIABANK Corporation calculated?

For owners of my book, “The Confident Investor” I offer the following analysis (you must be logged in to this site as a book owner in order to see the following analysis). If you have registered and cannot see the balance of this article, make sure you are logged in and refresh your browser.
[s2If current_user_can(s2member_level1)]
In order to assist you in using the techniques of this book, the values that I used when calculating the Manual pricing above were:

Stock price at the time of the calculation: $62.4

Growth: 0.13

Current EPS (TTM): $2.88

P/E: 21

Future EPS Calc: $5.3

Future Stock Price Calc: $111.43

Target stock price: $69.18

I hope that this makes you a better investor. [/s2If]

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you need to parachute out of a loser stock

you need to parachute out of a loser stockYou need to sell a loser stock.  Don’t wait for it to rebound.  It is much easier to recover from a losing position by investing in a good stock that is currently increasing in value. A loser stock that is currently dropping in value is simply dragging your portfolio into the red.

If you have lost 7-10% of your value in a single stock, you need to cut your losses. Jim Cramer, the famed TV investment adviser, often says that it doesn’t matter where the company has been. It only matters where it is going. If the loser stock is still going or going sideways, you will need to sell the stock.

A loser stock that has lost a significant amount is not likely to be on the rebound very soon. You will probably need to find another stock that is increasing in value to make up the loss. Sitting on the loser stock and waiting for it to plateau and then regain its value is simply costing you money in lost opportunity costs. It is like throwing good money after bad.

This is even more obvious when you factor in the lost opportunity costs of the loser stock. While you were watching the loser stock decline in value, another great stock was actually increasing in value. So you didn’t just lose 7-10%, you actually lost an additional 5-10% since surely another stock was growing at that time. Except for general market corrections, such as what happened in October 2008, some stocks are going up and some stocks are going down. Sticking with a stock that is going down only adds to your losses.

Even the great stocks on my Watch List can be loser stocks at times. They can have a bad quarter or not react well to a current situation. It is important to constantly analyze if the company should get your trading money (it is going up and not down). It is equally important to know if it is time to exit the company completely because it has lost its way. For this reason, I will regularly review the companies on my Watch List and if they are no longer performing satisfactorily, I sell all my holdings.

So when do you know when it is time to sell a loser stock?

Simple – you need to understand technical analysis of stocks. You do not have to be a rocket scientist to do this, you simply need to read my book, “The Confident Investor“ to understand the basics. In my book I explain these basic tools.

Unfortunately, if you have not read my book you will probably not understand the details of my technique. You must be an owner of my book and registered on this site as a book owner to see this review. I strongly suggest that if you want to increase your confidence in your investments, you buy my book, “The Confident Investor” and learn how to Grow on Other People’s Money.

[s2If current_user_can(s2member_level1)] By watching the EMA in 5, 10, and 20 day increments, you will get an immediate feedback to the direction of the stock. The MACD based on 5, 10, and 20 will allow you to see the direction of the stock, as well as to sense if it is caught in a channel. Finally, the RSI will tell you if the market is buying the stock too quickly and it is danger of being oversold or overbought.

If you do not understand these indicators, please review them in my book. If that doesn’t help, send me a note.

[/s2If]

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