I should point out that the CEO on today's KINS call did say the following regarding "guidance"

Barry Goldstein - Chairman and CEO
Thanks, Victor. As we've discussed in the past, we keep a very simple set of goals here at Kingstone, which is what we call 20-20-20. That is, we point to a 20% growth rate or better, a 20% operating margin or wider, and hope for a 20% return on equity. During the fourth quarter we achieved the first two of these three, with premium growth at just under 24%, and an operating margin of just under 24% as well.

Our return on equity unfortunately did not make the 20%. But I think 17.7% was a heck of a number to put up. Again, these are not our formal estimates. They are metrics I used to lead the company, and to guide, and gauge how we're doing. Our healthy growth rate continues. We're retaining more of the business we write, we're doing so without straying from the core conservative principles that we have practiced for so long.

---------

So, with a wink and a nod, he's saying KINS management won't provide official guidance but they certainly will try to hit their clearly stated aspirational goals....take that for whatever its worth.

I think they can probably hit 18% ROE fairly easily, but it won't be linear and the Q1 is their toughest quarter as many others have pointed out.

One of KINS' stated goals for FY15 is to have 20% ROE. As per today's Q4 earnings PR:

Mr. Goldstein concluded, “After accomplishing our stated growth and performance goals during 2014, we look forward to improving on those results this year. We remain committed to our goal of achieving a growth rate of 20% or more, despite our decision to exit the Commercial Auto line. We hope to achieve a combined ratio of less than 80%, resulting in an underwriting margin of 20% or greater, and a resulting ROE of 20% or more.


That would equate to approx 8.1MM in net income which translates into 1.09 using 7.4MM FDS.

The company did miss the lone analyst estimate for Q4 and FY14, but appear to have guided for numbers that are substantially higher than the current estimate of 0.98 in FY15.

Could make for an interesting day tomorrow for KINS.

Looking at the cash flow statement for MUEL, in the first 9 mos of the year they had been benefiting from a pension surplus to the tune of 3.4MM. That must have shown up as income somewhere on the income statement and is recorded as a negative item in cash flow.

Now look at the 12 mos OCF statement. That line item flipped to +3.9MM. That meant that a non-cash expense item of 7.3MM must have been charged off during Q4 in the income statement impacting GAAP earnings.

I listened to the AAOI call but didn't take notes. There should be a CC transcript up on Seeking Alpha soon.

CFO said that the supplier component quality issue has been solved; no business was lost or transferred as a result, and ramp up for this product has been somewhat constrained due to limited supply of material (sounds like a global problem?) The company lost around 5MM in revenue in Q4.

Book to bill was very strong; around 1.7x Not sure if that was for a segment or overall, but the takeaway is that their growth is very strong and they could be shipping a lot more product if not for supply/material contraints.

I'd guess the forward estimate for FY15 might be a tad aggressive....but
I think 0.95 non-GAAP fd eps could be in the ballpark. 38% growth is still really strong, with a solid outlook likely to continue into FY16. 15x foward eps is within reach this year, IMHO.

The analysts will soon change their tune about 2016; for those who follow the company closely, its pretty clear that ENTA’s EPS will be higher in 2016 than in 2015, notwithstanding the receipt of one-time milestone payments in 2015. Regards, Dew

Just checked back in with ENTA....it seems that analysts cut their eps estimates for FY15 (end Sept) in half, and continue to trim eps estimates for FY16.

Stock is now trading near 52 week lows based on some of that pessimism. Tough stock to figure out. Playing out like a classic value trap. Looks cheap but could still drift lower. Expected growth in earnings no longer present, so you are seeing a turnover in the investor base...transitioning from "growth" investors to LT value believers.

Hweb, Check out CACC, a decent comp for CPSS:

Just reported earnings (bb 0.07) and the stock soared, now trading at 12-13x FY15 estimates.

If CPSS traded at a similar comp, it would be north of $12/share!

Not saying it (or CACC for that matter) should trade at that multiple, but CPSS looks way too cheap at 6.

I don't follow ENTA very well, other than looking at some forward EPS analyst numbers....and the expectations there are for earnings to fall off a cliff in FY16 and settle in a lot lower than FY15's projected eps.

Its really hard to value companies that have big years in sales and earnings and then drop off. Hence seemingly low trailing or 1 year forward PEs. Are they a value trap?

I like those companies that have more stable earnings patterns and projections. Not that you can't trade the ENTAs of the world very profitably, but you have to have the luck of Wade to do it well.

The revenue and adjusted eps guidance was soft for GILD vs expectations, so the forward projections will come down a bit. Actually could work out better in the long run if the near term (FY15) numbers come down a bit in exchange for a more stable earnings trajectory going out to FY16....but I'm not sure that is what is in the cards either. Competition from ABBV is hurting and will continue to cause a bit of a drag this year and into the future, not to mention that the Sovaldi/Harvoni demand will fall off in a few years as the market "demand" declines because these patients have been cured. Its almost too good of a drug from an investor's perspective!

GILD is a lot like AAPL was a couple of years ago in the wake of its IPhone success; transitioning from one huge success and over-relying on that one product for future growth. Can their pipeline deliver?

Some other news that I see as positive:

Dividend initiated.
$15B stock buyback.

Again, both similar to AAPL. I see a rebound into the 105 - 108 range again, but it will be tough to break through that without more clarity into FY16 imho.

Insider purchase by one of the directors of URI on Friday:

http://www.sec.gov/Archives/edgar/data/1067701/000110465915004271/xslF345X01/a4.xml

Bought $217,700 worth of stock in the open market.

I've been a LT investor in URI (United Rentals), as they appear to be benefiting from the trends toward renting vs buying, and general stronger construction demand as the economy has slowly strengthened over the past few years.

The stock has been sold off this year because it has some exposure to the oil/NG exploration industry (approx 6% of revenues are tied to upstream oil activities). I was interested to see their latest earnings report
https://finance.yahoo.com/news/united-rentals-announces-fourth-quarter-211000163.html

....which confirms that they are seeing some headwinds from the oil industry but that there are positives that benefit other customers to offset this as well. Seems that many investors/traders are choosing to ignore that in the rush to sell and avoid any exposure to oil/NG. I highly recommend reading the CC transcript as management addresses the oil concerns head on:
http://seekingalpha.com/article/2842836-united-rentals-uri-ceo-michael-kneeland-on-q4-2014-results-earnings-call-transcript

The stock is trading at 11x forward EPS estimates; estimates I think are too low given the latest guidance from the company. They tend to be a "beat and raise" type of management group too, if they stick to the same forecasting methodology that has served them well in the past two years. I added to my position this week in the 83s when it sold off after its earnings release. Could be one to add on weakness if you believe my oversold/unloved thesis is correct.

I spoke with AAOI's IR, and she didn't have much more information available to pass on. It doesn't sound like a design issue, so I'm guessing its truly temporary and fixable within the Q1. She couldn't comment definitively on how much revenue was lost, but indicated that they would not have missed had this supplier issue not occurred. Also didn't sound like its lost....just deferred. Of course, if they can't resolve it, they could lose the end customer.

Also asked if they could source another supplier for this part. Answer: yes, but they are choosing to stick with existing supplier and resolve the issue as a first choice.

I think this decline is a pretty good moment to pick up shares. I added some yesterday in the 8.30s

Did they share any more details regarding what type of problem it was? How much of a design vs build issue? Also wonder if they could use other suppliers that can produce the same component. I have a call in as well but haven't heard back yet.

They did state that the issue was "temporary" in the PR.

"we identified a quality issue with certain optical receiver sub-assembly components sourced from an external supplier and therefore we were unable to ramp production levels for our new 40G data center transceivers as planned, and this temporary supply problem impacted our revenue results for the quarter.

I agree Hweb2. I've been a buyer of AAOI in the low 9s and will look to add tomorrow on weakness.

I've posted on AAOI before, so you can search to find that first comment I made last month on it. I really like the trends here and while the miss in the quarter is disappointing (and not the first BTW), I think the stock has corrected and a lot of this should be baked in.

What's also encouraging besides the high book-to-bill ratio is that margins are steadily increasing as they ramp up their revenues. With higher margins in Q4 and flat sequential rev growth, I'd guess they will report 0.21 (adjusted non-GAPP) for Q4, with plenty of growth likely in FY15.

Sure seems like its worth a lot more than where its selling right now!

Impressive HALO presentation delivered today:

http://d1lge852tjjqow.cloudfront.net/NasdaqGlobal-HALO/a230b400-b9aa-4498-a80c-e6dd86713fa1.pdf?noexit=true

Shows very promising results in attacking specific types of pancreatic cancer....

Specific HALO agent (PEGH20) increases the permeability of the membrane of the cancer cells, allowing the primary cancer drug better entry to attack the disease. Studied in other types of cancer as well, including lung, and shown to be equally effective in extending life.

GIG out with positive news this AM:

http://finance.yahoo.com/news/gigoptix-updates-fourth-quarter-full-140100871.html

Expects revs to exceed the high end of their guidance range. Could bode well for AAOI, which is a supplier in the same industry.

GIG PR:
"Continued robust demand in the Company’s datacom and Industrial businesses, and stable telecom demand, are the primary reasons for the higher revenue."

About GigOptix, Inc.

GigOptix is a leading fabless supplier of high speed semiconductor components that enable end-to-end information streaming over optical and wireless networks. The products address long-haul and metro telecom applications as well as emerging high-growth opportunities for Cloud and data centers connectivity, and interactive applications for consumer electronics. GigOptix offers a unique broad portfolio of drivers and TIAs for 40Gbps, 100Gbps and 400Gbps fiber-optic telecommunications and data-communications networks, and high performance MMIC solutions that enable next generation wireless microwave systems up to 90GHz. GigOptix also offers a wide range of digital and mixed-signal ASIC solutions in a wide range of technology geometries from 28nm to 0.6um, and enables a complete product life cycle support from swift introduction of new product to extension of legacy products.

GILD is off by about 10% in premarket on news that Express Scripts is going exclusively with ABBV's drug for curing Hep C. Express S. is a big PBM (pharmacy benefit manager) in the health care market. This is being viewed as a game changer for not just GILD but all biotech as it shows the significant price power PBMs like Express have.

GILD also was facing the prospects of a slowdown in revenues and earnings growth in the FY16+ as its wonder drug cures its patient and no long term drug treatment (and revenue/profit stream) is possible.

Still, if I were short GILD (and a lot of people are), I'd think very seriously about covering right now. I think the worst of the news has been baked in....but I'm certainly no pharma vet.

Hard to find a cheaper biotech play in the market....but perhaps you get what you pay for. If I were GILD I'd be launching a huge stock buyback now.

TPC named as one of FBR Capital's "top picks" list: (I agree with the analyst's comments, obviously) My own price target is about 32-34, pending Q4 results.

Tutor Perini (TPC) Added to FBR Capital's Top Picks List


FBR Capital analyst Alex Rygiel named Tutor Perini Corporation (NYSE: TPC) to its Top Picks list, while reiterating an Outperform rating and price target of $38.00. The firm is also raising estimates for claims' settlement.

Rygiel commented, "Yesterday, December 17, Tutor Perini Corporation (TPC) announced it settled all claims with MGM/CityCenter on December 12. TPC is set to receive net proceeds of $189.5M, including some prior payments, with our expectation of cash inflow of approximately $150M in 1Q15. In November, TPC announced it finally settled the Central Artery Project with the Massachusetts DOT, for which the company recently received $52M. The combined cash infusion ($202M total or approximately $4/share) is expected to be used to pay down debt and for working capital needs. We are raising our EPS estimate for 2015 to incorporate the lower interest expense.

The analyst added, "We are placing TPC on the FBR Top Picks list and reiterating our Outperform rating given the recent weakness in the stock, as (1) we think cash flow from the aforementioned settlements significantly improves the balance sheet; (2) we believe recent backlog growth is only the start of a multiyear improvement; (3) profit margins could improve as greater volumes leverage fixed overhead, contract terms and conditions become more favorable, and pricing power develops; (4) we project revenue growth of 10%–15%, EBITDA growth of 15%–25%, and EPS growth of 25%-plus over the coming years; and (5) we think TPC has an attractive valuation relative to peers, as the shares trade at 5.2x our 2014 EV/EBITDA estimate, below the E&C average of 8.7x and the historical E&C average of 10.0x trailing-12-month EBITDA."

For an analyst ratings summary and ratings history on Tutor Perini Corporation click here. For more ratings news on Tutor Perini Corporation click here.

Shares of Tutor Perini Corporation closed at $21.95 yesterday.

Hweb, KINS looks cheap to me too at <8. I was a buyer yesterday as well.

Thanks for catching my mistake. Meant to say the MGM casino case in Nevada was settled out of court yesterday NOT Seattle!

TPC filed an 8K this AM that had a little more information about the MGM settlement:

--------------

On December 12, 2014, Tutor Perini Corporation and Tutor Perini Building Corp (collectively “Tutor Perini”) entered into a Settlement Agreement with MGM Resorts International (MGM) and CityCenter Holdings, LLC (CityCenter), and the related Perini subcontractors and relevant insurers to resolve all outstanding project lien claims and CityCenter counterclaims relating to the CityCenter Project (CityCenter Settlement Agreement). The settlement is subject to execution of a global settlement agreement by all parties by December 31, 2014, and CityCenter’s procurement of replacement insurance (which replacement insurance costs are the responsibility of CityCenter).

The CityCenter Settlement Agreement, combined with prior proceeds of approximately $51 million from CityCenter to Tutor Perini, will result in total net settlement proceeds to Tutor Perini of approximately $189.5 million on its CityCenter lien claims.

Under the CityCenter Settlement Agreement, Tutor Perini will make cash contributions of approximately $11 million to CityCenter in addition to a waiver of a $2 million insurance bonus to resolve all CityCenter claims. The CityCenter Settlement Agreement resolves Tutor Perini’s and the subcontractors’ lien claims against CityCenter and MGM, and all of CityCenter’s counter-claims against Tutor Perini and the related subcontractors. The CityCenter Settlement Agreement was entered into solely by way of compromise and settlement and is not in any way an admission of liability or fault by Tutor Perini, CityCenter, or the related subcontractors.

-----------------

In the PR, they mentioned that they also received $52MM from the state of MA on the Central Artery project. When you add this to the $125MM net new cash they will receive from the MGM/City Center case, that will be a huge amount of cash coming in to TPC (approx 3.60/share with the stock trading in the low 20s). I'm hoping they might put some of it back to work with stock repurchases.

Actually, there is news out today that a settlement has been reached in the Seattle case (Yes, I was referring to that earlier.)

http://abcnews.go.com/Health/wireStory/settlement-reached-trial-flawed-vegas-hotel-27639329

Here is the part that concerns TPC:

The lawsuit was launched with Tudor Perini arguing that MGM Mirage failed to pay bills and MGM arguing the contractor was responsible for the building flaws.

Lawyers for all sides called the settlement confidential, with no admission of liability or fault.

But MGM Resorts laid out general terms in a financial filing Tuesday with the Securities and Exchange Commission.

CityCenter Holdings ? which is half owned by MGM Resorts ? gets $110 million more than the $85 million it received through prior insurance claim settlements. That brings CityCenter's settlement proceeds to $195 million, including $20 million from MGM Resorts to the CityCenter division it co-owns with Dubai World.

MGM Resorts is paying a total of $153 million to Tutor Perini, including $72 million MGM Resorts had in escrow from CityCenter condominium sales.

Overall, the settlement represented an end to a $500 million dispute.

-------------

Combined with the 89MM that TPC got from MA settlement, that is a huge influx of cash ($242MM, unless they mean just the escrowed amount, which would still equal 161MM). Wonder what they'll do with it?

sskillz, I hope you are right. I don't mind the short term pain if that's all it is.

We also can't ignore that the overall market is tanking quite hard due to fallout from the collapse in oil prices. Unless you are a hard core contrarian, have a longer term horizon, and are used to catching a falling knife, then a lot of the cyclicals that are tied to oil and other commodities should probably be avoided.

R59, I don't know why the stock is so weak, but its always this type of price action that makes one think "somebody knows something!" There is no obvious catalyst other than two items: 1) they missed out on getting the High-speed rail contract, which could have added nearly $2B to their already high backlog, and 2) there is new litigation that is beginning in Seattle.

I've listened to the last few CCs, and TPC management seem quite bullish on their prospects and the sector, especially the big civil projects going forward. I think there are a lot of moving parts in their business model, and thus its tough to predict quarterly earnings. They have disappointed in the past (although not so far this year!), and so forward PEs will be low. I think the market has over-reacted here and I think anyone buying in the low 20s has a decent chance of earning 30 - 50% in the next 6-9 mos.

Cliffvb, that is true re: TPC and ongoing litigation. BTW, they were ultimately victorious in their long-running "Big Dig" legal dispute with the state of MA. The CEO (Ronald Tutor) comes across as a no-nonsense guy who clearly doesn't back down when he feels his firm has been unfairly accused of wrongdoing.

Would be nice if he and other company insiders felt the stock was cheap enough around 21 to start buying stock in the open market. I'm scratching my head to understand why its been so beat up, other than its seen as belonging to a cyclical industry. The TPC of today is much different than it was 7=8 years ago at the last peak of the cycle.

TPC's bid for the next leg of the California High Speed rail project came in 2nd (among three bidders)

http://www.latimes.com/local/california/la-me-bullet-train-bid-20141212-story.html

Disappointing, but it was never in their backlog to begin with. Based on the article, its clear that this wouldn't have impacted FY15 estimates at all anyway, even if they had won. Business still seems quite strong and the company is bidding on multiple other projects...hopefully they will be more successful.

Quotes from the TPC Q3 2014 CC transcript:

"The Civil group continues to see a very strong pipeline of in excess of $10 billion of prospective work to be bid and awarded over the next 12 months. The largest of these prospects continues to be construction packages 2 and 3 of the California High-Speed Rail. Last week, our joint venture team led by Tutor Perini and including Zachry and Parsons submitted its proposal for this project. The scope of work is essentially to design and construct the next 65 miles of railway civil infrastructure, extending south of Fresno to the county border of Kern County in Bakersfield. We're competing against 2 other European-led teams and expect the winning bidder to be announced before the end of the year.

Other Civil projects include approximately $5 billion in various highway, airport and mass transit jobs in addition to $2 billion in various bridge jobs currently being reviewed.

--

Overall, the company's total backlog was $8.1 Billion as of the end of Q3. That is up 17% y/y.

Perhaps the lack of recent award wins is weighing on TPC? That and the latest budget stalemate out of Washington doesn't help either. Either way, I think the stock is way oversold and should see a bounce back up to the 27-28 level. Winning another big contract might do the trick.

Really surprised to see TPC (Tutor Perini) back down near its 52 week low. This engineering/construction company has a huge (and growing) backlog and beaten analyst estimates each quarter for the past year. Not as dependent upon volatile private construction work....rev mix now favors more stable public work and infrastructure.

Nice SA article here:
http://seekingalpha.com/article/2737335-tutor-perini-an-oversold-small-cap-gem

I agree with the author's comments and have been a buyer today in the 23.70s. Think its way too cheap right now.

Trades at 8x FY15 eps estimates. I think it should trade closer to 12x, given the strength of its backlog, past performance and projected growth.

One of AER's largest shareholders (Waha Capital) has indicated via filing that its entire position has now either been sold or fully hedged. They had approx 30MM shares originally, or just over 14% of the entire company.

These transactions have been weighing heavily on the stock since the first tranche was announced back in Sept.

R59, what is your view on this? I'm apt to view it positively, but it may still take a while to absorb all the shares that have been recently sold (or will continue to be sold for hedging purposes). Given that the stock is trading near the bottom of the first collar's range, I'd think that the counterparties would be more apt to be buyers rather than sellers....but they may still want to hedge further downside risk from the 2nd collar.

Bought two stocks today, ECPG and AAOI. ECPG is one I've mentioned here before; they are a debt collector/tax lien agency and have consistently been growing their adjusted eps at 15%+ over the past few years. Analysts have the company continuing that 15% growth trend over the next two years. I'd be happy if the stock could see a modest 12x multiple on forward earnings....it currently trades at 8x FY15 projected eps. I think there is concern about the decreasing supply of bad debt in a stronger economy; while that may be true here in the US, the company has been expanding its global footprint with acquisitions in Europe and South America. I think its just drifted lower with no real news or a compelling catalyst to own the stock. In the last 10Q, the company indicated that it had been a modest buyer of stock around 42. I'd expect them to continue that with the stock back down below 42 again.

AAOI is an optical components supplier to high speed cable networks in the US and Asia. Their primary customers are building big data centers in China. Two listed in a recent company presentation are Alibaba and Baidu. They also count Amazon as a customer as well Earnings last quarter were slightly below expectations, and the stock sold off fairly hard even though y/y growth was excellent. Recent selling is happening on no news that I could find, other than estimates for FY14 and FY15 being reduced. Slap a 15x multiple on FY15, and this one could be back into the upper teens next year. At $10/share, its back to its IPO price over a year ago. Its much cheaper now than it was then.

I continue to like the RF semi segment; my favorites are TSEM and RFMD. Still hold a little NXPI, but have been selling it down as it goes higher and reaches a more reasonable FV. Also have owned Skyworks but think its fairly valued now and have sold it.

Your welcome micham. With a customer list that includes RFMD, Skyworks, NXPI AND Avago, it was really clear that business was (and still is) booming for TSEM.

Now, if they can just clean up their balance sheet and get rid of all the warrants and converts that are part of their current outstanding notes, then the stock is really off to the races.

If you listened to the last CC, management hinted that they were going to do exactly that. May not happen as quickly as I'd like but I think they will take care of it in pieces over the next two years as their cash flow improves.

The stock has been on fire, and given the speed of its ascent, I think it will take a breather here (in the low 13s) for a bit before it hopefully charges a bit higher. Still haven't sold any, although I was sorely tempted to trade out of a few when it spiked up over 13.25 today.

You did really well to get it that low! Good luck....

I've sold most of my shares in CCS in the low 17s. This was a bad miss, and the company was telegraphing things when they issued the PR about the 2MM share buyback a few days ago.

Growth is still there, but the sales and margins (and thus eps) are way too optimistic.

I'd expect the stock to hit the "reset" button as well, as analyst adjust their earnings expectations downward by quite a bit. CCS may not even earn 1.00 this year, so I'd be hard pressed to see them substantially higher in the short run.

With so little visibility into the revenue mix and thus margins, its hard to know what the company can consistently earn going forward. Stock looks like dead money for now. To make matters worse in the short run, its a new IPO this year, and so some locked up shares will start to freely trade in December.

The homebuilder I'm most high on at present is LGIH. Better margins and seemingly better visibility too.

Update on HUN. After the close, one of the company's directors filed a form 4 indicating he had purchased 450,000 shares at 24.00:

http://www.secinfo.com/d1526c.n76d.htm

Also, analysts have been pushing up their estimates since the last earnings call:

https://finance.yahoo.com/q/ae?s=HUN+Analyst+Estimates

Stock is still pretty cheap.

R59, the move on AMKR is likely tied to the rally in the semis that is across the board. My guess is that its short covering primarily, with some speculative longs taking a position that the sell-off is near its end.

AMKR's last report was not great vs expectations, and until we get some visibility into FY15, by guess is that its close to FV here in the 6.50 - 7.00 range.

I've been adding some HUN after it posted Q3 earnings which beat expectations by 0.06. The stock is trading at 8.6x FY15 estimates, carries a dividend yield of 2.2%, and just completed an acquisition that should add roughly 0.70 to eps by the end of FY16.

I'll continue to accumulate if it drops back down to the 21 area.

I suspect that its dropping because of fears that Europe will continue to weigh on revenue and margins. On the call, management went out of its way to say that it was only seeing normal seasonality in its business, and that any weakness was likely from temporary inventory build.

Its an economically sensitive stock, so perhaps analysts will bring estimates down a bit, but there should be some restructuring gains that will be quite accretive to HUN over the next few years.

Micham2012, re TSEM debt refinancing. I think this news was largely expected. On the last quarterly CC, this refinancing issue was raised and discussed:

Cody Acree - Ascendiant Capital Markets
And then lastly from me, you mentioned in the press release offers to restructure your debt. If you could maybe talk about what your expectations are there and how that might affect your share count going forward and obviously your interest expense?

Russell Ellwanger - Chief Executive Officer
We are looking at some ways to improve our balance sheet. Anything that would be entertained as a non-dilutive event would be exchanging shorter term debt for longer term debt and for the most part would be a wash or a betterment as far as the coupon that we’d be paying.

Cody Acree - Ascendiant Capital Markets
Are there any instruments that are convertible today than that share count you went through that could be eliminated in the kind of debt restructuring?

Russell Ellwanger - Chief Executive Officer
No, it would not I think have anything to do with. You’re referring to some of the convertible bonds.

Cody Acree - Ascendiant Capital Markets
Yes, that. So any restructuring would not impact any of the potentially dilutive instruments that are out.

Russell Ellwanger - Chief Executive Officer
No, it would not.

-------------

Thus, this news won't really impact the income statement in the immediate future. If they had been able to get rid of those converts, then I'd agree that this would be big news.

I added some AXAS too, along with a lot of other wildly oversold stocks. Russell just turned up on the day (again).

Been a wild day so far.

Good observations Cliff! Here is an SA author that I follow who is well versed in the semiconductor space. His comments are very similar to yours:

http://seekingalpha.com/article/2553275-microchip-technology-ceo-flubs-a-warning-announcement?ifp=0&app=1

I own a few semis myself that got taken out and shot on Friday. TSEM, FSL, and MSCC were driven down by wide-spread selling that felt quite automated and largely overdone.

I am looking at picking up some others too that got sold off, perhaps MU, SWKS. I still like the ones I own, although the US dollar strength may hurt FSL. Don't see that as a problem for TSEM (an Israeli company), and MSCC gets around 15% of its revs from Europe.

From everything I've read about it, Gilead's Hep C treatment protocol is by far the best vs competing therapies and it kills the disease. The focus has been on how much it costs, but there are examples of other non HepC drugs out there that cost even more per pill and are less effective in treating their respective patients.

The concerns on GILD are whether warehousing will impact short term Sovaldi revenues in Q3 (i.e. will patients and their doctors wait for an even better version of Sovaldi?) and LT in 2016+ when worries will be what can maintain GILD's growth.

I still think this stock ultimately works its way higher. The forward valuations just seem too low to me, esp in a market that is now worried about economic growth. Health care not as impacted by those issues.

Nice news out this AM; patent issued to company for its process of identifying and evaluating those patients who stand to benefit most from PEGPH20 (or other anti-hyaluronan agents). Makes HALO an important partner for other cancer fighting drugs and therapies.

Halozyme Announces Issuance Of U.S. Patent For Companion Diagnostic For PEGPH20
PR Newswire Halozyme Therapeutics, Inc.
35 minutes ago
????
SAN DIEGO, Oct. 7, 2014 /PRNewswire/ -- Halozyme Therapeutics, Inc. (HALO) today announced the issuance of U.S. Patent No. 8,846,034 claiming methods for selecting a subject for treatment of a hyaluronan-associated disease with an anti-hyaluronan agent, such as PEGPH20, as well as diagnostic agents for the detection and quantification of hyaluronan in a biological sample in patients. Combinations and kits for use in practicing the methods are also provided. PEGPH20 is an investigational PEGylated form of rHuPH20 under development by Halozyme, which degrades the hyaluronan coating that may provide a supportive environment in many solid tumors.

"We are pleased to receive recognition for these biotechnology innovations," commented Dr. Helen Torley, President and CEO. "This companion diagnostic will provide important data for identifying and evaluating those patients and tumors that can benefit most from PEGPH20 therapy."

The issued U.S. patent is anticipated to expire on October 28, 2032, which includes the patent term adjustment. To date, similar claims are pending in eleven countries, as well as the Eurasian and European regions. Additional information about these patents may be found on the U.S. Patent and Trademark Office and on the European Patent Office Web sites.

About Halozyme
Halozyme Therapeutics is a biopharmaceutical company dedicated to developing and commercializing innovative products that advance patient care. With a diversified portfolio of enzymes that target the extracellular matrix, the Company's research focuses primarily on a family of human enzymes, known as hyaluronidases, which increase the dispersion and absorption of biologics, drugs and fluids. Halozyme's pipeline addresses therapeutic areas, including oncology, diabetes and dermatology that have significant unmet medical need today. The Company markets Hylenex® recombinant (hyaluronidase human injection) and has partnerships with Roche, Pfizer and Baxter. Halozyme is headquartered in San Diego, CA. For more information on how we are innovating, please visit our corporate website at www.halozyme.com.

Safe Harbor Statement
In addition to historical information, the statements set forth above include forward-looking statements (including, without limitation, statements concerning the anticipated expiration of referenced patent, future actions relating to the development of PEGPH20 and the possibility that PEGPH20 may be used to address pancreatic cancer) that involve risk and uncertainties that could cause actual results to differ materially from those in the forward-looking statements. The forward-looking statements are typically, but not always, identified through use of the words "believe," "enable," "may," "will," "could," "intends," "estimate," "anticipate," "plan," "predict," "probable," "potential," "possible," "should," "continue," and other words of similar meaning. Actual results could differ materially from the expectations contained in forward-looking statements as a result of several factors, including delays in completion of clinical trials and other development activities, the possibility of safety events, unexpected expenditures and costs, unexpected results or delays in regulatory review, regulatory approval requirements, unexpected adverse events and competitive conditions. These and other factors that may result in differences are discussed in greater detail in Halozyme's Quarterly Report on Form 10-Q filed with the Securities and Exchange Commission on August 11, 2014.

Investor Contact:
Schond Greenway
Halozyme Therapeutics
858-704-8352
ir@halozyme.com

Media Contact:
Susan Neath Francis
212-301-7182
sfrancis@wcgworld.com

I really like Tutor Perini (TPC) at 25. The company is one of the largest civil engineering/construction companies in the country. Business has never been better and backlog has been growing (up 18% y/y as of end of Q2). They just announced a few big contract awards recently.

It trades below book value, and carries a low PEG ratio too. EV/EBITDA is low at 6x. Rev growth is expected to accelerate starting this quarter and lasting for the next 2-3 years. Q eps were up nicely in Q2, and yet the stock trades at a TTM PE of 12x, and FY14/FY15 forward PE of 11x and 8.6x respectively.

Biggest risks IMHO here are margin predictability and weather related interruptions. The analysts (3 listed on Yahoo) have been too low with their numbers for the past few quarters, and hopefully that trend continues with a beat and raise scenario. A year ago, the company missed the public estimates in Q3 and perhaps that has them spooked. We'll see.

I think this should be trading in the mid 30s (and possibly higher) within the next year.

sskillz, I'm curious to know whether you looked at AAL at all when you bought HA. HA is cheaper on a EV/EBITDA basis; AAL has the lower PE forward multiple....by far.

Yup, same here. The ebola scare isn't helping matters, nor are fears of a declining global economy. (Aren't those fears ALWAYS out there?!?)

The airlines are super cheap right now, but its been tough trying to catch the falling knife recently. At some point, the selling will abate and any positive news from earnings reports could re-ignite buying interest.

AER is being dragged down by all of it, even though their business model works best for the modern airline. I don't see demand for leasing jets going away, although the "optics" sure look bad right now.