Genzyme Corp. (GENZ)

[bowonwing]

www.businessjive.com- to learn about the stock market, the SEC and FTD's (failure to deliver). (this is my response to a question on the GENZ Yahoo mb)

From my experience, which is limited, "they" can bring stocks up and "they" can bring stocks down.

It is important to realize that professional money managers work on a quarterly basis (or even less), thus GENZ short-term problems with production effecting immediate profits pushes managers into other stocks for the short-term and GENZ stock price goes down.

For an individual investor patience is very important. You must learn and remember this!

Know support and resistance levels, for example for

GENZ (which closed today @ $51.21) support levels are (which are six year lows):

$51.06 10/22/04;
$48.50 08/06/04;
$44.91 07/09/04;
$41.93 05/21/04 and
$34.92 04/17/03. (from Google finance)

I do know what GENZ's stock price will do and I let the stock market tell me what to do by the price action of the stock and the overall markets.

So my notes for GENZ are: "T45 6yrL +1roe 50 52wl 10Ls/h smallD" (Yahoo notes limited to 40 characters):
Target $45 (about);
+1 return on equity (best score for a stock is 0, if roe is <15% (as here), +1, this is one of seven metrics, but for GENZ the other six are 0, which is the best score, +7 worst);
$50 52 week low;
10th largest share holder (I follow Primecap (Vanguard), as of Q1-2009 they are the 10th largest shareholder of GENZ;
small debt (more cash than debt) source: Yahoo.

Also go to www.nasdaq.com and check the quarterly institutional holdings for the stock. The previous quarters holdings are usually posted about seven weeks after the end of the quarter, thus for Q2-2009 (06/30/09) they will fully undated about this week. I pay particular importance to what the largest ten holders have done and if overall institutions are buying, selling or holding.

I have no position in GENZ at this time, but I am looking to buy in.