Tabell’s Market Letter – November 24, 1950

Walston.Hoffman &. Goodwin NEW YORK 5, N, Y 3S Wall Street DIGBY 44141 PHILADELPHIA 2, PA 1420 Walnut Street PENNYPACKER 5-5977 TABEll'S MARKET lETTER LOS ANGELES 13, CALIF 550 South Spring Street MADISON '3232 SAN FRANCISCO 4, CALIF 265 Montgomery Street SUTTER 12700 The market advanced into new high territory on Friday with the in- dustrials at a high of 236.63 compared with the October high of 232.75. The rail penetration was less decisive with a high of 71.54 against the October high of 71.31. The upside penetration'indicates that the market could work somewhat higher, but would continue to take profits as individual issues reach their objective. ' It might be expedient at this time to review the issues this letter has recommended and the present course of action. It must be remembered that all recommendations in my letter are for the intermediate term of three months to a year or for long term holding. Recommendations are not for short term trading. ' I have suggested taking profits on the following. The price in paren theSis is the approximately recommended level and the other figure is where profit taking was suggested BETTER GRADE Auminum Co.of Amer.(55) 71, American Cyanamid (38-40)70, Atchison,Top.& S.F.(109) 135, Gen'l Amer.Trans.(44) 53, General Motors (39) 54, Intertype (25) 40, National Lead (40)63, Pullman (34) 48. MEDIUM GRADE California Pack.(35) 52 Crown Zellerbach (29) 43, Northern Pacific (19) 28, Republic Steel (34) 3 to 45, Studebaker (18) 33, SPECULATIVE Chicago,Mil.,St.Paul,pfd.(32) 45, M-K-T pfd.(26) 39, Radio Carp,(11-13) 21-23, Seaboard Air Line R.R.(15-22) 39, Western Union (26) 41. Would also take profits on the following issues. Figure in parenthesis is recommended price and other figure is Friday's close BETTER GRADE Allis Chalmers (28) 43, Caterpillar Tractor (38) O, ColGate Palmolive Peet (44) 49, Deere (39) 54, Federated Dept.Stores (272) 44, .General E1etric (42) 50, Libbey-Owens-Ford (32) 37, National Dairy (39)50, Sears Roebuck (42)-'54;cStandard Oil of Calif.(64).82, Standard Oil of N.J. (70) 90, Youngstown Sheet & Tube (37) 49. . MEDIUM GRADE Celanese (32) 43 Combustion Eng.Superheater (24 7/8) 37, Firestone Tire (54) 73, General Tire (24) 32, Illinois Central (39) 55, McGraw Hill (32) 40. SPECULATIVE Boeing Air.(26) 35, Chicago ilreat Western (15) 22. The issues listed below are the remainder of the list. Would continue to hold provided intermediate term accounts have 60 liquidity and long term investment accounts have 25 liqUidity (in common stock portion).; If less than 40 invested in intermediate term accounts or 75 (in common stock portion) in investment accounts, would purchase issues in this last list BETTER GRADE Alpha Port land (35) 34, -Amer-;-Hmne Pd 30 j American '.NCCeo.wIm.sTm.(eF3r3cinia3aljn8Cc)irae3ld3i,(t 5A5(5n)3de)4r8so5,Cn0o, CluElmanybdtiioacnnotC(t5a5Jrob-5ho7nn)so(7n303(3A141PC2amn9n)oFnarirMbailnlks s(4M)bo)rs55e 50,,(41) 45,Inter.Harvester (28) 32, Kresge (36 3/4) 39, May Dept.Stores (48) 58 McCrory Stores (35) 33,Mercantile Stores (16) 18, Melville Shoe (26) 23, Montgomery Ward (57) 66, Otis El.(35)35,StndiLRd 58, eR Pae-4.-H-c-t87LlOO,United Carbon (39) 43,Western Auto Supply (..) 44, Westinghouse Elec.(30) 34 5/8). MEDIUM GRADE Allied Stores (34)42,Associated Dry Goods (17)19, Avco,pfd. ( 39 ) 44, 1luH.ar.dBtu'en-M;llJ.B.–(-2(…J/.Jt-)–25', Carrier (13) 17 , S.hlD PnatGl36,,City Stores (18 3/4)18, Cont.Baking (13)17,DiBt.gea.(15 17)28;Elec.Boat (18)17,Elliott (26)23,Fruehauf (25)31, Hewitt (17-19 )22, I.fltex .M!ll. Us )11 ,Inter .Dept .Stores (22) 29, Lambert (22 )23, 'Lerner (23)23,Lorillard (27)26,Lowenstein (19)28,McKesson (36 7/8)40,Natl. Dept.Store (15)18,Natl.Supply (19) 21Pac.Mills (30)41,Penn Dixie (22t)24, Pub.Serv.E.(25)22,Purity Bakeries (31)28,Schenley (24)39,Shamrock (31-26) 30, Smith,A. O. (29) 33, Se-rl!aG (52 )6e;-SG 6) 11 11, 20th-Cent. (22 )21 , ..;estern- Pec.O,.) 115. (SPECULATIVE grade stocks will follow in next letter.) November 211, 1950 EDMUND U. 'l'ABELL ,. This mamor,ndum is not ho!lve an infored In ome to or be 1111 COI\trued III an off.r or sohdttion of of the secuntles montioned herem The ofoffreengOtlonoburyl'loterrli.'..!n.LTht,i!''!'('ti;MeelnJ''i'aps3rt!'liit''1)mY.AU1101 e..,R'WmaGniUhi\OtfmYlridMrMii1iNo&nlyGooItd-1-5,b,m,aeyd upon information believed reliable but not nec.eSlarlly complete, 11 not guaranteed lI accurate or final, lind 1 not .nt.nded to foredoso Independent Inquiry , I I