Tabell’s Market Letter – January 30, 1953

Tabell’s Market Letter – January 30, 1953

Tabell's Market Letter - January 30, 1953
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, ,\',' ;;,; — ,- – – ' '- ' ,-!.,,I',!t' ,I NEW YORK 5. N. Y , 35 WlI Street PHILADELPHIA 2, PA 1420 Walnut Street ' DIGBY 44141 PENNYPACKER 55977 f. ' -,. TABELL'S MARKET LETTER LOS ANGELES 13, CALIF. 550 South Spring Street MADISON 9-3232 SAN FRANCISCO 4. CALIF. 265 Montgomery Street SUTTER I 2700 !- i (' The market has broken out 'i, since early January and appears ;of 295.06 in the Dow-Jones indusVlJ,a.O shelf in which it has held a probable testing of the highs 113.94 in the rails. However, , – ,the advance has been selective must continuously be stressed that ithe action of individual issues i much more important than that of the /- averages. , ,-,'-…..-' , The leaders in the e 1949 have mainly been the blue '' – chip investment issues. These issues' have been showing excellent ;;, 1- price advances but are reaching \ rat.her low as, for example – t Present point where the yields obtainable are Present ,); ,, – ' , Allied Chemical Price Yie , 74 4.05 Goodrich Price 79 Yield 3.35 ,, -, ,'-Aluminum Co.Amer. 94 3.19' Minnesota Mining 46 2.11 – AmE'rican Can 34 4.12 Monsanto Chemical 94 2.66 ,, ' ' i Corning Glass -Dow Chemical 77 41 2.60 2.44, Owens Ill. Glass 79 Pitts.Plate Glass 53 5.06 3.77 ,,-'- ;–DuP'ont 100 3.55 Procter & Gamble 67 3.88 , Ger,eral Electric 69 4. 351 Union Carbide 72 3.47 ,estill In contrast there are available on a 5 1/2 a to re7lalYilt2iveylyie lar ld ge number of basis. These issues issues that are are not of .- the same highgrade investment quality as the issues noted. They are a i ;grade or so below and might be caled the light blue chips. From a tech- (' nical point of view, they have formed potential accumulation patterns that ' indicate the possibility of substartial percentage advance over the longer ,, Lterm. Also, it would appear that these issues are not too vulnerable in ' the event of a market decline. Thy have not advanced too sharply and ' there are support levels not far brlOW present market. The table below' ;-indicates the long term upside potential and support levels on a number , of issues of this type. 'I , ,- FITCH SUPPORT UPSIDE POSSIBLE POSSIBLE !- RATING PRICE YIElD ; B B Allis Chalmers 58 6JB B Alpha Port. C. 48 6.2 AREA OBJECT. ADVANCE 54-50 90 35 45-40 65-75 53 DEC1LI5NE' 18 i- B American Chain 33 7.5 27-25 50-60 90 25 BB Amer.Radiator 15 8.5 14-12 25-35 L BB Armstrong Cork 54 5.7 50-46 85-95 BB Babcock & Wil. 38 5.3-A 37-33 55-65 130 74 40 20 15 13 t,,—– BB Bendix B Blaw Knox 63 6.1 90 50-45 19 6.1 17-15 30-45 48 136 27 21 . -,' I , B Briggs Mfg. 42 7.1 35-32 70-80 95 24 B Bucyrus Erie 26 7.8 23-20 40-35 58 22 BB Crane Co. 32 7.0 30-28 50-60 90 12 B Eagle Picher 22 6.8 21-19 32-39 '\ BB Electric Auto. 55 5.4 50-45 63-70 B Elliott Co. 32 6.1, 30-28 50-60 77 27 87 12 10 12 , ,' B Gen'l Rwy.Sig. 34 7. 32-28 45-50 47 17 , BB Ha1i Printing 16 8.1 16-14 30-36 125 12 B Joy'Mfg. 38 8.2 33-30 60-70 84 21 B Lowenstein 33 5.9 30-25 55 67 23 .B Nat'l Gypsum 22 6.3 20-18 35-40 82 18 B N.Y. Airbrake 21 7.8 19-17 33-48 154 19 BB Otis Elevator 40 6.3 37-35 60 50 12 B Penn-Dixie C. 33 6.0 30-26 39-58 75 21 BB Smith, (A.O) , B Vanadium 36 5.6 32-28 60-70 42 5. 37 – 35 55-60 94 42 19 16 BB West'Auto Sup. 54 6.8 50-45 80-90 62 16 .– January 30, 1953 EDMUND W. TABELL WALSTON, HOFFMAN & GOODWIN A – Plus Stock. P – Offered b,y prospectus only, copy of which is available, by request. ,- r , lhls memorandum is not to be construed as an oller or solicitation of off.f. to buy or Jell any securities From time to time Wahton, Hoffan & Good!'ln may oIIYa an int.red In lome or 0lil11 of the securities mentioned herein The foregoing material hal been preparCld by UI al a m4tter of Information only It II b!lsed j' . ;;;;;.-.;;.. ' .t' 'JI'';..,';\; . ,,; '';,.'''' —…….,…. — – –

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