Tabell’s Market Letter – February 13, 1953

—————————————– —— WJIston &- Co. ,– LMtJllnt DeC(vu/teJ.; j ,. 'MEMBERS NEW YORK STOCK EXCHANGE AND OTHER LEADING STOCK AND COMMODITY EXCHANGES NEW YORK PHILADELPHIA LOS\ANGELES SAN FRANCISCO LUGANO (Sw,.,Id) OFFICES COAST TO COAST CONNECTEr;; BY OIRECT PRIVATE WIRE SYSTEM I TABELL'S MARKET LETTER , ) In observing the action of individual issues during the decline,it becomes quite evident that the sebondary issues are showing better market performance than the higher gradej issues. The sharp price advance in the blue chips, and the resulting low yields,have made these issues somewhat ,vulnerable. The light blue chips, selling at six or seven times earnings 'and yielding 6 to 8, appear less vulnerable. ERMLONG INVESTMENT In\accounts concerned mainly with income and' longer term price appreciation, would advise a 75 invested position in 'common stocks and 25 in short te governments in order to take advantage 'of possible buying opportunities uring the year. I Buying Buying Price Range Price Range Abbott Lab. 42 42-40 Elliott Co. 32 32-30 Allis Chalmers 'Alpha Port.Cement Am,r. Chain & Cable 56 57-50 45 46-44 32 30-28 General RwY.Signal 34 Hall Printing 16 Joy Mfg. 38 34-33 17-16 36-34 American Radiator American Seating' 15 14-i3 22 20-i8 Lone Star Cement Lowenstein 30 31 29-28 31-30 Am,r. Tel '& Tel. Armstr.ong Cork 'Babcock & Wilcox Blaw Knox Brlggs Mfg. Bueyrus Erie Burlington Mills BUJroughs Add. 160 158';156 Mont. Ward 60 49 51-9 National Gypsum 21 39 35-33 19 19-18 N,Y. Air Brake (p) 20 Otis Elevator 41 41 39-37 Owens Ill.Glass 79 25 25-23 Parke Davis 40 14 15-ll4 Penn. Salt (p) 48 17 17-ll6 Pfizer (Chas.) 30 60-55 21-20 20-19 39-38 77-75 42-40 48-46 30-28 Celanese Chain Belt (p) Columbia Gas 33 34-32 34 35-33 14 14-3 Phillips Petroleum 62 Shamrock Oil 38 Smith, A.O. 36 58-55 37-36 35-33 Crane Company Eagle Picher Elec. Auto Lite 30 31-2'9 23 22-21 54 53-511 I Sylvania Elec.(P) 36 37-36 U,S. Gypsum .' 116 115-112 Western Auto Supply 56 53-51 CAPITAL APPRECIATION In risk accounts concerned mainly with capital appreciation over a six-month period,I advise a 50 invested position with the remaining 50 kept liquid to await buying opportunities. On further strength to invested the 290-300 area wouldI further lighten accounts to 33 1/3 Buyi,ng Price Range Buying Price Range Admiral (p) 29 29-28 Interchemical 22 21-20 Allegheny Ludlum BaH. 'c; Ohio 35 34-30 27 25-24 Int. Tel & Tel Minn.St.Pl & SSM 18 18 18-17 18-17 Beaunit Mills 18 18-17 Miss.Kan.Texas,pfd. 64 63-60 Canadian Brewing 20 Mkt! National Distillers 20 21-20 Certain-teed 14 14-J13 Northwest Airlines 13 14-13 Chlc .East Illinois 20 20-9 Pacific Mills 25 26-25 Chic,Great Western 23 24-22 Paramount Pictures 28 26-25 CHmax Molybdenum 38 36-34 'Penn Dixie Cement 33 32-30 Columbia Broad 40 38-36 Pittston Company 29 29-27 Collins & Aikman 21 20-8 Universal Pictures 15 14-13 Denver;Rio Grande 80 78-i Vanadium Corp. 40 40-38 Eantern Airlines 26 25-24 Warren Petroleum 35 33-31 Fansteel Metal. 26 28-2;7 Western Airlines (p) 12 11-10 Ferro Corp. 26 27-2,5 Western Maryland 30 26-25 'Gray Mfg. 20 18-107 Western Pacific 61 57-55 Hercules Motors 18 18-17 February 13, 1953 I EDMUND W. TABELL WALSTON & CO. I offer-;;-;;lemorandum is not to be construed as an offer or solie'lation of to buy or seU .!Iny securities From time to time Waldon & Co, or !Iny partner thereof, may haye an Interest in some or !III of the securilles mentioned herein The foregoing m'lterial has been prepared by us .15 matter of Information only It, based upon information believed reli!lble but not neceu!ITlly complete, is n'of guaranteed as accur'lte or final, !Ind h not intended to foreclose independent InqulTy