Through The Fly's Eyes: Stocks (Part 2)

from Theflyonthewall.com










A Plethora of Stock Ideas

Investment ideas were aplenty, following up on our Ira W. Sohn Investment Research Conference blog earlier. Some ideas worth noting are:

• Bill Miller, despite being wrong on this investment since 1999, believes Eastman Kodak (EK) will turnaround and is worth $45 per. As we have blogged in the past, the new CEO is very close to getting this business model to work, meaning this company could turn into a free cash flow machine.
• Steve Mandel, formerly of Tiger Management and now running a fund at Lone Pine Capital, likes EMC (EMC), which was up big last week. In addition, he likes other large cap stocks such as General Electric (GE) and Goldman Sachs (GS). He also has has postive comments on Google (GOOG).
• Wilbur Ross is still pushing his commodities turnaround plays, in particular International Coal Group (ICO). Ross's thinking is as follows: Coal pricing should reach healthy levels as excess inventory is burned off. Coal will account for 57% of U.S. electricity generation, up from 50% today, in the next twenty five years. Appalachian coal, in which ICO is rich, has considerable pricing power since East Coast supply is limited and demand is strong.

The ideas were aplenty with some negative views on MBIA (MBI), betting against subprime mortgage exposure, and St. Joe (JOE), the northwestern Florida real estate company, which is running into some difficulty as the housing market slowdown continues.