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CBG NABI
CDX  

New Long Plays

CB Richard Ellis - CBG - cls: 37.00 chg: +0.49 stop: 35.39

Company Description:
Headquartered in Los Angeles, CB Richard Ellis is the world's largest commercial real estate services firm (in terms of 2004 revenue). With approximately 13,500 employees, the company serves real estate owners, investors and occupiers through more than 220 offices worldwide (excluding affiliate and partner offices). The Company's core services include property sales, leasing and management; corporate services; facilities and project management; mortgage banking; investment management; appraisal and valuation; research; and consulting. (source: company press release)

Why We Like It:
Another way to play the housing-boom is real estate services. Someone caught on to CBG's presence (and revenue) in the business back in September when shares broke out over the $20.00 level. Now the stock has been in a consistent trend higher with investors buying dips near the rising 40-dma. CBG has tested support at the 40-dma twice in the last several days and looks poised to move higher. If you look at an intraday chart of Friday's session you'll see that CBG was struggling with resistance near the $37.00 level. We want to use a TRIGGER at $37.11 to catch the next breakout higher. Our target will be round-number resistance at the $40.00 level. Short-term technicals are already positive so we expect the move to begin soon.


 

Picked on March xx at $xx.xx <-- see TRIGGER
Change since picked: + 0.00
Earnings Date 02/02/05 (confirmed)
Average Daily Volume: 466 thousand

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Catellus Dev. REIT - CDX - close: 28.45 chg: +0.65 stop: 27.15

Company Description:
Catellus Development Corporation is a publicly traded real estate development company that began operating as a real estate investment trust effective January 1, 2004. The company owns and operates approximately 40.5 million square feet of predominantly industrial property in many of the country's major distribution centers and transportation corridors. Catellus' principal objective is sustainable, long-term growth in earnings, which it seeks to achieve by applying its strategic resources: a lower-risk/ higher-return rental portfolio, a focus on expanding that portfolio through development, and the deployment of its proven land development skills to select opportunities where it can generate profits to recycle back into its core business. (source: company press release)

Why We Like It:
REITs are also on the comeback and shares of CDX appear to have put in a new bottom after bouncing from 50 percent Fibonacci retracement of its 2004 rally. We also like how CDX is rebounding from support at its rising 200-dma. Short-term technicals are positive and CDX has broken above its simple 50-dma but we are going to use a TRIGGER to open the play. Our entry point will be $28.76 and our target will be $30.50-31.00 range.


 

Picked on March xx at $xx.xx <-- see TRIGGER
Change since picked: + 0.00
Earnings Date 02/25/05 (confirmed)
Average Daily Volume: 397 thousand

New Short Plays

Nabi Biopharma - NABI - close: 11.80 chg: -0.56 stop: 13.11

Company Description:
Nabi Biopharmaceuticals applies its knowledge of the human immune system to commercialize and develop products that address serious, unmet medical needs. The company's focus is in the areas of infectious, autoimmune and addictive diseases. In addition to four marketed products (PhosLo(R), Nabi- HB(R), WinRho SDF(R), Aloprim(TM)), the company has several products in various stages of preclinical and clinical testing. Nabi Biopharmaceuticals has advanced StaphVAX(R) to Phase III clinical development. StaphVAX is designed to prevent the most dangerous and prevalent strains of Staphylococcus aureus bacterial infections. S. aureus bacteria are a major cause of hospital-acquired infections and are becoming increasingly resistant to antibiotics. The company's other products in development include Altastaph(TM), an antibody for prevention and treatment of S. aureus infections, currently in Phase II testing, NicVAX(TM), a vaccine to treat nicotine addiction, and Civacir(TM), an antibody for preventing hepatitis C virus re-infection in liver transplant patients. (source: company press release)

Why We Like It:
Biotech stocks have been under a lot of pressure following the BIIB-ELN disaster a few days ago. The BTK biotech index was already fading under a trend of lower highs but now the whole sector is in retreat. Joining the group is NABI, which just broke down under support near the $12.00 level on Friday. Actually we're surprised that NABI hasn't crashed sooner. The February earnings were terrible. The company missed estimates by 8 cents. They missed the revenue number and guided lower for 2005. We can't find any specific news but volume was way above average on Friday's 4.5 percent decline. The stock doesn't look well with a fresh MACD sell signal and a P&F chart that's so bearish the price target is $0.00. Our eight-week target is the $10.50-10.00 region. Technical traders should note that we do see one potential challenge for the bears. If you look at the weekly chart and extend a trendline from the late 2003 low and the summer 2004 low then NABI may have additional support near the $11.00 mark.


 

Picked on March 06 at $11.80
Change since picked: + 0.00
Earnings Date 02/15/05 (confirmed)
Average Daily Volume: 436 thousand

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