I hope you have enjoyed reading the Top Short-Squeezes columns as much as I have enjoyed writing them. Today, I'll summarize how the stocks that I have covered previously have performed and what the future may hold.
Let's begin with Take-Two Interactive Software (TTWO - commentary - Cramer's Take). I had expected there to be a short-covering rally if the company managed to beat fourth-quarter expectations. The video-game maker announced better-than-expected results, with fourth-quarter losses being cut nearly in half from the year-ago levels.
If you bought Take Two at the price it was trading when I wrote about it earlier this week ($17.65), I'm sure you are smiling now, with the stock closing at $19.10 yesterday.
The company hopes to beat Wall Street expectations for fiscal 2008, with the release of Grand Theft Auto IV scheduled for the second quarter.
Peet's Coffee & Tea (PEET - commentary - Cramer's Take) is up 5% since I suggested that it might make a good long, closing trading yesterday at $29.22.
Although I still believe in the company's long-term potential, for the short term, the stock is already pricing in bright prospects, and the climbing dairy prices are not helping.
Another stock that has appreciated since I wrote about it is Avid Technology (AVID - commentary - Cramer's Take). It is up 8%, following the announcement of Gary Greenfield as CEO and board chairman.
The appointment, which is effective immediately, holds a lot of promise. Greenfield is a turnaround guy and has experience growing businesses both organically and via acquisition, managing development, marketing and operations.
The new CEO will focus on cost cutting in an attempt to expand Avid's margins from the current 5% to closer to the industry average of 15%.
I have since heard from a couple of hedge fund managers who are short Itron and disagree with my thesis. Since the publication of my article, however, the stock is up almost $10.
The company has a leadership position. It recently announced some contract wins from Southern California Edison and Azeri Gas and Electricity Metering, and the company is still poised to gain from growing advanced metering infrastructure demand.
Just this morning RBC Capital Markets upgraded Itron from Sector Perform to Outperform. Even after the rally, Itron's share price does not fully reflect this potential. I still believe Itron will hit the $100 mark before slipping back to $75.
True Religion Apparel (TRLG - commentary - Cramer's Take) closed trading yesterday at $21.06. The stock is up an astounding 10% since I brought this potential short-squeeze situation to your attention.
The company now plans to open a new branded store at the Time Warner Center on Columbus Circle in New York City.
With the stock close to its 52-week high, it's now time for a wait-and-see approach and I would be careful initiating brand new positions.
The shorts are still taking down RLI Corporation (RLI - commentary - Cramer's Take), and its shares have dipped to $57 from $59, when I wrote about it here.
Lastly, although billionaire investor Warren Buffett is in USG Corporation (USG - commentary - Cramer's Take) and investment funds -- such as the Tilson Focus Fund TILFX -- are raising their stakes in the company, I would suggest staying on the sidelines until the stock offers a better entry point.
Thus far, the shares are down approximately 4% since my article was published, and it is getting closer to where I would put in a bid.
Thank you for all your support and feedback. I really appreciate readers taking the time to email me when they profit from some of these trade ideas. Please do not hesitate to contact me with any negative or positive feedback. Have a happy, healthy and prosperous New Year.
P.S. Will you be there when Cramer makes his next move?
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Investing Today's Short-Squeeze Plays: PEET 12/20/2007 10:44 AM EST Its short ratio has soared in the last month, but fundamentals don't look dire.
Investing Insider Purchases & Buybacks: ALC 12/20/2007 9:26 AM EST A rich repurchase plan and insider buys show management's faith in the value here.
At the time of publication, Raznick was long Itron, although positions may change at any time.Jason Raznick is president of Easy Stock Alerts and has been involved with the capital markets for several years. He has worked for Merrill Lynch, Dynamis and Tricap Holdings, a joint venture with Fortress Investment Group. Under no circumstances does the information in this column represent a recommendation to buy or sell stocks. Raznick appreciates your feedback; click here to send him an email.
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