NYU Student Investors Try Joy Global

11/28/07 - 05:00 PM EST

Jonas  Elmerraji

Week 9: Important Products and Cyclical Protection

The most recent stock to be voted in by the IAG is Hologic (HOLX Quote - Cramer on HOLX - Stock Picks). Senior Alina Costica and sophomores Neha Gaddam and Jessie Yoh heard the company mentioned in one of Jim Cramer's recent "Mad Money Lightning Rounds," decided to give it a closer look, found it investment-worthy and on Friday, Nov. 16, made their pitch.

Hologic is a company that makes diagnostic and medical imaging systems for women. The company's products are designed to help detect breast cancer and osteoporosis. Hologic appealed to Costica, Gaddam and Yoh because they "were really interested in finding a stock that would be somewhat shielded from a potential recession recession" and was also an investment that would get them "excited about [the company's] product offerings."

"Hologic seems to fit the bill in terms of being shielded from a potential recession, as well as being in an industry that interested us," says Costica. "It is a leading women's health care company that is helping save women every day by detecting breast cancer and osteoporosis."

Last month, Hologic completed a merger with Cytyc, another manufacturer of health care devices for women. With Hologic tops in its field, the team is confident in its investment potential.

According to Costica, Hologic now has "over 50% market share across almost all of their product segments." Costica adds, "One of the main catalysts for the company is the recent conversion from film-based mammography to digital mammography systems. Also, the recent merger transforms [Hologic] into a fully integrated women's health care company, with access to the OB/GYN market."

With the end of the fall semester and the winter holiday break now in sight, how will these three recent buys affect the IAG's model portfolio? Time will tell.

The IAG's Top Five

Until we catch up with the IAG again, here are the group's current top five best-performing stock holdings:

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Jonas Elmerraji is the founder and publisher of Growfolio.com, an online business magazine for young investors.
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