This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Jarden, Bio-Reference Labs: Time to Buy?

LKQ (LKQX) may be in the junk business, but Dan Veru, portfolio manager for the Pyxis Small-Cap Equity Fund (HSZAX), says investors should think twice before throwing its stock away.

"Buying a new fender for a car can cost several thousands of dollars, yet they can procure it from a junk yard at a much lower price if it's in good condition. The auto insurance industry has embraced this concept and these guys have the biggest footprint," says Veru.

The $39 million fund, which garners 3 stars from Morningstar, is up 6.8% over the past 12 months, putting it in the top 5% of Morningstar's small-cap blend category. Over the past five years, the fund has returned an average of 3.3% annually, outpacing 67% of its Morningstar rivals.

Elsewhere, Veru is bullish on specialty testing company Bio-Reference Labs (BRLI - Get Report) despite the volatility and controversy in the name. Shares of the company plummeted last fall after rumors circulated about questionable accounting practices but have since recovered. Veru defends the company, saying they have not been able to uncover any truth to the accounting rumors.

"It just reported an outstanding quarter and we expect the company to continue to perform very well," says Veru.

Another stock he likes is Oil States (OIS - Get Report), which provides temporary housing to drillers in remote regions.

"Obviously you have to put a lot of manpower in these places which are far off the beaten track and you need places for these guys to sleep and eat. And right now with the natural gas boom, that's a great business," says Veru.

Finally, Veru is a fan of household product-maker Jarden (JAH - Get Report), because while most people know brand names like Sunbeam and Mr. Coffee, not many people know the quality of the company behind them.

"Jarden is a company with a very diverse portfolio of consumer products. No product accounts for a significant portion of the overall revenue and just through operational excellence this company generates an enormous amount of free cash flow," says Veru.

Disclosure: TheStreet's editorial policy prohibits staff editors and reporters from holding positions in any individual stocks.

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
SYM TRADE IT LAST %CHG
BRLI $35.23 0.00%
JAH $52.23 0.00%
OIS $43.24 0.00%
AAPL $130.28 0.00%
FB $81.53 0.00%

Markets

DOW 18,080.14 +21.45 0.12%
S&P 500 2,117.69 +4.76 0.23%
NASDAQ 5,092.0850 +36.0220 0.71%

Partners Compare Online Brokers

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs