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Dykstra: Focus on Value Stocks

Stock quotes in this article: AA , NE , NBE , GOOG , MSFT , CAM , HPQ  

I heard the sad news last night that legendary Phillies broadcast announcer Harry Kalas passed unexpectedly yesterday as he was getting ready to do what he loved best: Call a game. Harry was a great guy and a terrific broadcaster. They don't make them any better.

Harry will be missed by the team, the fans and myself. He's been a mainstay at Phillies games since 1971. That's quite a track record for anyone.

The track record for my deep-in-the-money options trading system is now 100-1, with Monday's $1,000 win on Alcoa(AA Quote). To pick winning stocks, I use a lot of measures to judge whether shares are truly value-priced.

The most important metric I use is the price-to-earnings ratio. But another measure that clarifies the relationship of a stock's going price to its profitability is price-to-cash flow. ...

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Dow Jones S&P 500 NASDAQ 10-Year Note
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Oil *
73.88
UP
20.63
UP
6.40
UP
31.64
UP
0.59
10 Yr
3.55%
SPDR Gold
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+0.20%
+0.58%
+1.45%
+1.69%
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