NEW YORK ( TheStreet) -- Doug Kass of Seabreeze Partners is known for his accurate stock market calls and keen insights into the economy, which he shares with RealMoney Pro readers in his daily trading diary.Among his posts this past week, Kass explained why Avon and Yahoo! are two stocks that could see gains despite weak fundamentals; why FedEx's recent announcement is worrisome on the economic front; and why Oaktree is an attractive financial stock. Please
Originally published on Friday, Sept. 21 at 9:27 a.m. EDT.
"If every instinct you have is wrong, then the opposite would have to be right."Avon Products ( AVP) and Yahoo! ( YHOO) are two investment dogs, with weak fundamentals but potential share price catalysts. In the case of Avon, Coty has already bid nearly $25 a share for the company, only a few months ago. Coty has delayed its IPO until 2013, and, in all likelihood, its interest would only resurface after an IPO. Nevertheless, the share price is low, and I like the risk/reward ratio. In the case of Yahoo!, hedge-hogger Dan Loeb is a significant shareholder (and board member) who seems to be guiding the company in making the right moves (asset sales, Mayer appointment as CEO, etc.) and, to me, is likely to be a responsible and value-creation-oriented steward for all Yahoo! shareholders. At the time of publication, Kass was long AVP and YHOO common; long AVP calls.
-- Jerry Seinfeld to George Costanza (Jason Alexander) in Seinfeld's "The Opposite" episode
Another Sign of Stagflation
Originally published on Wednesday, Sept. 19 at 10:43 a.m. EDT.
Optimistic on Oaktree
Originally published on Friday, Sept. 21 at 8:37 a.m. EDT.
"Recent meetings with Oaktree management reiterate our belief that its distressed funds are operating in a strong realization environment, paving the way for Opps VIIb to pay carry in 2Q13. While current fundraising efforts are below the 07/08 peak and AuM growth near-term could lag some peers -- an area of investor concern -- Matt sees newer efforts such as real estate beginning to pick up steam and potential upside if distressed conditions become more prevalent."At the time of publication, Kass was long OAK and AIG common; short AIG puts.