Dow Jones 10450.64 (UP) Week ending 06-18-2010
Ferris Bueller. Sometimes it's fun to view the world through his eyes. His famous quotes like; " I do have a test today, that wasn't bullsh**. It's on European Socialism. I mean, really, what's the point? I'm not European. I don't plan on being European. So, who gives a crap if they're Socialists? They could be fascist anarchists, it still wouldn't change the fact that I don't own a car.". But it's his "Life moves pretty fast and needing to take a look around once in a while. (or you will miss it)" quote that I want to talk about today.
I was driving to work Tuesday morning and was about 5th in line at the stop light at Fitzwater and York Rd's,(in front of Giuseppe's restaurant). Sometimes on Tuesday mornings on the way to work I have car crashes. That has happened twice, but this was not one of those mornings.
I stopped to take a look around and saw a long freight train was coming by on the tracks that run by the PA. Turnpike. The first engine was a Norfolk Southern (Symbol NSC, $59.10) followed by a Burlington Northern Santa Fe engine which is owned by Warren Buffett and Berkshire Hathaway Inc. (Symbol BRK.B, $79.90) which all seemed pretty normal. But then I starting seeing car after car of double trailers of freight being hauled down the line. Most of the flat cars or spine cars that were going by had the truck trailers of J.B. Hunt Transport Services Inc. (Symbol JBHT, $35.01) on them. Yellow sign after yellow sign on the trucks went by. (It must have been a long red light!) Ben Stein pictured, a financial wizard himself, still calling; "Bueller? Bueller? Bueller?"
It got me to thinking that if we are in economic recovery mode that some of these transport stocks are certainly going to need to be part of it. So I took a look at JB Hunt Transport services(JBHT) which does look good here and also Oshkosh Corp. (symbol OSK, $35.26) which has a PE of 4 and also Paccar Inc. (symbol PCAR, $43.65) which has been really beaten up here but looks to be projecting a huge earnings rebound in 2011.
This Proustian-like experience also propelled me to discover in the transports the stock of Navistar International Corp. (Symbol NAV, $56.89) , another company projecting large earnings growth in 2011 from $3.07 to $5.09 per share.
So if you pay attention to Ferris when he says; "A person should not believe in an "-ism," he should believe in himself. I quote John Lennon; "I don't believe in Beatles, I just believe in me." , then you will probably believe in yourself and make some good Transport picks like these in the stock market.