Added to Active Stock Lists
Olympic Steel
The Street.Com (TSCM)
Balchem
Hit Price Target
Johnson & Johnson
Raleigh, NC. The Technology Stock Advisor, a weekly internet stock newsletter covering high technology stocks, initiated coverage today on three new companies and issued a sell recommendation for one company that hit the TSA sell target price.
“Our initial stock screening process begins by searching for companies undergoing corporate innovation (CI),” said Thomas Vass, the investment advisor to the newsletter.
“Our method is based upon a theory of technology that suggests to us that companies undergoing innovation may experience a boost in their stock price within a 3 year period,” he added.
Once the stocks make it through the technology screening process, the stocks are evaluated for certain financial characteristics. “All major corporations in the world have access to the same capital equipment and same labor skills,” explained Vass. “Much of the difference in stock price appreciation is related to the non-labor, non-capital production factors that affect a firm’s gross profits.”
“We want to find indicators that senior management of the company is consistently making good use of corporate innovation resources because we believe that innovation is the single greatest factor today in driving stock market prices,” he stated.
Two of the new companies BCPC and ZEUS had met some of the initial TSA criteria, and had been placed in the TSA Watch List of Stocks to be monitored. “After some considerable length of time in the Watch List,” said Vass, “both companies met all the criteria and moved to the active lists, with newly established target buy prices and target sell prices.”
One of the companies, TheStreet.com, went directly on the TSA active list after being discovered in the daily search for stocks undertaken by TSA.
In addition to the 3 new companies, The Technology Stock Advisor issued a sell recommendation on Johnson & Johnson, at the target sell price of $70. “J&J is a terrific technology company,” said Vass, “but one of the important rules of our method is to take the gain when the stock hits our target sell price.”
TSA holds a patent on the intellectual property of technology stock selection. “Our patented stock selection method discovers companies in global industrial value chains where most new technology is created that drives corporate innovation,”
