Fool Portfolio Report
Monday, November 27, 1995

Five stocks down $3/4 or more, and three stocks up, and the Fool Port manages to make money today. With its competing indices mixed (the S&P 500 up and the NASDAQ down), the Fool Port tossed up a market-beating 0.38% gain largely on the strength of two robust moves.

The highlight was Iomega, which vaulted another $3 3/8 on no news. There was a squib on the Bloomberg machine (used by institutional investors) that highlighted the stock. It would appear that institutions are finally beginning to recognize a stock that most Foolish investors were well aware of more than half a year (and 25 points) ago. We were happy to see analyst Joe Besecker of Emerald Research quoted in the story, though disappointed by the lack of attribution. "Iomega has been the most heavily covered stock on America On-Line," Besecker is quoted as saying. Obviously, the phrase "America On-Line" has more meaning for Joe Institutional Investor than "The Motley Fool," which is probably the main point. But at the same time, the ticker symbol IOMG has become fairly synonymous with FOOL, as anyone who's followed the situation even superficially well knows. We'll chalk that one up to bad writing.

Anyway, Besecker was also quoted as saying that this coverage on AOL "has been both a negative and a positive for institutional investors." We'll leave it up to you, dear reader, to speculate about what the "negative" could be. Perhaps Joe was implying that the stock has already been "discovered," before the institutions could hop in?

While I can't say for sure, I believe that article came onto Bloomberg well after the market began trading today, and Iomega was up near $41 in mid-morning. That's why we've concluded it was just a big move on no news. Of course, those are, in my experience, the best big moves of all!

The Gap was our other heroic stock Monday, damning the torpedoes and speeding ahead to a closing bid of $49 1/2. That makes for a 52% return on these shares since our April purchase. Despite a Wall Street downgrade of the stock last week based on its superior recent appreciation, GPS smashed the $50 barrier today to hit a new 52-week high.

The Gap's move was particularly impressive given that our other retailer, Sears, bellwether for the retail industry, dropped $7/8 to $38 5/8. Also off $7/8 was Ride Inc., falling off recent highs to a bid of $24 3/8.

Other bad moves today came from our two highest-priced stocks, America Online (down $3/4 to $69 3/4) and General Electric (down $3/4 to $65 1/4).

And KLA Instruments had the worst day of all, off $1 to a bid of $32. KLAC is our single worst-performing stock at this point, down 28%. Our other loser, Applied Materials (unchanged today), ain't much better, now trading off 27% from our August purchase. Both of these dogs reflect the continuing weakness of semiconductor industry stocks in general.

Noses pressed to the glass, we'll continue to watch our dear Fool Portfolio with eager expectations of increased profits. For now, I'll settle for beating the S&P 500 this month. With three days of trading remaining, we're up 2.83% vs. a November S&P 500 gain of 3.41%. (The NASDAQ is well back, DOWN .65%.)

Fool on!

---David Gardner, November 27, 1995


Today's Moves


AMER - 3/4
AMAT ---
CHV + 1/8
GE - 3/4
GPS +1 5/8
IOMG +3 3/8
KLAC -1
RIDE - 7/8
S - 7/8


Today's Numbers


Day Month Year History FOOL +0.38% 2.83% 65.87% 84.16% S&P 500 +0.23% 3.41% 30.93% 31.18% NASDAQ -0.08% -0.65% 36.88% 42.93% Rec'd # Security In At Now Change 8/5/94 340 AmOnline 14.55 69.75 379.52% 5/17/95 335 Iomega Corp 15.11 40.75 169.62% 5/23/95 510 Ride Inc. 9.91 24.38 146.04% 4/20/95 155 The Gap 32.55 49.50 52.07% 8/5/94 165 Sears 28.93 38.63 33.53% 8/11/95 95 GenElec 57.91 65.25 12.67% 8/11/95 110 Chevron 49.00 49.38 0.77% 8/24/95 100 AppldMatl 57.52 42.13 -26.77% 8/24/95 130 KLA Instrm 44.71 32.00 -28.43% Rec'd # Security Cost Value Change 8/5/94 340 AmOnline 4945.56 23715.00 $18769.44 5/17/95 335 Iomega Corp 5063.13 13651.25 $8588.12 5/23/95 510 Ride Inc. 5052.44 12431.25 $7378.81 4/20/95 155 The Gap 5045.25 7672.50 $2627.25 8/11/95 95 GenElec 5501.87 6198.75 $696.88 8/11/95 110 Chevron 5389.99 5431.25 $41.26 8/24/95 100 AppldMatl 5752.49 4212.50 -$1539.99 8/24/95130 KLA Instrm 5812.49 4160.00 -$1652.49 8/5/94 165 Sears 4772.65 6373.13 $1600.48 CASH $8235.20 TOTAL $92080.83