New Stocks - Midweek

A few stocks are new to my screens in midweek. This isn't an official point for my mechanical portfolios, as that only happens over weekends. But I am sneaking a peek as I may be buying a few stocks on Monday (or perhaps on Friday... we'll see:).

CBI hit the charts. This is a strange company, probably as poorly named as American Dairy, which sells infant formula in China. CBI is Chicago Bridge and Iron. So where is home for CBI? Well, if you look at their profile, it says the Netherlands! If you look at their recent quarterly results (CB&I Reports Second Quarter 2009 Results) byline, it says The Woodlands, Texas (which I think is outside of Houston).

Well, no sign of Chicago anywhere, how about the Bridge and Iron? Here is their Yahoo Business summary, you decide!

Chicago Bridge & Iron Company N.V., together with its subsidiaries, operates as an engineering, procurement, and construction company. It provides liquefaction and regasification facilities consisting of terminals, tanks, and associated systems, as well as liquefied natural gas (LNG) tanks on a stand-alone basis to the LNG sector. The company also serves energy processes sector specializing in offshore structures, refinery process units, petrochemical process units, gas processing facilities, power plants, pipelines, hydrogen/synthesis gas plants, and sulfur removal and recovery. In addition, Chicago Bridge provides steel structures comprising above ground storage tanks, elevated storage tanks, pressure vessels, and other specialty structures, such as processing facilities and nuclear containment vessels for the steel plate structures market sector. Further, it offers licensed technology for customers in the petrochemical, refining, and gas processing industries, as well as heat transfer equipment and performance catalysts. Chicago Bridge has operations in North America, Europe, Africa, the Middle East, the Asia Pacific, and Central and South America. The company was founded in 1889 and is based in The Hague, the Netherlands

I didn't see Bridge or Iron mentioned once! So are they a buy? If you just follow my Mechanical rules, the answer is "yes"! And I'd do well, just to follow the rules. They look cheap from a valuation standpoint, but they seem to pay more in Taxes than most firms. I will likely stick a toe in the water. Here are my calcs:

		cbi
+	Operating Income After Depreciation	308.57
-	Minority Interest - Income Account	5.59
=	Income for Calculation	302.98
	Diluted Shares Outstanding	96.211
	Share Price	13.42
+	Market Cap Calc	1,291.15
+	Preferred Capital	-
+	Debt in Current Liabilities	40.17
+	Long-Term Debt	120.00
	Cash and Short-Term Investments	89.23
-	Excess Cash	-
=	Enterprise Value	1,451.33
+	Property Plant and Equipment - Net	340.74
+	Receivables	855.90
+	Inventories	-
+	Other Current Assests	198.51
+	Working Cash	728.67
-	Accounts Payable	663.47
-	Current Liabilities - Other	1,119.61
=	Invested Capital	340.74
	Earnings Yield	21%
	ROIC	89%

Not too shabby.

The other new company is Weight Watchers: WTW. Hmm, I don't see them. Never mind.

Not much else to add. UEPS had a terrific day today (up about 10%) and allowed me to manage a decent day in a down market. I was glad I sold VM at the announcement of the merger yesterday. Today they dropped 6%, I assume because Sprint dropped, though I didn't dig into it. VPHM, which has been on the screen since the beginning of time had a solid quarter. Ok, I am off to eat dinner.