John Ransom

Welcome to John Ransom’s Stocks in the News where the headlines meet the trendlines:

Stock number one: Himax Technologies.

And the headline says: Himax Technologies is a top pick for 2014 at Northland Securities- Fly On the Wall

Northland recommends buying Himax aggressively and raised estimates given stronger near-term momentum in the small/medium display business and increased activity in the new LCOS display business. The firm expects momentum to carry in 2014 and named it a top pick and raised its price target to $15 from $12. Shares are Outperform rated.

Symbol: OSTK

Dividend: N/A

Forward PE: 34; Trailing PE 20;

PEG: 1.04

Estimate Trend: UP

Ransom Note Trendline: Buy Himax for speculative accounts

HIMX Chart

HIMX data by YCharts

Stock number two: Carnival Corporation.

And the headline says: People Want to Take Cruises Again! How Should You Play It? - Motley Fool

Although it has been plagued with a string of mishaps, the cruise industry seems to be moving forward nicely. Carnival (NYSE: CCL) in particular was affected more than its competitors with the Costa Concordia accident as well as the "cruise from hell" on the Triumph, in addition to several other minor incidents. So now that peak vacation season is upon us, it seems like a good time to take another look and see how Carnival and the rest of the industry is moving forward.

Symbol: CCL

Dividend: 0.90

Forward PE: 23; Trailing PE: 26

PEG: 1.90

Estimate Trend: Down

Ransom Note Trendline: Avoid Carnival Corppration.

CCL Chart

CCL data by YCharts

Stock number three: Arch Coal

And the headline says:Arch Coal Completes Consent Solicitation for Its 8.750% Senior Notes due 2016—Company release

Arch Coal today announced that it has successfully completed its consent solicitation with respect to its 8.750% Senior Notes due 2016. On December 2, 2013, Arch commenced a cash tender offer for any and all of its outstanding 600 million aggregate principal amount of Notes. In connection with the Tender Offer, Arch solicited consents from the holders of the Notes for certain proposed amendments to the indenture governing the Notes.

Note: Market cap for ACI has shrunk from about $16 billion (2008) rallied to $8 billion (2011) and now is less than one billion dollars under Obama. Obama has waged a "war" on coal, if you didn't notice.

Symbol: ACI

Dividend: NA

Forward PE: NA; Trailing PE: NA


Estimate Trend: Down

Ransom Note Trendline: Sell Arch Coal

ACI Chart

ACI data by YCharts

John Ransom

John Ransom’s writings on politics and finance have appeared in the Los Angeles Business Journal, the Colorado Statesman, Pajamas Media and Registered Rep Magazine amongst others. Until 9/11, Ransom worked primarily in finance as an investment executive for NYSE member firm Raymond James and Associates, JW Charles and as a new business development executive at Mutual Service Corporation. He lives in San Diego. You can follow him on twitter @bamransom.