Penn State Investment Association
Weekly Update: July 14, 2008
Board of Directors
Summary Highlights
The Nittany Lion Fund LLC. returned a loss of -1.50% for the week ending July 11, 2008,
while the S&P 500 returned a loss of -1.81%. Year to date, the Fund has returned a loss of
-9.29% versus the S&P 500 which has returned a loss of -14.92%. Since inception the
Fund has returned 5.80% on an annualized basis while the S&P 500 has returned 2.31%.
Performance this week was driven by the Healthcare, Consumer Staples, and Utilities
sectors
There was 1 presentation last week. The Information Technology sector presented a buy
for Research In Motion Ltd. (RIMM) for the bench, and it was approved
There are 4 presentations this week. The Consumer Discretionary sector is presenting a
sell for Carnival Corp. (CCL), while the Financials sector is presenting a hold for MetLife
Inc. (MET). The Telecommunications sector is presenting holds for Cisco Systems, Inc.
(CSCO) and AT&T (T)
President
Ryan Limor
Vice President
Jake Ettore
Secretary
Lee Mooney
Treasurer
John Brozick
Economic Outlook:
►
Looking forward on Tuesday, the producer price index could jump about 1.5% for
June, with the "core" rate up about 0.3%, while the Commerce Department tallies
June retail data, with stimulus checks providing a lift. Fed releases minutes from
its June 25 meeting, when it left rates unchanged but noted that uncertainty about
the inflation outlook "remains high." CPI will also be out with regards to the
economy’s inflation worries. On Thursday, there will be earnings reports from
Microsoft, Google, Nokia and IBM, as well as J.P. Morgan, Merrill Lynch, United
Technologies, Coca-Cola and Continental Airlines
Penn State Investment Association
Weekly Update: July 14, 2008
Board of Directors
Nittany Lion Fund
Returns (TTM)
20%
15%
Performance*
Weekly
YTD
Inception1
Nittany Lion Fund
(1.50%)
(9.29%)
5.81%
Base Portfolio Value
$4,754,493
S&P 500 Index
NLF vs. S&P 500 2
(1.81%)
(14.92%)
2.32%
Current Portfolio Value
$4,757,330
0.31%
5.63%
3.49%
Cash Balance
Key Statistics
1
10%
Annualized & Net of fees; Uses arithmetic calculation
Weekly Trades
0%
Bank of New York Mellon Corp
Coca-Cola Co
Wells Fargo & Co
Proctor & Gamble Co
-10%
-15%
Jul
Oct
NLF
Jan
Apr
Price
Shares
BUY
BUY
SELL
SELL
$36.31
$51.46
$23.77
$63.43
2,570
2,435
4,200
1,745
Portfolio Beta
Sharpe Ratio (1 yr.)
Volatility (26 week)
Weighted Ave. Market Value
P/E (TTM)
YTD Turnover Ratio
Sector Analysis
Weekly
4 Weeks
YTD
vs. S&P 500 4
Consumer Discretionary
Consumer Staples
Energy
Financials
Healthcare
Industrials
Information Technology
Materials
(4.68%)
0.79%
(4.30%)
(4.14%)
2.97%
(0.66%)
(0.62%)
(0.63%)
(15.17%)
(3.46%)
(3.49%)
(11.54%)
(0.99%)
(8.51%)
(7.24%)
(10.24%)
(10.02%)
(8.62%)
18.90%
(22.23%)
(7.53%)
(10.78%)
(17.46%)
6.49%
10.53%
(1.70%)
18.22%
21.08%
5.25%
6.36%
(2.22%)
11.93%
Telecommunications
Utilities
(1.01%)
(0.20%)
(11.20%)
(2.01%)
(15.15%)
(2.46%)
8.36%
2.58%
0.69
0.91
NLF Target
Weight
P/E Ratio
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
2.84%
1.88%
1.01%
1.25%
2.42%
3.32%
2.77%
3.26%
2.16%
1.23%
3.19%
4.20%
2.56%
3.42%
3.49%
2.11%
1.86%
2.75%
1.58%
2.07%
2.90%
3.89%
2.36%
1.76%
2.97%
3.94%
1.02%
1.69%
1.66%
2.23%
2.29%
3.85%
3.38%
3.20%
3.92%
1.31%
1.26%
0.43%
0.80%
0.77%
0.64%
1.03%
0.96%
0.84%
0.59%
0.94%
14.39
12.65
11.80
11.02
18.33
15.76
16.41
15.64
8.28
10.82
9.84
15.83
20.68
28.93
9.60
8.27
13.09
15.11
20.12
12.05
36.62
25.79
18.57
23.00
22.78
13.72
11.45
19.07
14.80
15.96
14.59
19.25
26.54
20.56
19.44
9.29
16.94
21.56
13.58
14.09
14.15
10.77
16.63
14.40
25.65
20.88
Jul
S&P 500
Director of PAG
Tom Waters
tjw5061@psu.edu
Associate
Director of PAG
Stratton Matthews
ssm5013@psu.edu
Summer
Director of PAG
Brad Lightner
bcl5023@psu.edu
President
Ryan Limor
Vice President
Jake Ettore
Secretary
Lee Mooney
Treasurer
John Brozick
$337,358
2
5%
-5%
NLF Portfolio
3
S&P 500
-0.33
20.36%
$92.11 billion
17.76
0.60%
Sector Weightings
P/E vs. S&P Market Cap vs.
Current
S&P 500
Sector 3
S&P Sector 3 NLF Target
0.87
1.40
7.10%
6.99%
7.91%
0.93
0.74
11.48%
11.77%
11.31%
1.06
0.21
18.20%
16.75%
15.57%
0.93
0.96
16.91%
16.77%
13.69%
1.34
0.43
10.11%
10.98%
12.49%
1.05
0.32
10.60%
10.54%
11.28%
0.93
0.67
15.90%
16.63%
16.52%
0.65
0.79
3.15%
3.00%
3.82%
0.82
1.20
3.14%
3.40%
3.25%
3.32%
3.31%
4.09%
4
As a ratio of NLF/S&P market cap weighted averages; Excludes dividends
NLF Holdings
Nike Inc
$
The Walt Disney Co.
$
V F Corp.
$
Carnival Corp
$
Fomento Economico Mexicano ADR$
CVS Corp.
$
Coca-Cola Co
$
Philip Morris International Inc
$
Apache Corp.
$
Helix Energy Solutions
$
Noble Corp.
$
Chesapeake Corp.
$
Schlumberger Ltd.
$
Southwestern Energy
$
The Goldman Sachs Group
$
Metlife Inc.
$
Federated Investors Inc.
$
Aflac Inc.
$
Blackrock Inc.
$
Bank of New York Mellon Corp
$
Visa Inc.
$
Gilead Sciences, Inc.
$
Becton Dickinson Co.
$
Mylan Labs Inc.
$
Stryker Corp
$
General Dynamics
$
Precision Castparts Corp
$
Ametek Inc.
$
Harsco Corp
$
ABB Ltd.
$
Microsoft Corp.
$
Automatic Data Processing Inc.
$
Google Inc.
$
Cerner Corp.
$
Amphenol Corp.
$
Freeport Copper & Gold Inc.
$
FMC Corporation
$
Praxair Inc.
$
L3 Communications
$
America Movil SA de CV
$
Cisco Systems, Inc.
$
AT&T Inc.
$
Transcanada Corp.
$
Constellation Energy
$
CPFL Energia SA
$
Exelon Corp.
$
5
NLF
0.918
0.37
18.29%
$48.84 billion
17.41
37.33%
Purchase
41.46
32.07
78.99
40.96
42.73
28.48
51.46
47.66
136.51
36.92
43.50
34.11
78.32
23.12
134.58
62.40
35.15
65.07
183.96
36.31
85.70
40.34
85.81
21.88
65.19
53.64
115.99
38.51
58.67
28.65
26.50
43.59
456.46
44.53
35.29
64.88
36.00
87.76
73.54
28.11
26.00
38.44
38.01
95.33
66.11
85.66
Current
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
56.26
29.20
70.64
30.29
43.58
38.64
50.27
53.37
124.59
38.39
58.91
63.52
99.16
42.64
162.48
51.06
31.57
60.72
174.71
35.66
74.55
53.70
81.17
11.99
65.64
81.05
94.26
47.16
52.49
26.62
25.25
41.47
533.80
44.46
45.21
107.74
69.45
91.46
90.89
50.20
21.82
32.58
36.73
79.53
68.74
90.55
78.83
43.11
86.45
48.03
56.00
47.00
67.21
58.00
167.94
42.89
73.96
69.80
121.16
49.74
230.00
68.00
48.50
75.00
218.37
44.24
94.50
59.64
105.48
17.55
76.38
100.34
129.10
54.77
69.76
34.35
37.00
53.00
641.00
64.00
54.00
148.93
89.14
101.73
124.11
71.74
28.96
45.53
44.16
107.68
84.27
96.52
5
Market Cap (B) % Off High
27.72
55.63
7.71
23.85
15.59
55.23
116.77
112.57
41.56
3.52
15.83
34.33
118.31
14.58
63.99
36.27
3.22
28.86
20.58
40.79
80.81
49.54
19.81
3.65
27.03
32.30
13.13
5.03
4.42
60.94
235.16
21.50
167.66
3.58
7.93
41.29
5.20
28.64
11.15
86.62
128.89
193.56
21.22
14.19
11.00
59.40
19.71%
16.55%
10.66%
26.07%
4.24%
12.42%
2.33%
1.17%
15.13%
7.80%
13.34%
8.47%
11.54%
12.43%
34.46%
18.17%
28.88%
10.99%
22.94%
4.22%
14.86%
5.19%
9.21%
47.04%
14.17%
14.32%
18.73%
11.10%
17.75%
19.21%
31.87%
8.27%
28.04%
32.07%
8.81%
14.40%
12.82%
8.08%
20.75%
27.14%
17.25%
19.58%
9.17%
25.76%
1.60%
1.19%
% difference between most recent price and highest weekly closing price since purchase
*NLF performance is calculated to reflect the changes in net portfolio value for a specified period of time. Returns include dividends.
**vs. S&P 500 is the performance relative to S&P 500 Index. Individual performance against S&P 500 Index is measured using returns against the unadjusted index.
Individual Performance
Weekly
Overall
(3.86%)
(5.50%)
(5.17%)
(5.02%)
1.61%
0.39%
(2.35%)
3.69%
(6.46%)
1.80%
(4.44%)
(4.88%)
(2.67%)
(5.33%)
(9.17%)
(3.20%)
(4.33%)
(2.71%)
3.03%
(3.75%)
(4.51%)
5.11%
(1.43%)
1.18%
5.02%
(2.61%)
(0.04%)
2.41%
3.25%
(2.74%)
(2.81%)
(1.45%)
(0.60%)
0.54%
0.56%
(0.83%)
(0.04%)
(2.90%)
1.76%
(2.75%)
(5.62%)
0.00%
(1.55%)
(3.04%)
6.08%
0.10%
35.69%
(8.95%)
(10.57%)
(26.05%)
1.99%
35.68%
(2.31%)
11.99%
(8.73%)
3.98%
35.43%
86.20%
26.60%
84.43%
20.73%
(18.17%)
(10.17%)
(6.68%)
(5.03%)
(1.79%)
(13.01%)
33.12%
(5.40%)
(45.20%)
0.70%
51.10%
(18.73%)
22.48%
(10.53%)
(7.09%)
(4.71%)
(4.86%)
16.94%
(0.16%)
28.11%
66.07%
92.89%
4.22%
23.59%
78.58%
(16.08%)
(15.24%)
(3.37%)
(16.57%)
3.98%
5.70%
Penn State Investment Association
Weekly Update: July 14, 2008
Technical Analysis Group
Market Overview
Commentary:
► The market is currently below the1300 level. TAG is expecting the market to swing up
slightly this week. The downward trend should continue after this week. Last week we had
a break in the previous lows. After the short term rise for this week, we should continue to
see the market fall to new lows. While the market is currently up a percent, it may gap fill
on Monday and close down. However, from there it should rise for the most part of this
week. Once we see a break in the new lows in the next few weeks, we should see a
substantial downward move, as we do not have too much support to push the market up
Director of TAG
Justin DiPietro
jzd131@psu.edu
S&P 500 Daily Chart
S&P 500 30 Min Chart
President
Ryan Limor
Vice President
Jake Ettore
Secretary
Lee Mooney
Treasurer
John Brozick
Penn State Investment Association
Weekly Update: July 14, 2008
Equity Research: Focus on Consumer Discretionary
Company
Nike
Disney
VF Corp
Carnival
Director of
Equity Research
Jack Z. Sun
jacksun@psu.edu
Consumer
Discretionary
Lead Analyst
Adam Brown
apb5039@psu.edu
Associate Analyst
Brad Lightner
bcl5023@psu.edu
4 Week Company Performance 4 Week Sector Performance
-18.45%
-15.17%
-13.94%
-15.17%
-2.94%
-15.17%
-18.11%
-15.17%
Purchase Price Current Price (7/11/08)
$41.46
$56.26
$32.07
$29.20
$78.99
$70.64
$40.96
$30.29
Target Price Since Purchase
$78.83
35.70%
$43.11
-8.95%
$86.45
-10.57%
$48.03
-26.05%
Nike (NKE)
Sub-sector: Footwear
►Status: Purchased on 4/6/05 at $41.46
►Current Price: $56.26
►Target Price: $78.83
►Trailing P/E: 15.06
►Forward P/E: 12.56
►LT EPS Growth Rate: 13.90%
►Market Cap: $27.65 Billion
►% of Total Portfolio: 2.84%
►
Commentary
Nike is trading down more than 25.00% from its 52-week high of $70.60 after reporting slow domestic
growth in its fourth quarter
►
Walt Disney (DIS)
Sub-sector: Entertainment
Status: Purchased on 11/28/07 at $32.07
►Current Price: $29.20
►Target Price: $43.11
►Trailing P/E: 13.17
►Forward P/E: 11.82
►LT EPS Growth Rate: 13.78%
►Market Cap: $55.63 Billion
►% of Total Portfolio: 1.88%
►
►
Commentary
A Lehman Brothers analyst downgraded Disney to “underweight” from “equal-weight,” and cut his
price target to $29.00 from $40.00, claiming the company is threatened by the growth of digital content
distribution and potential weakness at its theme parks
►Lehman also downgraded several of Disney’s competitors, such as Time Warner and News Corp, on
overall concern with the media and entertainment sector
►
President
Ryan Limor
Vice President
Jake Ettore
Secretary
Lee Mooney
Treasurer
John Brozick
Penn State Investment Association
Weekly Update: July 14, 2008
Equity Research: Focus on Consumer Discretionary
Director of
Equity Research
Jack Z. Sun
jacksun@psu.edu
Consumer
Discretionary
Lead Analyst
Adam Brown
apb5039@psu.edu
Associate Analyst
Brad Lightner
bcl5023@psu.edu
VF Corp (VFC)
Sub-sector: Apparel
Status: Purchased on 4/2/08 at $78.99
►Current Price: $70.64
►Target Price: $86.45
►Trailing P/E: 13.21
►Forward P/E: 10.67
►LT EPS Growth Rate: 10.00%
►Market Cap: $7.71 Billion
►% of Total Portfolio: 1.01%
►
►
Commentary
VF Corp will report second quarter earnings on July 15. Analysts are expecting an EPS of $0.88 a
share, while they reported earnings of $0.93 a share for the second quarter of 2007
►VF Corp raised its second quarter earnings outlook recently, saying earnings would rise by 10.00% to
12.00% over its previously-issued view of $0.80 per share "due to stronger earnings from operations and
a net favorable benefit from the resolution of various tax matters”
►
Carnival (CCL)
Sub-sector: Cruise-lines
►Status: Purchased on 5/7/08 at $40.96
►Current Price: $30.29
►Target Price: $48.03
►Trailing P/E: 10.41
►Forward P/E: 10.91
►LT EPS Growth Rate: 14.13%
►Market Cap: $23.81 Billion
►% of Total Portfolio: 1.25%
►
Commentary
President
Ryan Limor
Vice President
Jake Ettore
Secretary
Lee Mooney
Treasurer
John Brozick
Carnival is trading close to its 52-week low of $29.67 due to market concerns over the effect of high oil
prices on the cruise liner's bottom line and weak discretionary spending
►
Penn State Investment Association
Weekly Update: July 14, 2008
Equity Research: Focus on Consumer Discretionary
President
Ryan Limor
Vice President
Jake Ettore
Secretary
Lee Mooney
Treasurer
John Brozick
Bench Stocks:
Status:
1.
Macy’s, Inc. (M)
Approved for bench
2.
McDonald’s Corp. (MCD)
Approved for bench
3.
Omnicom (OMC)
Approved for bench
Focus List:
Status:
1.
Boyd Gaming Corp. (BYD)
Initiated coverage
2.
American Eagle Outfitters, Inc. (AEO)
Initiated coverage
3.
TJX Companies, Inc. (TJX)
Initiated coverage
4.
MGM Mirage (MGM)
Initiated coverage
5.
GameStop (GME)
Initiated coverage
6.
Chipotle Mexican Grill (CMG)
Initiated coverage
7.
Dollar Tree (DLTR)
Initiated coverage
Penn State Investment Association
Weekly Update: July 14, 2008
Equity Research: Focus on Consumer Staples
Company
CVS
Fomento Economico Mexicano
Coca-Cola
Philip Morris International
Director of
Equity Research
Jack Z. Sun
jacksun@psu.edu
Consumer Staples
Lead Analyst
Bill Schultz
wcs146@psu.edu
Associate Analyst
Y. Dan Ha
ydh101@psu.edu
4 Week Company Performance 4 Week Sector Performance
-9.34%
-3.46%
-1.13%
-3.46%
-9.29%
-3.46%
4.34%
-3.46%
Purchase Price Current Price (7/11/08) Target Price Since Purchase
$28.48
$38.64
$47.00
35.67%
$42.73
$43.58
$56.00
1.99%
$51.46
$50.27
$67.21
-2.31%
$47.66
$53.37
$58.00
11.98%
CVS/Caremark Corp. (CVS)
►
Sub-sector: Pharmacy Services
►
Status: Purchased on 12/27/05 at $28.48
►
Current Price: $38.64
►
Target Price: $47.00
►
Trailing P/E: 19.54
►
Forward P/E: 13.37
LT EPS Growth Rate: 15.90%
►Market Cap: $55.23 Billion
►
►
% of Total Portfolio: 3.32%
Commentary
►
A Jefferies analyst initiated coverage on CVS with a “buy” rating and a $50.00 price target
►
CVS increased its quarterly dividend to $0.069 per share, which represents a 15.00% increase
CVS agreed to make Depomed, Inc. drug Glumetza available to its customers as a Tier 2, brandpreferred Metformin for the treatment of diabetes
►
Fomento Economico Mexicano (FMX)
►
Sub-sector: Beverages
►
Status: Purchased on 6/26/08 at $42.73
►
Current Price: $43.58
►
Target Price: $56.00
►
Trailing P/E: 18.54
►
Forward P/E: 16.57
LT EPS Growth Rate: 19.20%
►Market Cap: $15.59 Billion
►
►
President
Ryan Limor
Vice President
Jake Ettore
Secretary
Lee Mooney
Treasurer
John Brozick
% of Total Portfolio: 2.42%
Commentary
Femsa announced that it will release its Q2 results on Monday, July 28 before market opens. Analysts are
expecting earnings of $0.62 a share
►
The Motley Fool gave FMX a 5-Star rating, citing the company’s “diversification and growth prospects”
as well as it positioning to take advantage “of the rise of Mexican consumerism.” Historical data shows
that Motley Fool 5-star stocks outperform the market by a significant margin
►
Penn State Investment Association
Weekly Update: July 14, 2008
Equity Research: Focus on Consumer Staples
Director of
Equity Research
Jack Z. Sun
jacksun@psu.edu
Consumer Staples
Lead Analyst
Bill Schultz
wcs146@psu.edu
Associate Analyst
Y. Dan Ha
ydh101@psu.edu
Coca-Cola (KO)
►
Sub-sector: Soft Drinks
►
Status: Purchased on 7/7/08 at $51.46
►
Current Price: $50.27
►
Target Price: $67.21
►
Trailing P/E: 18.91
►
Forward P/E: 15.01
►
LT EPS Growth Rate: 8.67%
►
Market Cap: $116.77 Billion
►
% of Total Portfolio: 2.77%
Commentary
Coca-Cola imposed a hiring freeze for the rest of the year in the United States. A company spokesman
stated that “this action allows the company to focus all of their attention on their plans to continue to
build their business.” The freeze does not include jobs in Mexico, Canada, or its Glaceau Vitamin Water
►
Coca-Cola along with Cargill released ‘Truvia’, a calorie-free sweetener on July 9. The product is
derived from an herb called stevia, which represents approximately 40% of the low and no calorie
sweetener market in Japan
►
Philip Morris Int’l (PM)
President
Ryan Limor
Vice President
Jake Ettore
Secretary
Lee Mooney
Treasurer
John Brozick
►
Sub-sector: Tobacco
►
Status: Purchased on 3/28/08 at $47.66
►
Current Price: $53.37
►
Target Price: $58.00
►
Trailing P/E: 1.24
►
Forward P/E: 14.70
►
LT EPS Growth Rate: 12.00%
►
Market Cap: $112.57 Billion
►
% of Total Portfolio: 3.26%
Commentary
Philip Morris International was up 3.69% over the week ending on July 11. This reflects investor
confidence in tobacco and its strength in recessionary markets
►
Penn State Investment Association
Weekly Update: July 14, 2008
Equity Research: Focus on Consumer Staples
Director of
Equity Research
Jack Z. Sun
jacksun@psu.edu
Consumer Staples
Lead Analyst
Bill Schultz
wcs146@psu.edu
Associate Analyst
Y. Dan Ha
ydh101@psu.edu
President
Ryan Limor
Vice President
Jake Ettore
Secretary
Lee Mooney
Treasurer
John Brozick
Procter & Gamble (PG)
►
Sub-sector: Household Products
►
Status: Purchased on 2/22/08 at $67.14
►
Current Price: $63.45
►
Target Price: $81.44
►
Trailing P/E: 18.73
►
Forward P/E: 16.40
►
LT EPS Growth Rate: 11.60%
►
Market Cap: $193.71 Billion
►
% of Total Portfolio: 0.00%
Commentary
►
The NLF closed our position our Proctor & Gamble on Monday, July 7, selling 1,745 shares at $63.43
Penn State Investment Association
Weekly Update: July 14, 2008
Equity Research: Focus on Consumer Staples
President
Ryan Limor
Vice President
Jake Ettore
Secretary
Lee Mooney
Treasurer
John Brozick
Bench Stocks:
Status:
1.
William Wrigley Jr. Co. (WWY)
Approved for bench
2.
Target Corporation (TGT)
Approved for bench
3.
Bare Escentuals, Inc. (BARE)
Approved for bench
Focus List:
Status:
1.
Wal-Mart Stores Inc. (WMT)
Initiated coverage
2.
Colgate-Palmolive (CL)
Initiated coverage
3.
H.J. Heinz Co. (HNZ)
Initiated coverage
4.
Sadia S.A. (SDA)
Initiated coverage
5.
Perdigao S.A. (PDA)
Initiated coverage
6.
Tupperware Brands CP (TUP)
Initiated coverage
7.
Unilever PLC (UL)
Initiated coverage
8.
Companhia de Bebidas Das Americas (ABV)
Initiated coverage
Penn State Investment Association
Weekly Update: July 14, 2008
Equity Research: Focus on Energy
Director of
Equity Research
Jack Z. Sun
jacksun@psu.edu
Energy
Lead Analyst
Charles Petredis
cwp5019@psu.edu
Associate Analyst
Rishin Banker
rrb5042@psu.edu
Company
Helix Energy Solutions
Apache Corp.
Noble Corp.
Chesapeake Energy
Schlumberger Ltd.
Southwestern Energy
4 Week Company Performance 4 Week Sector Performance Purchase Price
1.64%
-3.49%
$36.92
-10.02%
-3.49%
$136.51
-9.63%
-3.49%
$43.50
7.32%
-3.49%
$34.11
-0.53%
-3.49%
$78.32
-8.56%
-3.49%
$23.12
Current Price (7/11/08) Target Price Since Purchase
$38.39
$42.89
3.98%
$124.59
$167.94
-8.73%
$58.91
$73.96
35.43%
$63.52
$69.80
86.22%
$99.16
$121.16
26.61%
$42.64
$49.74
84.43%
Helix Energy Solutions Group (HLX)
Sub-sector: Equipment and Services
►Status: Purchased on 2/4/08 at $36.92
►Current Price: $38.39
►Target Price: $42.89
►Trailing P/E: 10.89
►Forward P/E: 8.76
►LT EPS Growth Rate: 25.00%
►Market Cap: $3.52 Billion
►% of Total Portfolio: 1.23%
►
Commentary
Standard & Poor's announced that Helix Energy Solutions Group Inc. will replace Activision Inc. in
the S&P Midcap 400
►Helix Energy Solutions will conduct a conference call regarding its financial and operational results for
the second quarter of 2008 on Thursday, July 31, 2008 before the market opens. Analysts are expecting
earnings of $0.85 per share, while they reported earnings of $0.70 per share one year ago
►
Apache Corp. (APA)
Sub-sector: Exploration and Production
►Status: Purchased on 4/15/08 at $136.51
►Current Price: $124.59
►Target Price: $167.94
►Trailing P/E: 12.53
►Forward P/E: 7.58
►LT EPS Growth Rate: 9.81%
►Market Cap: $41.56 Billion
►% of Total Portfolio: 2.16%
►
President
Ryan Limor
Vice President
Jake Ettore
Secretary
Lee Mooney
Treasurer
John Brozick
Commentary
Apache will announce its second quarter earnings on July 31, 2008 before the market opens. Analysts
are expecting them to report earnings of $3.67 per share, while they reported earnings of $1.89 per share
a year ago
►Natural gas in New York declined to the lowest in six weeks amid speculation that supplies are
adequate to meet demand lowered by milder weather conditions. Natural gas for August delivery fell
$0.396, or 3.2%, to settle at $11.904 per million BTUs
►
Penn State Investment Association
Weekly Update: July 14, 2008
Equity Research: Focus on Energy
Director of
Equity Research
Jack Z. Sun
jacksun@psu.edu
Energy
Lead Analyst
Charles Petredis
cwp5019@psu.edu
Associate Analyst
Rishin Banker
rrb5042@psu.edu
Noble Corporation (NE)
Sub-sector: Drilling and Exploration
►Status: Purchased 12/21/06 at $43.50
►Current Price: $58.91
►Target Price: $73.96
►Trailing P/E: 11.83
►Forward P/E: 8.15
►LT EPS Growth Rate: 27.50%
►Market Cap: $15.83 Billion
►% of Total Portfolio: 3.19%
►
Commentary
Noble Corporation announced that its second quarter 2008 earnings press release has been scheduled
for Wednesday, July 23 after the market closes. Analysts are expecting earnings of $1.37 per share, while
they reported earnings of $2.16 per share last year
►
Chesapeake Energy Corporation (CHK)
Sub-sector: Exploration and Production
►Status: Purchased 02/02/07 at $34.11
►Current Price: $63.52
►Target Price: $69.80
►Trailing P/E: 34.94
►Forward P/E: 14.74
►LT EPS Growth Rate: 15.60%
►Market Cap: $34.33 Billion
►% of Total Portfolio: 4.20%
►
Commentary
Chesapeake Energy Corporation announced on July 8 it would publicly offer 25 million shares of its
common stock with pricing set at $57.25 per share
►Chesapeake Energy Corp said on Wednesday it expects a net loss for the second quarter due to its
hedging strategy
►
President
Ryan Limor
Vice President
Jake Ettore
Secretary
Lee Mooney
Treasurer
John Brozick
Penn State Investment Association
Weekly Update: July 14, 2008
Equity Research: Focus on Energy
Director of
Equity Research
Jack Z. Sun
jacksun@psu.edu
Energy
Lead Analyst
Charles Petredis
cwp5019@psu.edu
Associate Analyst
Rishin Banker
rrb5042@psu.edu
Schlumberger Limited (SLB)
Sub-sector: Equipment and Services
Status: Purchased 2/2/07 at $78.32
►Current Price: $99.16
►Target Price: $121.16
►Trailing P/E: 22.92
►Forward P/E: 16.84
►LT EPS Growth Rate: 22.80%
►Market Cap: $118.31 Billion
►% of Total Portfolio: 2.56%
►
►
Commentary
Schlumberger Limited will hold a conference call on July 18 before market opens to discuss the results
for the second quarter ending on June 30, 2008. Analysts are expecting them to report EPS of $1.15,
while they reported EPS of $1.02 a year ago
►
Southwestern Energy (SWN)
Sub-sector: Exploration and Production
Status: Purchased 10/11/07 at $23.12
►Current Price: $42.64
►Target Price: $49.74
►Trailing P/E: 53.23
►Forward P/E: 24.51
►LT EPS Growth Rate: 25.00%
►Market Cap: $14.58 Billion
►% of Total Portfolio: 3.42%
►
►
Commentary
Southwestern Energy Company announced that it has closed the previously announced sale of its
utility, Arkansas Western Gas Company, to SourceGas, LLC. SourceGas paid the company
approximately $230.00 million
►
President
Ryan Limor
Vice President
Jake Ettore
Secretary
Lee Mooney
Treasurer
John Brozick
Penn State Investment Association
Weekly Update: July 14, 2008
Equity Research: Focus on Energy
President
Ryan Limor
Vice President
Jake Ettore
Secretary
Lee Mooney
Treasurer
John Brozick
Bench Stocks:
Status:
1.
Royal Dutch Shell (RDS/A)
Approved for bench
2.
Global Industries Limited (GLBL)
Approved for bench
3.
Peabody Energy Corp. (BTU)
Approved for bench
4.
National Oilwell Varco, Incorporated (NOV)
Approved for bench
5.
Occidental Petroleum (OXY)
Approved for bench
6.
Transocean Inc. (RIG)
Approved for bench
7.
Exxon Mobile Corporation (XOM)
Approved for bench
8.
Arch Coal, Inc (ACI)
Approved for bench
Focus List:
Status:
1.
Oceaneering International, Inc. (OII)
Initiated coverage
2.
Petroleo Brasileiro (PBR)
Initiated coverage
3.
Suncor Energy Inc. (SU)
Initiated coverage
4.
Diamond Offshore (DO)
Initiated coverage
5.
EOG Resources, Inc. (EOG)
Initiated coverage
6.
Petrohawk Energy Corp. (HK)
Initiated coverage
7.
XTO Energy Inc. (XTO)
Initiated coverage
8.
Valero Energy Corp. (VLO)
Initiated coverage
9.
Conoco Philips (COP)
Initiated coverage
Penn State Investment Association
Weekly Update: July 14, 2008
Equity Research: Focus on Financials
Director of
Equity Research
Jack Z. Sun
jacksun@psu.edu
Company
4 Week Company Performance
4 Week Sector Performance Purchase Price Current Price (7/11/08) Target Price Since Purchase
Goldman Sachs Group Inc.
-8.87%
-11.54%
$134.58
$162.48
$230.00
20.73%
Federated Investors Inc.
-15.97%
-11.54%
$35.15
$31.57
$48.50
-10.18%
BlackRock Inc
-16.90%
-11.54%
$183.96
$174.71
$218.37
-5.03%
Aflac Inc
-9.92%
-11.54%
$65.07
$60.72
$75.00
-6.69%
MetLife Inc.
-14.60%
-11.54%
$62.40
$51.06
$68.00
-18.17%
Visa Inc.
-8.56%
-11.54%
$85.70
$74.55
$94.50
-13.01%
Bank of New York Mellon
-14.42%
-11.54%
$36.31
$35.66
$44.24
-1.79%
Goldman Sachs Group Inc. (GS)
Sub-sector: Investment Brokerage
►Status: Purchased on 4/20/05 at $134.58
►Current Price: $162.48
►Target Price: $230.00
►Trailing P/E: 7.75
►Forward P/E: 8.18
►LT EPS Growth Rate: 15.53%
►Market Cap: $69.53 Billion
►% of Total Portfolio: 3.49%
►
Financials
Lead Analyst
Steven Murray
spm5058@psu.edu
Associate Analyst
Taylor Destefano
tld5061@psu.edu
Analysts
Patrick Capone
Jacob Harley
Anthony Greco
Chao Ma
Paul Seitz
Alan Zhou
Commentary
On Wednesday, July 9, Goldman Sachs Inc. announced it had withdrawn from the leading
international banking lobby, called the IFF. The firm voiced disagreement with the lobby’s attempt to
alter current fair value accounting practices
►
Federated Investors Inc (FII)
Sub-sector: Asset Management
Status: Purchased on 2/12/07 at $35.15
►Current Price: $31.57
►Target Price: $48.50
►Trailing P/E: 14.56
►Forward P/E: 11.74
►LT EPS Growth Rate: 13.50%
►Market Cap: $3.22 Billion
►% of Total Portfolio: 1.86%
►
►
President
Ryan Limor
Vice President
Jake Ettore
Secretary
Lee Mooney
Treasurer
John Brozick
Commentary
Federated Investors Inc. traded down 4.33% for the week ended July 13. Since purchase the stock is
down 10.17%
►
Penn State Investment Association
Weekly Update: July 14, 2008
Equity Research: Focus on Financials
Director of
Equity Research
Jack Z. Sun
jacksun@psu.edu
Financials
Lead Analyst
Steven Murray
spm5058@psu.edu
Associate Analyst
Taylor Destefano
tld5061@psu.edu
Analysts
Patrick Capone
Jacob Harley
Anthony Greco
Chao Ma
Paul Seitz
Alan Zhou
Wells Fargo & Co. (WFC)
Sub-sector: Money Center Banks
Status: Purchased on 9/12/07 at $35.79
►Current Price: $23.00
►Target Price: $42.00
►Trailing P/E: 9.89
►Forward P/E: 9.58
►LT EPS Growth Rate: 10.96%
►Market Cap: $75.96
►% of Total Portfolio: 0.00%
►
►
Commentary
►
The NLF closed our position in Wells Fargo & Co. on Monday, July 7, selling 4,200 shares for $23.77
BlackRock, Inc. (BLK)
Sub-sector: Asset Management
►Status: Purchased on 2/22/08 at $183.96
►Current Price: $174.71
►Target Price: $218.37
►Trailing P/E: 22.20
►Forward P/E: 16.62
►LT EPS Growth Rate: 17.50%
►Market Cap: $22.54 Billion
►% of Total Portfolio: 1.58%
►
Commentary
Merrill Lynch & Co. Inc. continues to consider selling its stake in both Bloomberg Lp. and BlackRock
Inc., as the firm attempts to raise capital after second quarter losses
►On Friday July 11, BlackRock Inc. won approval to launch an asset management business in South
Korea, becoming the 17th foreign money manager to enter the country’s $335.00 billion market
►BlackRock Inc. announces second quarter earnings on July 17. Analysts are expecting earnings of $2.01
per share, while BlackRock earned $1.69 a year ago
►
President
Ryan Limor
Vice President
Jake Ettore
Secretary
Lee Mooney
Treasurer
John Brozick
Penn State Investment Association
Weekly Update: July 14, 2008
Equity Research: Focus on Financials
Director of
Equity Research
Jack Z. Sun
jacksun@psu.edu
Financials
Lead Analyst
Steven Murray
spm5058@psu.edu
Associate Analyst
Taylor Destefano
tld5061@psu.edu
Analysts
Patrick Capone
Jacob Harley
Anthony Greco
Chao Ma
Paul Seitz
Alan Zhou
Aflac, Inc. (AFL)
Sub-sector: Accident and Health Insurance
Status: Purchased on 2/27/08 at $65.07
►Current Price: $60.72
►Target Price: $75.00
►Trailing P/E: 17.62
►Forward P/E: 13.26
►LT EPS Growth Rate: 13.86%
►Market Cap: $28.86 Billion
►% of Total Portfolio: 2.75%
►
►
Commentary
►
Aflac, Inc. traded down 2.71% for the week ended July 11. Since purchase the stock is down 6.68%
MetLife Inc. (MET)
Sub-sector: Life Insurance
Status: Purchased on 4/8/08 at $62.40
►Current Price: $51.06
►Target Price: $68.00
►Trailing P/E: 10.09
►Forward P/E: 7.45
►LT EPS Growth Rate: 10.33%
►Market Cap: $36.27 Billion
►% of Total Portfolio: 2.11%
►
►
Commentary
On Monday, June 30, MetLife Inc. CEO Robert C. Henrikson exercised options for 3,100 shares of
stock at $29.95
►
President
Ryan Limor
Vice President
Jake Ettore
Secretary
Lee Mooney
Treasurer
John Brozick
Penn State Investment Association
Weekly Update: July 14, 2008
Equity Research: Focus on Financials
Director of
Equity Research
Jack Z. Sun
jacksun@psu.edu
Financials
Lead Analyst
Steven Murray
spm5058@psu.edu
Visa Inc. (V)
Sub-sector: Business Services
►Status: Purchased on 5/8/08 at $85.70
►Current Price: $74.55
►Target Price: $94.50
►Trailing P/E: N/A
►Forward P/E: 29.35
►LT EPS Growth Rate: 13.86%
►Market Cap: $58.00 Billion
►% of Total Portfolio: 2.90%
►
Associate Analyst
Taylor Destefano
tld5061@psu.edu
Commentary
Analysts
Patrick Capone
Jacob Harley
Anthony Greco
Chao Ma
Paul Seitz
Alan Zhou
Bank of NY Mellon Corp. (BK)
On Tuesday, July 1, Visa Inc. rescinded its policy that treats debit cards differently than credit cards,
including requiring customers to enter a PIN during transactions. The move was prompted by an
antitrust case filed by the Justice Department, which was subsequently dropped after Visa Inc. changed
the policy
►
Sub-sector: Money Center Banks
►Status: Purchased on 7/7/08 at $36.31
►Current Price: $35.66
►Target Price: $44.24
►Trailing P/E: 15.08
►Forward P/E: 10.49
►LT EPS Growth Rate: 10.25%
►Market Cap: $40.79 Billion
►% of Total Portfolio: 2.07%
►
Commentary
Bank of NY Mellon Corp. announces second quarter earnings on Thursday, July 17. Analysts are
expecting earnings of $0.76 per share, while BK reported $0.63 in the second quarter of 2007
►The Moscow Arbitration Court is hearing testimony in the Russian Federal Customs Service Claim of
$22.54 billion against Bank of NY Mellon Corp. over the use of Racketeer Influenced and Corrupt
Organizations Act (RICO) statutes in a case involving money laundering activities
►
President
Ryan Limor
Vice President
Jake Ettore
Secretary
Lee Mooney
Treasurer
John Brozick
Penn State Investment Association
Weekly Update: July 14, 2008
Equity Research: Focus on Financials
Bench Stocks:
President
Ryan Limor
Vice President
Jake Ettore
Secretary
Lee Mooney
Treasurer
John Brozick
Status:
1.
Hartford Financial Services Group Inc. (HIG) Approved for bench
2.
PNC Financial Services Group Inc. (PNC)
Approved for bench
3.
Arch Capital Group Ltd. (ACGL)
Approved for bench
4.
Shinhan Financial (SHG)
Approved for bench
Focus List:
Status:
1.
Uniao de Bancos Brasileiros (UBB)
Initiated coverage
2.
Banco Bradesco S.A.(BBD)
Initiated coverage
3.
Janus Capital Group (JNS)
Initiated coverage
4.
Fortress Investment Group (FIG)
Initiated coverage
5.
Allstate Corp. (ALL)
Initiated coverage
6.
JP Morgan Chase & Co. (JPM)
Initiated coverage
7.
US Bancorp (USB)
Initiated coverage
8.
Bank of America Corp. (BAC)
Initiated coverage
9.
Franklin Resources Inc. (BEN)
Initiated coverage
10.
Eaton Vance Corp. (EV)
Initiated coverage
11.
Banco Santander (STD)
Initiated coverage
Penn State Investment Association
Weekly Update: July 14, 2008
Equity Research: Focus on Healthcare
Company
Gilead Sciences Inc.
Mylan Laboratories Inc.
Stryker Corporation
Becton, Dickinson & Company
Director of
Equity Research
Jack Z. Sun
jacksun@psu.edu
Healthcare
Lead Analyst
Ryan Savitz
ris5034@psu.edu
Associate Analyst
Chris Fritzen
clf200@psu.edu
4 Week Company Performance 4 Week Sector Performance
-0.81%
-0.99%
-4.77%
-0.99%
1.75%
-0.99%
-1.68%
-0.99%
Purchase Price
$40.34
$21.88
$65.19
$85.81
Current Price (7/11/08) Target Price Since Purchase
$53.70
$59.64
33.12%
$11.99
$17.55
-45.20%
$65.64
$76.38
0.69%
$81.17
$105.48
-5.41%
Gilead Sciences (GILD)
Sub-sector: Biotechnology
►Status: Purchased on 6/14/07 at $40.34
►Current Price: $53.70
►Target Price: $59.64
►Trailing P/E: 30.42
►Forward P/E: 23.35
►LT EPS Growth Rate: 27.90%
►Market Cap: $49.54 Billion
►% of Total Portfolio: 3.89%
►
Commentary
The French National Agency for Research on AIDS and Viral Hepatitis announced the initiation of a
combination study of Gilead’s Viread and Pharmasset’s Clevudine. The study will last 96 weeks and
allow doctors to see how the two drugs work separately as well as when used together
►Analysts continue to forecast growth in the HIV treatment market for Gilead and said the company
will have a leading position in the sector. Deutsche Bank analyst Mark Schoenebaum initiated a “buy"
rating on the stock in a note to investors
►
Mylan Laboratories (MYL)
Sub-sector: Generic Products
►Status: Purchased on 2/26/07 at $21.88
►Current Price: $11.99
►Target Price: $17.55
►Trailing P/E: N/A
►Forward P/E: 11.64
►LT EPS Growth Rate: 8.20%
►Market Cap: $3.65 Billion
►% of Total Portfolio: 1.76%
►
President
Ryan Limor
Vice President
Jake Ettore
Secretary
Lee Mooney
Treasurer
John Brozick
Commentary
Mylan received tentative FDA approval last week for Linezolid tablets, the generic antibiotic version of
Pharmacia and Upjohn's Zynvox tablets, which had sales of about $422 million over the past 12 months
►Mylan, along with Barr Pharmaceuticals, convinced a judge to invalidate a Parkinson’s disease patent
owned by Boehringer Ingelheim GmbH. Boehringer sued the two companies in 2005 for infringement,
but the ruling suggested the claims were invalid because Boehringer engaged in “double patenting”. The
news sent Mylan’s shares up 5.19%
►
Penn State Investment Association
Weekly Update: July 14, 2008
Equity Research: Focus on Healthcare
Director of
Equity Research
Jack Z. Sun
jacksun@psu.edu
Healthcare
Lead Analyst
Ryan Savitz
ris5034@psu.edu
Associate Analyst
Chris Fritzen
clf200@psu.edu
Stryker Corp. (SYK)
Sub-sector: Medical Equipment
►Status: Purchased on 4/30/07 at $65.19
►Current Price: $65.64
►Target Price: $76.38
►Trailing P/E: 25.76
►Forward P/E: 19.08
►LT EPS Growth Rate: 18.90%
►Market Cap: $27.03 Billion
►% of Total Portfolio: 2.97%
►
Commentary
According to the Food and Drug Administration, off-label use of Stryker’s OP-1 Implant and OP-1
Putty have been linked to potentially fatal complications. The FDA has received 38 reports over the past
four years about problems when these products were used in neck fusion surgeries, an unapproved use of
these products
►Stryker will showcase its Patriot Bed during an invite-only event at its Medical Division in Portage. The
Patriot bed is part of a new line of hospital beds which will alert the nursing station if a patient falls out of
bed. The beds are targeted toward Veterans Administration hospitals
►
Becton, Dickinson & Company (BDX)
Sub-sector: Medical Instruments & Supplies
►Status: Purchased on 3/12/08 at $85.81
►Current Price: $81.17
►Target Price: $105.48
►Trailing P/E: 19.58
►Forward P/E: 16.63
►LT EPS Growth Rate: 14.00%
►Market Cap: $19.81 Billion
►% of Total Portfolio: 2.36%
►
President
Ryan Limor
Vice President
Jake Ettore
Secretary
Lee Mooney
Treasurer
John Brozick
Commentary
Standard and Poor’s Rating Services raised Becton Dickinson’s long term corporate credit rating and
senior unsecured debt rating from AA- to A+ citing their strength in their medical, diagnostic and bioscience segments
►Shares of Becton Dickinson have slid recently over concerns of rising prices of oil-based resin, which
accounts for about 9.00% of the company’s cost of goods sold, or $250.00 million. Becton Dickinson said
during their April 23 conference call that the benefit of the weak dollar will more than offset the increase
in resin prices, as more than half of the firm’s revenues come from outside the United States
►
Penn State Investment Association
Weekly Update: July 14, 2008
Equity Research: Focus on Healthcare
President
Ryan Limor
Vice President
Jake Ettore
Secretary
Lee Mooney
Treasurer
John Brozick
Bench Stocks:
Status:
1.
Genentech Inc. (DNA)
Approved for bench
2.
Abbott Laboratories (ABT)
Approved for bench
3.
Medtronic (MDT)
Approved for bench
4.
Novartis A.G. (NVS)
Approved for bench
5.
Davita (DVA)
Approved for bench
6.
WellPoint Inc. (WLP)
Approved for bench
7.
Covance Inc. (CVD)
Approved for bench
8.
Medco Health Solutions (MHS)
Approved for bench
Focus List:
Status:
1.
Novo Nordisk A/S (ADR) (NVO)
Initiated coverage
2.
Icon plc (ADR) (ICLR)
Initiated coverage
3.
Intuitive Surgical (ISRG)
Initiated coverage
4.
GlaxoSmithKline plc (ADR) (GSK)
Initiated coverage
5.
Allscripts Healthcare Solutions (MDRX)
Initiated coverage
6.
Allergan, Inc (AGN)
Initiated coverage
Penn State Investment Association
Weekly Update: July 14, 2008
Equity Research: Focus on Industrials
Company
General Dynamics
ABB
Ametek
Harsco
Precision Castparts
Director of
Equity Research
Jack Z. Sun
jacksun@psu.edu
Industrials
Lead Analyst
David Motemaden
dkm5015@psu.edu
Associate Analyst
Jim Regan
jrr5154@psu.edu
4 Week Company Performance 4 Week Sector Performance
-5.85%
-8.51%
-11.09%
-8.51%
-8.55%
-8.51%
-10.70%
-8.51%
-9.08%
-8.51%
Purchase Price Current Price (7/11/08) Target Price Since Purchase
$53.64
$81.05
$100.34
51.10%
$28.65
$26.62
$34.35
-7.09%
$38.51
$47.16
$54.77
22.46%
$58.67
$52.49
$69.76
-10.53%
$115.99
$94.26
$129.10
-18.73%
General Dynamics (GD)
Sub-sector: Aerospace & Defense
►Status: Purchased on 2/2/05 at $53.64
►Current Price: $81.05
►Target Price: $100.34
►Trailing P/E: 14.92
►Forward P/E: 12.39
►LT EPS Growth Rate: 10.10%
►Market Cap: $32.30 Billion
►% of Total Portfolio: 3.94%
►
Commentary
General Dynamics received a $23.60 million contract for 41 digital modular radios and other hardware
from the Navy
►General Dynamics was awarded a $367.00 million contract from Canadian Forces for support and
maintenance services fro a fleet of wheeled light armored vehicles
►
Summer Analyst
Mahir Desai
mjd5107@psu.edu
ABB Ltd (ABB)
Sub-sector: Heavy Electrical Equipment
►Status: Purchased on 10/25/2007 at $28.65
►Current Price: $26.62
►Target Price: $34.35
►Trailing P/E: 14.55
►Forward P/E: 13.65
►LT EPS Growth Rate: 30.50%
►Market Cap: $61.09 Billion
►% of Total Portfolio: 2.23%
►
President
Ryan Limor
Vice President
Jake Ettore
Secretary
Lee Mooney
Treasurer
John Brozick
Commentary
ABB is expected to report earnings on Thursday, July 24, 2008. Analyst are expecting an EPS of $0.42
a share for the second quarter, while they reported $0.32 a share a year ago
►
Penn State Investment Association
Weekly Update: July 14, 2008
Equity Research: Focus on Industrials
Director of
Equity Research
Jack Z. Sun
jacksun@psu.edu
Industrials
Lead Analyst
David Motemaden
dkm5015@psu.edu
Associate Analyst
Jim Regan
jrr5154@psu.edu
Summer Analyst
Mahir Desai
mjd5107@psu.edu
Ametek (AME)
Sub-sector: Electrical Components and Equipment
►Status: Purchased on 8/10/07 at $38.51
►Current Price: $47.16
►Target Price: $54.77
►Trailing P/E: 20.88
►Forward P/E: 16.43
►LT EPS Growth Rate: 14.00%
►Market Cap: $5.03 Billion
►% of Total Portfolio: 1.69%
►
Commentary
Ametek is expected to release earnings on Monday, July 21. Analysts are expecting an EPS of $0.57 a
share for the second quarter, while they reported an EPS of $0.54 a year ago
►
Harsco Corp. (HSC)
Sub-sector: Industrial Machinery
►Status: Purchased on 4/15/08 at $58.67
►Current Price: $52.49
►Target Price: $69.76
►Trailing P/E: 14.41
►Forward P/E: 13.06
►LT EPS Growth Rate: 13.50%
►Market Cap: $4.42 Billion
►% of Total Portfolio: 1.66%
►
Commentary
Harsco is expected to release second quarter earnings on Tuesday, July 22, 2008. Analysts are expecting
an EPS of $1.02 a share, while they reported $0.91 a share in the second quarter of 2007
►Harsco was upgraded up Keybanc Capital Markets to “buy” from “hold”. They also assigned a $62.00
price target and stated that the stock was “cheap”
►
President
Ryan Limor
Vice President
Jake Ettore
Secretary
Lee Mooney
Treasurer
John Brozick
Penn State Investment Association
Weekly Update: July 14, 2008
Equity Research: Focus on Industrials
Director of
Equity Research
Jack Z. Sun
jacksun@psu.edu
Industrials
Lead Analyst
David Motemaden
dkm5015@psu.edu
Associate Analyst
Jim Regan
jrr5154@psu.edu
Summer Analyst
Mahir Desai
mjd5107@psu.edu
President
Ryan Limor
Vice President
Jake Ettore
Secretary
Lee Mooney
Treasurer
John Brozick
Precision Castparts Corp. (PCP)
Sub-sector: Aerospace & Defense
►Status: Purchased on 6/03/2008 at $115.99
►Current Price: $94.26
►Target Price: $129.10
►Trailing P/E: 13.39
►Forward P/E: 9.97
►LT EPS Growth Rate: 14.00%
►Market Cap: $13.13 Billion
►% of Total Portfolio: 1.02%
►
Commentary
UBS has cut its price target on Precision Castparts from $145.00 to $120.00, however, they kept their
“buy” rating
►
Penn State Investment Association
Weekly Update: July 14, 2008
Equity Research: Focus on Industrials
President
Ryan Limor
Vice President
Jake Ettore
Secretary
Lee Mooney
Treasurer
John Brozick
Bench Stocks:
Status:
1.
Danaher Corp. (DHR)
Approved for bench
2.
Manitowoc Co. Inc (MTW)
Approved for bench
3.
United Technologies Corp. (UTX)
Approved for bench
4.
Canadian National Railway (CNI)
Approved for bench
Focus List:
Status:
1.
Deere & Co. (DE)
Initiated coverage
2.
Caterpillar Inc. (CAT)
Initiated coverage
3.
Textron Inc. (TXT)
Initiated coverage
4.
Boeing Co. (BA)
Initiated coverage
5.
Bucyrus International Inc. (BUCY)
Initiated coverage
6.
Joy Global Inc. (JOYG)
Initiated coverage
7.
Illinois Tool Works (ITW)
Initiated coverage
Penn State Investment Association
Weekly Update: July 14, 2008
Equity Research: Focus on Information Technology
Company
Microsoft
Automatic Data Processing
Google
Cerner
Amphenol
Director of
Equity Research
Jack Z. Sun
jacksun@psu.edu
Information
Technology
Lead Analyst
John Brozick
jab5256@psu.edu
Associate Analyst
Brian Clionsky
bac5099@psu.edu
4 Week Company Performance 4 Week Sector Performance
-13.14%
-7.24%
-3.87%
-7.24%
-6.60%
-7.24%
-7.38%
-7.24%
-7.26%
-7.24%
Purchase Price Current Price (7/11/08) Target Price Since Purchase
$26.50
$25.25
$37.00
-4.72%
$43.59
$41.47
$53.00
-4.86%
$456.46
$533.80
$641.00
16.94%
$44.53
$44.46
$64.00
-0.16%
$35.29
$45.21
$54.00
28.11%
Microsoft (MSFT)
Sub-sector: Software
Status: Purchased on 2/2/05 at $26.50
►Current Price: $25.25
►Target Price: $37.00
►Trailing P/E: 14.67
►Forward P/E: 11.69
►LT EPS Growth Rate: 12.30%
►Market Cap: $235.16 Billion
►% of Total Portfolio: 2.29%
►
►
Commentary
Microsoft, Mobile TeleSystems OJSC, and Fujitsu Siemens announced the launch of the first integrated
3G notebook solution in the CIS
►On Monday, July 7, Microsoft said it would be willing to reopen talks to buy all or part of Yahoo Inc,
but only if a new Yahoo board is elected, backing investor Carl Icahn’s proxy battle
►
Automatic Data Processing (ADP)
Sub-sector: Business Software & Services
Status: Purchased on 4/21/08 at $43.59
►Current Price: $41.47
►Target Price: $53.00
►Trailing P/E: 18.59
►Forward P/E: 17.21
►LT EPS Growth Rate: 12.70%
►Market Cap: $21.50 Billion
►% of Total Portfolio: 3.85%
►
►
President
Ryan Limor
Vice President
Jake Ettore
Secretary
Lee Mooney
Treasurer
John Brozick
Commentary
Automatic Data Processing, in collaboration with other industry-leading Fortune 500 companies,
launched AllianceQ, an organization created to build a free, exclusive, and perpetually growing pool of
job candidates to drive down its members’ cost of recruiting
►Automatic Data Processing returned -1.45% this week, trading down with the overall market
►
Penn State Investment Association
Weekly Update: July 14, 2008
Equity Research: Focus on Information Technology
Director of
Equity Research
Jack Z. Sun
jacksun@psu.edu
Information
Technology
Lead Analyst
John Brozick
jab5256@psu.edu
Associate Analyst
Brian Clionsky
bac5099@psu.edu
Google Inc. (GOOG)
Sub-sector: Internet Information Provider
Status: Purchased on 2/15/07 at $456.46
►Current Price: $533.80
►Target Price: $641.00
►Trailing P/E: 36.91
►Forward P/E: 21.50
►LT EPS Growth Rate: 30.40%
►Market Cap: $167.66 Billion
►% of Total Portfolio: 3.38%
►
►
Commentary
Google reports earnings this week on Thursday, July 17 after the close of the market. Analysts are
expecting earnings of $4.00 per share, while they reported earnings of $2.93 a year ago
►A federal judge denied a request by Viacom Inc. that Google Inc. and its YouTube subsidiary be
forced to turn over code relating to their search functions
►Google launched a three-dimensional virtual experience Web site, called Lively, to enable effective
competition with the popular virtual world of Second Life
►
Cerner Corp (CERN)
Sub-sector: Healthcare Information Services
Status: Purchased on 10/20/06 at $44.53
►Current Price: $44.46
►Target Price: $64.00
►Trailing P/E: 27.23
►Forward P/E: 17.17
►LT EPS Growth Rate: 27.20%
►Market Cap: $3.58 Billion
►% of Total Portfolio: 3.20%
►
►
President
Ryan Limor
Vice President
Jake Ettore
Secretary
Lee Mooney
Treasurer
John Brozick
Commentary
Cerner will release second quarter 2008 earnings results after the market closes on Tuesday, July 22.
Analysts are expecting earnings of $0.47 per share, while they report earnings of $0.41 a year ago
►Cerner returned 0.54% this week, as the street patiently waits for their earnings call next week
►
Penn State Investment Association
Weekly Update: July 14, 2008
Equity Research: Focus on Information Technology
Director of
Equity Research
Jack Z. Sun
jacksun@psu.edu
Information
Technology
Lead Analyst
John Brozick
jab5256@psu.edu
Associate Analyst
Brian Clionsky
bac5099@psu.edu
President
Ryan Limor
Vice President
Jake Ettore
Secretary
Lee Mooney
Treasurer
John Brozick
Amphenol Corp (APH)
Sub-sector: Diversified Electronics
►Status: Purchased on 11/9/06 at $35.29
►Current Price: $45.21
►Target Price: $54.00
►Trailing P/E: 22.05
►Forward P/E: 17.39
►LT EPS Growth Rate: 16.70%
►Market Cap: $7.93 Billion
►% of Total Portfolio: 3.64%
►
Commentary
Amphenol will release second quarter 2008 earnings results on Thursday, July 17. Analysts are
expecting earnings of $0.58 a share, while APH reported earnings of $0.46 in the second quarter of 2007
►Collins Stewart initiated coverage of Amphenol on July 2 with a “buy” rating issued
►Amphenol returned 0.56% this week with the market and overall Information Technology sector
►
Penn State Investment Association
Weekly Update: July 14, 2008
Equity Research: Focus on Information Technology
President
Ryan Limor
Vice President
Jake Ettore
Secretary
Lee Mooney
Treasurer
John Brozick
Bench Stocks:
Status:
1.
Ansys Inc. (ANSS)
Approved for bench
2.
International Business Machines Corp. (IBM)
Approved for bench
3.
Oracle Corp. (ORCL)
Approved for bench
4.
Cisco Systems, Inc. (CSCO)
Approved for bench
Focus List:
Status:
1.
Nvidia Corporation (NVDA)
Initiated coverage
2.
Cognizant Technology Solutions (CTSH)
Initiated coverage
3.
EMC Corporation (EMC)
Initiated coverage
4.
MEMC Electronics (WFR)
Initiated coverage
5.
Research in Motion Ltd. (RIMM)
Initiated coverage
Penn State Investment Association
Weekly Update: July 14, 2008
Equity Research: Focus on Materials
Company
Freeport-McMoRan
FMC Corp
Praxair
Director of
Equity Research
Jack Z. Sun
jacksun@psu.edu
Materials
Lead Analyst
Diego Granillo
djg5032@psu.edu
Associate Analyst
Darrell Reid
dzr120@psu.edu
4 Week Company Performance 4 Week Sector Performance Purchase Price
-12.26%
-10.24%
$64.88
-9.41%
-10.24%
$36.00
-6.28%
-10.24%
$87.76
Current Price (7/11/08)
Target Price Since Purchase
$107.74
$148.93
66.06%
$69.45
$89.14
92.92%
$91.46
$101.73
4.22%
Freeport-McMoRan (FCX)
Sub-sector: Copper
Status: Purchased on 2/6/06 at $64.88
►Current Price: $107.74
►Target Price: $148.93
►Trailing P/E: 13.16
►Forward P/E: 8.39
►LT EPS Growth Rate: 44.50%
►Market Cap: $41.29 Billion
►% of Total Portfolio: 1.31%
►
►
Commentary
Freeport-McMoRan will announce earnings on Tuesday, July 22. Analysts are expecting earnings of
$2.54 a share, while FCX reports earnings of $2.62 a year earlier
►Freeport-McMoRan said it doesn’t expect the ongoing strike at the Peruvian base metals miner to
hurt copper production
►
FMC Corp (FMC)
Sub-sector: Diversified Chemicals
Status: Purchased on 3/5/07 at $36.00
►Current Price: $69.45
►Target Price: $89.14
►Trailing P/E: 29.70
►Forward P/E: 14.17
►LT EPS Growth Rate: 9.75%
►Market Cap: $5.20 Billion
►% of Total Portfolio: 1.26%
►
►
President
Ryan Limor
Vice President
Jake Ettore
Secretary
Lee Mooney
Treasurer
John Brozick
Commentary
FMC Corp will announce earnings on Tuesday, July 29. Analysts are expecting earnings of $1.20
a share, while they reported earnings of $1.79 a year earlier
►FMC Corp’s spent $390,000 in the first quarter on chemical plant security and other issues
►
Penn State Investment Association
Weekly Update: July 14, 2008
Equity Research: Focus on Materials
Director of
Equity Research
Jack Z. Sun
jacksun@psu.edu
Materials
Lead Analyst
Diego Granillo
djg5032@psu.edu
Associate Analyst
Darrell Reid
dzr120@psu.edu
President
Ryan Limor
Vice President
Jake Ettore
Secretary
Lee Mooney
Treasurer
John Brozick
Praxair Inc. (PX)
Sub-sector: Synthetics
Status: Purchased on 4/8/08 at $87.76
►Current Price: $91.46
►Target Price: $101.73
►Trailing P/E: 24.25
►Forward P/E: 18.82
►LT EPS Growth Rate: 12.40%
►Market Cap: $28.64 Billion
►% of Total Portfolio: 0.43%
►
►
Commentary
Praxair Inc will announce earnings on Wednesday, July 23. Analysts are expecting earnings of
$1.05 a share, while PX reported earnings of $0.89 a year earlier
►Praxair China has signed an contract to supply liquid nitrogen to the Jiangsu Defeng
Pharmaceutical & Chemical Co., Ltd.
►
Penn State Investment Association
Weekly Update: July 14, 2008
Equity Research: Focus on Materials
President
Ryan Limor
Vice President
Jake Ettore
Secretary
Lee Mooney
Treasurer
John Brozick
Bench Stocks:
Status:
1.
Stillwater Mining (SWC)
Approved for bench
2.
Rio Tinto (RTP)
Approved for bench
3.
Cameco (CCJ)
Approved for bench
4.
Sherwin-Williams Co. (SHW)
Approved for bench
5.
Potash Corp. of Saskatchewan (POT)
Approved for bench
Focus List:
Status:
1.
Monsanto Co. (MON)
Initiated coverage
2.
Syngenta AG (SYT)
Initiated coverage
3.
Nucor (NUE)
Initiated coverage
4.
Arcelor Mittal (MT)
Initiated coverage
Splits:21
Penn State Investment Association
Weekly Update: July 14, 2008
Equity Research: Focus on Telecommunications
Company
L-3 Communications
America Movil
AT&T
Cisco Systems
Director of
Equity Research
Jack Z. Sun
jacksun@psu.edu
Telecom
Lead Analyst
Dan Jenson
daj5039@psu.edu
Associate Analyst
Paul Russ
par187@psu.edu
4 Week Company Performance 4 Week Sector Performance
Purchase Price
Current Price (7/11/08) Target Price Since Purchase
-7.19%
-11.20%
$73.54
$90.89
$124.11
23.59%
-11.29%
-11.20%
$28.11
$50.20
$71.24
78.58%
-10.07%
-11.20%
$38.44
$32.58
$45.53
-15.24%
-17.25%
-11.20%
$26.00
$21.82
$28.96
-16.08%
L-3 Communications (LLL)
Sub-sector: Communication Equipment
Status: Purchased on 2/9/05 at $73.54
►Current Price: $90.89
►Target Price: $124.11
►Trailing P/E: 14.58
►Forward P/E: 12.17
►LT EPS Growth Rate: 16.55%
►Market Cap: $11.15 Billion
►% of Total Portfolio: 0.80%
►
►
Commentary
Zacks investment research said that LLL is “one of the best-positioned pure defense plays by virtue of
its non-platform focus, broad diversification of programs, and exposure to both the investment account
and expanding order booking.” They also went on to say that L-3 is well-positioned to become a
“significant market leader in providing technology for rail security”
►Aerospace and Defense stocks traded down midweek due to soaring oil prices and recent analyst
downgrades to the sector. LLL maintained most of its gains from earlier in the week and traded up
1.76% for the week ending on July 11
►
America Movil (AMX)
Sub-sector: Wireless Communications
►Status: Purchased on 9/23/05 at $28.11
►Current Price: $50.20
►Target Price: $71.24
►Trailing P/E: 15.67
►Forward P/E: 11.90
►LT EPS Growth Rate: 30.53%
►Market Cap: $87.32 Billion
►% of Total Portfolio: 0.77%
►
President
Ryan Limor
Vice President
Jake Ettore
Secretary
Lee Mooney
Treasurer
John Brozick
Commentary
AMX reports second quarter earnings on Friday, July 25. Analysts are expecting earnings of $0.82 a
share and are saying that the results for the second-quarter should reveal whether the weakness in the
first-quarter was isolated of “a sign of changing growth trends”
►AMX traded down 2.75% for the week, showing that many investors are waiting to see its Q2 results
►
Penn State Investment Association
Weekly Update: July 14, 2008
Equity Research: Focus on Telecommunications
Director of
Equity Research
Jack Z. Sun
jacksun@psu.edu
Telecom
Lead Analyst
Dan Jenson
daj5039@psu.edu
Associate Analyst
Paul Russ
par187@psu.edu
AT&T (T)
Sub-sector: Telecommunications Services
Status: Purchased on 4/8/08 at $38.44
►Current Price: $32.58
►Target Price: $45.53
►Trailing P/E: 15.84
►Forward P/E: 9.67
►LT EPS Growth Rate: 8.50%
►Market Cap: $193.56 Billion
►% of Total Portfolio: 1.03%
►
►
Commentary
AT&T released the new iPhone 3G on July 11, 2008 in 22 countries, including the U.S. Bloomberg
reported that AT&T Inc. stores have “mostly emptied out of inventory” just two days after its release.
AT&T spokesman stated that “obviously, there’s been overwhelming demand” and that AT&T was
“thrilled with the results”
►
Cisco Systems (CSCO)
Sub-sector: Communications Equipment
Status: Purchased on 6/11/08 at $26.00
►Current Price: $21.82
►Target Price: $28.96
►Trailing P/E: 17.05
►Forward P/E: 12.84
►LT EPS Growth Rate: 8.50%
►Market Cap: $128.89 Billion
►% of Total Portfolio: 0.64%
►
►
President
Ryan Limor
Vice President
Jake Ettore
Secretary
Lee Mooney
Treasurer
John Brozick
Commentary
RBC cut its target for CSCO from $29.00 to $27.00, while UBS also cut their price target to
$25.50 from $27.00. A UBS analyst stated that enterprise spending for Cisco remains challenging
and that there has been further slowing in the U.S.
►CEO John Chambers said that many of his customers see the economy picking up early 2009
rather than second half of 2008 as originally thought. Cisco traded down 5.62% for the week
►
Penn State Investment Association
Weekly Update: July 14, 2008
Equity Research: Focus on Telecommunications
President
Ryan Limor
Vice President
Jake Ettore
Secretary
Lee Mooney
Treasurer
John Brozick
Bench Stocks:
Status:
1.
China Mobile Limited (CHL)
Approved for bench
2.
Rogers Communications (RCI)
Approved for bench
3.
Comtech Telecommunications (CMTL)
Approved for bench
4.
Corning (GLW)
Approved for bench
7.
Commscope (CTV)
Approved for bench
8.
Vimpel Communications (VIP)
Approved for bench
Focus List:
Status:
1.
Brocade Communication Systems (BRCD)
Initiated coverage
2.
Verizon Communications (VZ)
Initiated coverage
3.
Sprint Nextel (S)
Initiated coverage
4.
Netgear (NTGR)
Initiated coverage
5.
BT group (BT)
Initiated coverage
6.
Cogeco Cable (CCA.TO)
Initiated coverage
7.
Embarq (EQ)
Initiated coverage
8.
Arris Group Inc. (ARRS)
Initiated coverage
9.
Harris Corp. (HRS)
Initiated coverage
Penn State Investment Association
Weekly Update: July 14, 2008
Equity Research: Focus on Utilities
Constellation Energy Group
TransCanada Corp.
Exelon Corp.
CPFL Energia SA
Director of
Equity Research
Jack Z. Sun
jacksun@psu.edu
Utilities
Lead Analyst
Steven Yost
spy5002@psu.edu
4 Week Company Performance 4 Week Sector Performance Purchase Price
-7.67%
-2.01%
$95.33
-3.11%
-2.01%
$38.01
0.89%
-2.01%
$85.66
5.75%
-2.01%
$66.11
Current Price (7/11/08) Target Price Since Purchase
$79.53
$107.68
-16.57%
$36.73
$44.16
-3.37%
$90.55
$96.52
5.71%
$68.74
$84.27
3.98%
Constellation Energy Group Inc. (CEG)
Sub-sector: Electric Utility
►Status: Purchased on 11/05/07 at $95.33
►Current Price: $79.53
►Target Price: $107.68
►Trailing P/E: 18.74
►Forward P/E: 12.43
►LT EPS Growth Rate: 18.00%
►Market Cap: $14.19 Billion
►% of Total Portfolio: 0.84%
►
Associate Analyst
Commentary
Blaine Hauser
►Constellation’s subsidiary, Constellation Energy Commodities Group Limited, acquired Nufcor
buh129@psu.edu
International Limited, a uranium market advisor, on June 30
►Constellation returned -3.04% for the week ended July 11
TransCanada Corp. (TRP)
Sub-sector: Gas Utility
►Status: Purchased on 5/7/08 at $38.01
►Current Price: $36.73
►Target Price: $44.16
►Trailing P/E: 14.25
►Forward P/E: 15.63
►LT EPS Growth Rate: 5.00%
►Market Cap: $19.91 Billion
►% of Total Portfolio: 0.96%
►
Commentary
Alaska’s House Speaker, John Harris, announced on July 13 that he intends to have the vote on
TransCanada’s proposed state license for the company’s Alaska-Alberta natural gas pipeline, which
entails a $500.00 million subsidy, by Wednesday, July 16
►TransCanada’s proposed expansion on the Keystone Pipeline, running from Alberta to Texas, will cost
an estimated $7.00 billion, while enabling the pipeline to move an additional 700,000 barrels of oil per
day
►
President
Ryan Limor
Vice President
Jake Ettore
Secretary
Lee Mooney
Treasurer
John Brozick
Penn State Investment Association
Weekly Update: July 14, 2008
Equity Research: Focus on Utilities
Director of
Equity Research
Jack Z. Sun
jacksun@psu.edu
Utilities
Lead Analyst
Steven Yost
spy5002@psu.edu
Associate Analyst
Blaine Hauser
buh129@psu.edu
Exelon Corp. (EXC)
Sub-sector: Diversified Electric Utility
►Status: Purchased on 12/19/07 at $85.66
►Current Price: $90.55
►Target Price: $96.52
►Trailing P/E: 23.20
►Forward P/E: 18.79
►LT EPS Growth Rate: 10.20%
►Market Cap: $59.40 Billion
►% of Total Portfolio: 0.94%
►
Commentary
S&P equities analyst Justin McCann downgraded Exelon from “buy” to “hold” due to their 10.00%
appreciation from mid-January to late June
►
CPFL Energia SA (CPL)
Sub-sector: Foreign Electric Utility
Status: Purchased on 6/17/08 at $66.11
Current Price: $68.74
Target Price: $84.27
Trailing P/E: 12.23
Forward P/E: 31.82
LT EPS Growth Rate: N/A
Market Cap: $11.00 Billion
% of Total Portfolio: 0.59%
Commentary
CPL invested in four small hydro plants in southern Brazil. The total cost of the investment is $175.00
million and will expand CPL’s total installed capacity by 76MW
►Jack Dzierwa, co-manager of the Global MegaTrends fund, recommended CPL at a “buy” rating on
July 9, citing CPL’s infrastructure exposure and high dividend yield
►
President
Ryan Limor
Vice President
Jake Ettore
Secretary
Lee Mooney
Treasurer
John Brozick
Penn State Investment Association
Weekly Update: July 14, 2008
Equity Research: Focus on Utilities
President
Ryan Limor
Vice President
Jake Ettore
Secretary
Lee Mooney
Treasurer
John Brozick
Bench Stocks:
Status:
1.
Questar Corp. (STR)
Approved for bench
2.
Sempra Energy Corp. (SRE)
Approved for bench
3.
Allegheny Energy (AYE)
Approved for bench
Focus List:
Status:
1.
PNM Resources Inc. (PNM)
Initiated coverage
2.
PowerShares Water Resources (PHO)
Initiated coverage
3.
Edison International (EIX)
Initiated coverage
4.
Atmos Energy Corp. (ATO)
Initiated coverage
5.
Southern Co. (SO)
Initiated coverage
6.
FPL Group Inc. (FPL)
Initiated coverage
7.
Duke Energy Corp. (DUK)
Initiated coverage
8.
Consolidated Edison (ED)
Initiated coverage
9.
Firstenergy Corp. (FE)
Initiated coverage
Penn State Investment Association
Weekly Update: July 14, 2008
Weekly Compliance Report
Overall Portfolio Compliance
92.91% of the Fund’s net assets are currently in common stocks
The Fund Managers will pursue the objective of investing between 75%-100% of the Fund’s
net assets in common stocks of U.S. issuers.
► 46 different securities are currently being held in the portfolio
At any one time, the Fund Managers expect to hold the securities of between 30-50 different
issues.
►0% of companies in the portfolio have a market capitalization under $800 million
A portfolio security is generally expected to have a minimum market capitalization of $800
million.
►0.918 is the portfolio’s current beta
The target equity portfolio beta for the Fund will be between 0.75 and 1.25, but no
assurances can be given that this will be accomplished.
►0% of the portfolio is leveraged
The Fund will not use leveraging or short sales.
►7.09% of the Fund is invested in cash, cash equivalents, money-market funds, and
ETFs
For short temporary defensive purposes during periods of adverse market conditions the
Fund may invest up to 100% of the Fund’s net assets in cash, cash equivalents, moneymarket funds, and ETFs.
►2 sectors are currently marketweight compared to the S&P 500 Index
►3 sectors are currently overweight compared to the S&P 500 Index
►5 sectors are currently underweight compared to the S&P 500 Index
►
Director of
Compliance
Kevin Balthaser
kjb5047@psu.edu
Director of
Compliance –
Summer Session
Brandon Browne
bwb5016@psu.edu
Equity Presentations
There will be 4 equity presentations this week:
►
Current Holdings
Fifteen stocks have appreciated over 20% above their base value and will be held.
►
President
Ryan Limor
Vice President
Jake Ettore
Secretary
Lee Mooney
Treasurer
John Brozick