Today's Cincinnati Enquier published a column by
syndicated columnist Bob Greene devoted to the wonderful
world of bearings and Timken. It's a fluff piece, but
may raise awareness and bring in a few investers.
Are you actually in a short position or are you
just down on the stock? I am techically in a neutral
stock position with Timken and I am long term bullish
but have been trading the upticks a little. I don't
see how with the dividend that the stock can be more
that a couple of dollars away from the absolute
bottom. Being short that close to the bottom is somewhat
risky considering the last quick run up.
I apologize. I need to work on my language a
little bit (I'm not a native speaker, so I at least got
an excuse). I meant to say that I'm way down on the
stock. I would be surprised to see the price below
17.00. If it does I will definitely buy more. I'm
bullish on Timken because of the bearing business. I not
too convinced of the steel division. But this is just
my opinion which isn't worth more than anyone
else's. Again sorry about my 'fauxpas'.
Stock went down from 20 to 17 a few days after
earnings warning was issued in mid June. There seems to be
some resistance at 17 over the last 2 weeks.
IMO it will require more bad news to get it below
that and down another 18%.
But again, I'm down
on the stock and this might be wishful thinking.
There is a long term line of SUPPORT by
connecting the lows since last October. We are hitting it
now. It must break this. However, there seems to be
alot of buy orders below 17.50. Mine hasn't been
executed yet so I know this.
BTW the lines
connecting the top show a wide trading channel. Hope we get
a pop that goes to the top of the channel. Once my
buy order gets filled.
Just my two cents, but there is a lot of excess
capacity out in the world right now in manufacturing -
China is expected (according to Business Week this
week) to devalue their currency by October - that will
only make matters worse again for steel dumping, etc.
I think there will also be a pretty good market
correction this fall. I would wait till later in the year
and then look again. I know TKR is selling below book
value, but that is based on value of plants, etc. If no
one want to buy the plants (because of excess
capacity) then they have less value.
being so negative.