stock pickers

Pat McKeough responds to many personal questions on specific stocks and other investing topics from the members of his Inner Circle. Every week, his comments and recommendations on a selection of the most intriguing questions of the past week go out to all Inner Circle members. And every Friday, we offer you one of the highlights from these Q&A sessions. This week, one Inner Circle member asked about one of the largest telecommunications firms on the world stock market. Pat looks at the prospects and potential pitfalls ahead for a company that seeks to expand its presence in international markets. ...

Even though we recommend mostly aggressive stocks in Stock Pickers Digest, we still manage to pick a large number that get taken over at high profits for our readers. Mosaid Inc. was our second-most-recent winner, with a $46-ashare offer from Sterling Partners. That gave us a 107.2% gain in the 18 months from our first recommendation in May 2010. Our latest pick to attract a takeover at a high profit to our subscribers is RuggedCom $33, symbol RCM on Toronto....

WESTJET AIRLINES LTD., $13.34, symbol WJA on Toronto, reports that its revenue rose 12.9% in the three months ended December 31, 2011, to $781.5 million from $692.2 million a year earlier. Demand for the company’s flights remains high, and it has entered into new partnerships with other airlines; these were the main reasons for the higher revenue. Earnings fell 4.3%, to $35.6 million from $37.2 million. Higher fuel prices were the main reason for the decline. However, earnings per share were unchanged at $0.26 due to fewer shares outstanding. The company has also raised its quarterly dividend by 20%, to $0.06 from $0.05. The shares now yield 1.8%....

Poseidon Concepts rents its fluid-handling tanks to over 100 customers in the oil and gas industry. Poseidon has just issued 6.3 million new shares.

Even though we recommend mostly aggressive stocks in Stock Pickers Digest, we still manage to pick a large number that get taken over at high profits for our readers.

Mosaid Inc. was our second-most-recent winner, with a $46-ashare offer from Sterling Partners. That gave us a 107.2% gain in the 18 months from our first recommendation in May 2010.

Our latest pick to attract a takeover at a high profit to our subscribers is RuggedCom $33, symbol RCM on Toronto.

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Every Wednesday, we publish our “Investor Toolkit” series on TSI Network. Whether you’re a new or experienced investor, these weekly updates are designed to give you specific advice on successful investing. Each Investor Toolkit update gives you a fundamental tip and shows you how you can put it into practice right away. Tip of the week: “Short sellers can make money in a hurry, but there are more losers than winners.”...

Another week, another takeover! After last week’s surprise takeover of Gennum Corp.—which gave us a one-day, 119% gain—it was particularly gratifying to report that directors of RuggedCom Inc. (Toronto symbol RCM) had agreed to a takeover at $33 cash per share. RuggedCom, a recommendation of our Stock Pickers Digest newsletter, first became the subject of a takeover offer—for $22 cash per share—on December 19 of last year. In one day, it shot up from $14 to $23 in response. The company’s directors felt this bid was too low, and the stock crept up to $26 while they sought a better offer. The stock shot up to just under $33 on news of the latest bid, from Siemens of Germany....

RUGGEDCOM INC., $32.81, symbol RCM on Toronto, jumped 26% this week after it received a friendly takeover bid from Siemens Canada Ltd. Siemens is offering $33 a share in cash. The company is a subsidiary of giant German conglomerate Siemens AG. RuggedCom, which makes computer networking equipment that is used in harsh environments, was the target of a hostile takeover bid from Belden Inc., a U.S. cable and networking equipment maker. Belden recently reaffirmed its offer of $22 in cash for each RuggedCom share. RuggedCom’s board of directors has advised shareholders to accept Siemens’ offer....

Question: I would like your opinion on Africa Oil and Cabo Drilling. As always, your pearls of wisdom are very insightful and greatly appreciated.

GENNUM CORP., $13.48, Toronto symbol GND, jumped 119.2% this week after it accepted a $13.55-a-share takeover offer from U.S.-based Semtech Corp. (Nasdaq symbol SMTC). Gennum designs electronic equipment and computer chips that let television broadcasters store, edit and transfer video signals without losing picture quality. It also designs chips that make computer networks faster. The company’s shares are now trading just below Semtech’s offer. This indicates that investors do not expect a higher price. Regulators and Gennum shareholders must still approve the deal, but it should close in April 2012....