These three stocks are now sells

Article Excerpt

Long-time readers know that we are constantly reevaluating our stock picks. Below are three stocks we think you should sell. Two of these companies face problems that will weigh on them for the foreseeable future. The third is a thin-trading stock that has moved up recently after moving sideways since 2008. Its growth prospects now appear limited. KINGSWAY FINANCIAL SERVICES $1.31 (Toronto symbol KFS; TSINetwork Rating: Speculative) (905-629-7888;; Shares outstanding: 52.1 million; Market cap: $68.2 million; No dividends paid) mainly provides insurance for drivers in the U.S. that standard auto insurers have rejected. This could be because of their driving record, vehicle type, place of residence, age or credit rating. Kingsway has restructured its operations, including selling off its profitable Canadian insurance business and getting rid of its money-losing U.S. trucking-insurance subsidiary. However, the company’s remaining U.S. business is still losing money. In the three months ended September 30, 2010, its combined ratio, or claims paid out divided by premiums taken in (the…

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