Ken Deen's THE AGGRESSIVE TRADER(tm) "Seeking double-digit profits in one to four months" ALERT Vol. 2, No. 41 P.O. Box 4791 March 5, 1993 Santa Barbara, CA 93140 9:35am New York Time CompuServe: 72020,2050 (805) 565-2039 Internet: 72020.2050@compuserve.com Market Stance: Neutral *** ALERT ITEMS: *** Marginable Account (editor's personal account): * SELL 100 Read Rite Corp. (NASDAQ: RDRT) Today I sold all 100 shares at 23 1/2. I had bought these shares Nov. 20 at 29 3/4 (Vol.1 #111). After this trade, the account value is $38,019. Of that, $13,653 is long stocks and $24,367 is cash. *** TRADING IDEA ITEMS (There will be no followup on these ideas): *** Breakouts (The following stock(s) have excellent sales and earnings growth, and have just broken out from a six-week or longer base.): * Amerifed Financial Corp. (NASDAQ: AFFC, $24.25) EPS:84, RS:86, GR:34->26, PE:10, Finance-Savings & Loan Climactic Selloff/Rebounds (The following stock(s) have excellent sales and earnings growth, are in long-term uptrends, and have just had a climactic selloff-and-rebound.): * Platinum Technology Inc. (NASDAQ: PLAT, $16.00) EPS:98, RS:17, GR:36->50, PE:37, Computer Software Read Rite Corp. I am still long-term bullish on this stock; however, I've held it three and a half months now -- that's about the limit of my patience. The Computer Memory Devices group (which includes Read Rite) is in a severe slump. The group ranking, out of 199 groups based on trailing 6-month price performance, has slipped drastically from 81 on Jan. 6 to 167 on March 3. The company's fundamentals are still excellent, and the valuation is very attractive, so those with a longer-term outlook may wish to hold. Correction: Media Logic On March 3, I sold Media Logic. In the Alert (Vol.2 #39) I stated that, in both the Marginable and IRA accounts, I had bought these shares on Oct. 16 at 27 1/2. I also stated that I made 38% before commissions in five months. These statements are true for the IRA Account, but not the Marginable Account. In the Marginable Account, my cumulative gain over two round-trips spanning the same time frame was even better: Oct.16 '92 Bought 200 shares at 27 1/2. Sold Dec. 4 at 37 1/2 (+35%) Jan. 7 '93 Bought 200 shares at 34 1/4. Sold Mar. 3 at 37 7/8 (+10%) These 35% and 10% gains are net after commissions. ---------------------------------------------------------------------------- Previous Alert: Vol.2 #39 (March 3, 1993) ---------------------------------------------------------------------------- *** To all who download this newsletter *** *** ANNOUNCEMENT: TRIAL PERIOD TO CONTINUE THROUGH APRIL 30 *** On May 1, 1993, this newsletter will be available only for a subscription fee. There will be no further uploads on or after that date. From now through April 30, 1993, I am offering at-cost subscriptions (very very inexpensive) by e-mail, fax, and postal mail. These are alternatives to downloading. E-mail via Internet is free during this trial period. Monthly Status Reports (available in printed form only) are an essential adjunct to these timely bulletins. Among other things, they review the stock holdings and historical performance of each newsletter account. To receive a free sample Monthly Status Report plus an at-cost subscription form, just send your paper mail address. -Ken Deen ---------------------------------------------------------------------------- The Aggressive Trader is edited and published at irregular intervals, but at least monthly, by Deen Capital Management, Inc., P.O. Box 4791, Santa Barbara, California 93140, (805) 565-2039. Deen Capital Management, Inc., its principals, employees, affiliates, and/or clients may have positions in securities recommended herein and may make additional purchases and/or sales in these securities. Recommendations made in this publication involve a high degree of risk and may result in losses. Readers should not assume that recommendations will be profitable or will equal past performance. The information in this publication is collected from sources believed to be reliable, but neither the accuracy nor the completeness of this information is guaranteed. The Aggressive Trader, Deen Earnings Surprise Index, DESI, and DESI-3 are all trademarks of Deen Capital Management, Inc. Copyright (c) 1993 Deen Capital Management, Inc. -END-