Current Stock Picks

Buying Stock welcomes back a previous guest, Ed Pines, to share with us some of the stocks he has under his radar and discuss how to buy the stock of a public company.

First, let's review Ed's stock picks. Ed has been tracking the following stocks for a few years now.

Nuance Communications, Inc.

Nuance Communications has been performing well lately as they have been connected to Apple and the recent release of the iPhone 4S. Rumors abound that Nuance is being used as the speech recognition software behind the scenes within Apple's latest creation.

iRobot Corporation

iRobot has been picking up steam and continues to beat Wall Street's earnings expectations and has even increased earnings forecasts for two quarters in a row.

Sirius XM Radio Inc.

Sirius XM Radio has been a long time favorite of Ed's. The company suffered tremendously and nearly filed for bankruptcy in the depths of the financial crisis in February of 2009. Ed never sold. Mel Karmazin, the CEO of Sirius, pulled a rabbit out of a hat and managed to get the necessary funding to stave off bankruptcy. The company is now reporting a positive EPS and continues to grow. As long as Sirius continues to remain competitive, it is still his belief that satellite radio may find itself resembling the performance and returns of the cable companies and their climb to household domination from the 1970's.

JetBlue Airways Corporation

JetBlue has been his one lack luster performer. The financial malaise within the United States and high oil prices have contributed to the stock's under performance. Ed believes JetBlue still has what it takes to return to cruising altitude as the economy comes back to life.

The below table highlights these stock picks and you can link to a 5 year chart for each company's performance by clicking on the ticker symbol. Information is current as of the market close on October 28, 2011.

Stock Company Name Closing Price PE Ratio
NUAN Nuance Communications, Inc. 26.72 188.17
IRBT iRobot Corporation 33.11 30.66
SIRI Sirius XM Radio Inc. 1.84 44.88
JBLUJetBlue Airways Corporation 4.55 14.58

Check Out the Audio

In addition, you can check out our monthly audio page. Ed discusses the following points about Buying Stock of a Public Company.

  1. Pick a company
  2. Evaluate the company
  3. Open and Fund a Trading Account
  4. Buy and Track the Stock