Thursday, May 13, 2010

5/13/10 Picks

James Van Der Beek - JVDBE

First, let me apologize for the long lapse since my last post. I started a new job, and have been very busy. Yet my HSX portfolio has continued to grow because of the long-term investments I made. While going through my portfolio to get rid of the dead weight, I found the opportunity to make money off of James Van Der Beek.

Van Der Beek appeared in the film Formosa Betrayed, which will cash out on May 17th. Because Formosa Betrayed will make under $500,000 and will replace Varsity Blues, which made $52,894,169, JVDBE will fall at least $10.47 per share, to $7.55. The current stock price is $7.88. This is only approximately a 4% gain, which is not significant. However, only two weeks later, JVDBE will adjust again to reflect the cashing out of Stolen. Stolen has made only $7,306.00 so far, and is unlikely to make much more. The film replaces Jay and Silent Bob Strike Back , which made $30,059,386. If Stolen reaches $50,000, which is unlikely, JVDBE will fall $6.00 per share. Assuming the earlier approximation of $7.55 holds up, this will put the stock at $1.55, a gain of 80.3%. That's a no-brainer.

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