stock split, stock recommendation

Begin Part 3 of 3

WATCHLISTS:

PRE-ANNOUNCEMENTS WATCHLIST: ABC, BMS, CTAS, DLX, EDMC, HSIC, JEF, STU, TFX (7/17), WFMI and XL.

MUR ($87.58; -1.27): Dropped harder on the put play today, as volume picked up to 355k. Targeting 84, and it is on the way.

PDCO ($49.25; -1.14): Researching a date. Holding up for now after its nice breakout move, but protecting positions. The 18 day is below at 48.38. Still targeting 57.

HUG ($39.55; -0.37): Working on a new announcement date. Holding over the 50 day MVA (38.54) after its controlled, handle-type drop back. The buy point remains 40.65 on above average volume, with stock and/or October $35c to buy (HUG JG - No OI as yet).Target: 49. Stop: 37.90.

NYT ($49.15; -0.62): Forecast to announce a split the week of June 17 in conjunction with a board meeting or on 7-16-02 before the market opens with earnings. Still in a choppy consolidation, holding over prior highs. We will see if we get a bounce and breakout. In a rally, the aggressive play is a move over 50 with volume of 500k. Stop: 47.80. Stock and/or October $45c to buy (NYT JI - 89 OI).

JCI ($81.74; -1.11): Has hit the put target, but looks to be drawing back to the 200 day (80.71).

LSTR ($104.95; -0.03): Researching a new date. Holding the 10 day MVA and prior highs at 105 in a flat consolidation. Could go either way from here.

PHM ($53.57; +0.85): Working on a new announcement date. Bounced from the 50 day (51.98), but today pulled well off of its high (54.75) to close. The action indicates a drop, but we will see if it can hold support.

PRE-SPLITS WATCHLIST: Watching APPB (6/12), BER (7/3), UPC (6/7), JNC (6/11), MI (6/15), IFIN (6/17), PMI (6/18), EXPD (6/25), THC (6/29) and GMRK (7/1).

CPS ($60.96; +1.06): Splits 4:3 effective 6-7-02. Broke from the ascending wedge with a nice move. The high (an intraday spike) is ahead at 61.80. Riding through the split, wary of the possible post-split weakness. Target 66 (49.50 post-split).

FOSL ($32.50; 0.00): Splits 3:2 effective 6-10-02. A nice move, slowed today with a 'hanging man' doji that could point to a test of the 18 day MVA (31.17). Still targeting 36 (24 post-split), carefully riding through the split. Stop pulled up to just below the 18 day.

YUM ($65.16; +0.24): Splits 2:1 effective 6-18-02. A solid bounce Wednesday from the 50 day, but after hitting 65.75 today the move stalled and YUM showed a loose doji. We could get a pullback, and we will see if it can hold 64 (18 day MVA). Stop: 61. Target 72.

STJ ($80.50; -1.30): Splits 2:1 effective June 29. Dropped back today after a test of the 50 day MVA (81.60), hitting the put buy point but on light volume (421k). The aggressive can continue to take positions on a move below 80 with increased volume, with July $85p to buy (STJ SQ). Target 76.

CONTINUING CANDIDATES WATCHLIST: When splits are not announced, we will keep the best split prospects on the report rather than continue to carry all of them in case there is a an unexpected announcement. We will continue to monitor the stocks that are trimmed and add them again when we ascertain a revised split announcement date. These include AHC, ASD, AZO, BBBY, CAKE, CYN, DIAN, EASI, ETH, ETN, GNSS, GOSHA, INVN, KSS, MEG, MMM, MTG, RUS, STI, TGH, TGIC and WEN.

ACDO ($49.47; -1.92): Continued down today, and we are targeting 48 on the put.

ASD ($73.53; -1.04): Crashed through the 50 day (73.80) Monday and Tuesday, hitting as low as 73.41 Tuesday before reversing. The test was weak, and we can look at a put play on a move below 72.80 on average or better volume (570k). October $80 puts to buy (ASD VP). Target 68. Stop: 75

CYN ($51.83; -1.33): Gave up the 50 day (53.60) Tuesday, and after a weak bounce yesterday, CYN gapped back over the 50 day but reversed with strength on a tough day for banks. We will see if CYN tests 52.50, and if so, on a drop through 52 we can look at August $55p to buy (CYN TK). Target: 48.50. Stop: 54.50

DHR ($68.70; -0.48): Still holding support at 68. Looking for a breakdown, and still targeting 63 with current positions.

DRYR ($43.10; -0.27): Has been stubborn on the put play, but is being pushed down from the 10 day MVA (43.78) toward support at 43. Target 38.

FITB ($63.57; -1.13): Dropped back hard today, and is close to the target at 62.68 (200 day MVA at 62.41).

KLAC ($49.96; -2.04): Dropped through the put buy point, and tomorrow we look for a gap down. Targeting 44.

KRB ($35.00; -0.65): Announced a 3:2 split, effective July 16! The announcement came as KRB has been dropping back, and today was not a good day for banks. KRB dropped back today, closing on the down trendline connecting 2000-2001 highs. We will see if it provides support, with the 200 day below at 34.20.

MGA ($66.90; -0.27): Really tanked, and the bounce was weak. The target is 65, with the 200 day below at 64.39.

MHK ($62.79; -0.61): Holding steady after giving up the 50 day (64.43). From here, the aggressive can look at a drop through 62 on volume of 700k, with August $70p to buy (MHK TN). Target 57.

PII ($67.83; -0.93): Gapped over the 50 day and reached 71.80 before dropping hard. Still looking for more of a drop. On the move through 66.20 on continued strong volume (230k today), July $70p to buy (PII SN - 20 OI).

POST SPLITS WATCHLIST: Watching ABM, ACS, APOL, ANN, BBY, CHBS, CHS, DF, ESI, FULT, GG, GTK, JAH, JEC, MCHP, OPTN, RNR, RYAN, RYL, SRCL, STZ, UOPX, WLP, WTNY, WTSLA and ZRAN.

AMAT ($20.92; -1.43): Dropped hard today with the sector. We expect a gap down, still targeting 18.

COCO ($27.27; +0.09): Split 2:1 effective 5-28-02. Drew back to the 50 day to close again. Still looking for a move over 28 on volume of 410k, with stock and/or August $25c to buy (UCS HE). Stop: 26.20. Target 34.

FAST ($38.30; +0.06): Split 2:1 effective 5-13-02. Fell through the put buy point, and although it has rebounded, today it showed a tombstone doji, pulling back from the 10 day MVA to close. The pattern suggests a drop back, and we sill target 35.

FBC ($20.90; -0.20): Split 3:2 effective 6-3-02. Nice bounce from the 50 day (19), but FBC gapped up today to 22 and reversed. That pattern indicates a test back to the 18 day (20) at least, and banks struggled today. Protecting from a strong drop.

MKC ($26.10; -0.51): Still in a choppy pattern, resembling an ascending wedge. On a move over 26.85 on volume of 360k, stock and/or September $25c to buy (MKC IE).

Good Investing!
Jon L. Johnson and the Stock Split Report Staff.

All of the foregoing is commentary for informational purposes only. All statements and expressions are the opinion of Online Investment Services, LP or its paid consultants and are not meant to be a solicitation or recommendation to buy, sell, or hold securities. We are not licensed or registered in the securities industry. The information presented herein and on our related web site has been obtained from sources believed to be reliable, but its accuracy is not guaranteed. The security portfolio of Partners of Online Investment Services, LP or its paid consultants may, in some instances, include securities mentioned herein and on our web site. Estimates, assumptions and other forward-looking information are subject to the limits of forecasting. Actual future developments may differ materially due to many factors.

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