Bman409
04-28-2006, 04:16 PM
this is from my www.swingtradercentral.com newsletter today
https://www.swingtradercentral.com/Members/Documents/Graphs/mrtn.jpg
Company Profile:
Marten Transport, Ltd. provides temperature-sensitive truckload carriers in the United States. It offers long-haul truckload carriage, which provides protective service transportation and time-sensitive transportation, such as transporting food and other consumer packaged goods that require a temperature-controlled or insulated environment. The company also offers loading and unloading, equipment detention, and other accessorial services. As of December 31, 2005, it operated a fleet of 2,618 tractors, including 2,195 company-owned tractors and 423 tractors supplied by independent contractors, as well as a fleet of 3,438 trailers. Marten Transport was founded by Roger R. Marten in 1946 and is headquartered in Mondovi, Wisconsin.
Why I Like It:
MRTN ran into heavy selling when the company warned that they wouldn`t make their earnings numbers for the quarter, at the end of February. The company recently reported their actual earnings and they did manage to hit their lowered target, but management talked about "unexpected softening" in the demand for temperature sensitive transportion. We`re seeing the same thing reflected in the stock price of FFEX, which is trading just off a low for the year. Since the breakdown in late February, the stock has regained about 50% of its loss and is now running into stiff resistance around $21.50. We`ll short it right here, with a tight stop buy at $22.35 or so.
Trading Strategy:
Sell Short Strategy: $21.25; Use a limit order short sale at $21.25 or higher
Stop Loss Buy: $22.35;
Target Price: $18.00;
Average Daily Volume: 183,000
Thursday's Volume: 204,600
https://www.swingtradercentral.com/Members/Documents/Graphs/mrtn.jpg
Company Profile:
Marten Transport, Ltd. provides temperature-sensitive truckload carriers in the United States. It offers long-haul truckload carriage, which provides protective service transportation and time-sensitive transportation, such as transporting food and other consumer packaged goods that require a temperature-controlled or insulated environment. The company also offers loading and unloading, equipment detention, and other accessorial services. As of December 31, 2005, it operated a fleet of 2,618 tractors, including 2,195 company-owned tractors and 423 tractors supplied by independent contractors, as well as a fleet of 3,438 trailers. Marten Transport was founded by Roger R. Marten in 1946 and is headquartered in Mondovi, Wisconsin.
Why I Like It:
MRTN ran into heavy selling when the company warned that they wouldn`t make their earnings numbers for the quarter, at the end of February. The company recently reported their actual earnings and they did manage to hit their lowered target, but management talked about "unexpected softening" in the demand for temperature sensitive transportion. We`re seeing the same thing reflected in the stock price of FFEX, which is trading just off a low for the year. Since the breakdown in late February, the stock has regained about 50% of its loss and is now running into stiff resistance around $21.50. We`ll short it right here, with a tight stop buy at $22.35 or so.
Trading Strategy:
Sell Short Strategy: $21.25; Use a limit order short sale at $21.25 or higher
Stop Loss Buy: $22.35;
Target Price: $18.00;
Average Daily Volume: 183,000
Thursday's Volume: 204,600