JBSS

**Hawk4Value** Sat Feb 25, 2006 10:33 am

JBSS
Hi Blast

Company seems to be selling below book. Value of real estate on the books does not reflect the real market value.

What is your opinion??

**blast_investor** Sat Feb 25, 2006 1:58 pm

Hi Hawk4Value,

This stock is attractive. Insiders bought this stock around $14, the book is very solid, mostly in tangible form. The business is cyclical and is in down turn.

This could be potential turnaround play and asset play. I like what I see so far.

**springsnailt** Sat Feb 25, 2006 5:06 pm

There are actually more companies fitting P/B<1 profile.

I've excluded all those in the technology sector.

Here's a quick list

Ticker - Company - Sector - Industry
TWMC - TRANS WORLD ENTER - Services - Music & Video Stores
MAM - MAINE & MARITIMES - Utilities - Electric Utilities
CQB - CHIQUITA BRANDS N - Consumer Goods - Farm Products
DEVC - DEVCON INTL CP - Industrial Goods - Heavy Construction
RSC - REX STORES CP - Services - Electronics Stores
KTO - K 2 INC - Consumer Goods - Sporting Goods
JBSS - JOHN B SANFILIPPO - Consumer Goods - Processed & Packaged Goods
HDL - HANDLEMAN CO - Services - Wholesale
PATK - PATRICK INDS INC - Services - Building Materials Wholesale
NGA - NORTH AM GALVANIZ - Industrial Goods - Industrial Equipment & Components
BZ - BAIRNCO CP - Basic Materials - Synthetics
AXL - AMER AXLE&MFG HLD - Consumer Goods - Auto Parts
HH - HOOPER HOLMES INC - Healthcare - Home Health Care
FLXS - FLEXSTEEL INDS - Consumer Goods - Home Furnishings & Fixtures
DDS - DILLARD'S INC - Services - Department Stores
STON - STONEMOR LP UT - Services - Personal Services
TRR - T R C COS INC - Industrial Goods - Waste Management
SUP - SUPERIOR IND INTL - Consumer Goods - Auto Parts
SUMX - SUMMA INDUSTRIES - Consumer Goods - Rubber & Plastics
ILX - ILX RESORTS INC - Services - Resorts & Casinos
TUG - MARITRANS PART LP - Services - Shipping

**teenvestor2** Sat Feb 25, 2006 7:01 pm

Why'd you exclude the technology sector?

**springsnailt** Sat Feb 25, 2006 8:56 pm

because

1. the fundamental analysis requires too much sepcialized knowledge.
2. products/services rotate too quickly, market over jammed with competitors: this drives up the cost and it's very difficult for any firm to consistently make money.
3. assets in the tech sector in general become worthless very quickly. the low P/B may be just an illusion.
4. one only has that much time to read 10K's.

teenvestor2 wrote: Why'd you exclude the technology sector?

**teenvestor2** Sat Feb 25, 2006 9:02 pm

1. Not necesarily, it doesn't take a lot of knowledge to analyze Nokia or Electronic Arts.

2 Some markets aren't overjammed. You could say the same thing about other industrys as well; Shoes, TV, etc.

3. Why don't you just do a price/tangible book then?

**springsnailt** Sat Feb 25, 2006 9:22 pm

seems we are not speaking the same language. :wink:

**teenvestor** Tue Feb 28, 2006 12:32 am

It's cool :)

I just wanted to get you to un-bias yourself :wink:

-Mike