In order to encourage more idea sharing GuruFocus hosts a monthly value idea contest. We will reward qualified value idea submissions $1000 if the idea doubles in 12 months. Qualified authors will also receive $100 per submission. The submissions will be evaluated monthly. These are qualified submissions from August and September:
|author||Contest Aug. & Sept. 2012||Symbol|
|Chandan Dubey||Stocks to buy on dips: National Oilwell Varco||NOV|
|The Science of Hitting Stocks||Value Contest Submission: SPLS||SPLS|
|Gabriel Canelli||General Dynamics Has an Appropriate Margin of Safety||GD|
|C.W.R.||Fundamental Analysis: Guangshen Railway (NYSE:GSH)||GSH|
These are the scores that the submissions received in different areas:
|Symbol||Business Quality||Financial Strength||Management||Analytical Depth||Undervalued?||Presentation||Comments||Total|
Therefore, the performances of these four ideas (those with score of 26 or higher) will be tracked. The authors will be paid $1000 if their ideas double. Each of them also received $100 for the submissions.
Comments about the submissions:
Stocks to buy on dips: National Oilwell Varco
A monopoly in the oil drilling equipment industry. Not so undervalued according to the author. Good financial strength. The risk will be the collapse of oil prices, which doesn't seem to be likely at this point.
Value Contest Submission: SPLS
A detailed analysis of the office supply retailer. The author thinks that the company has been misunderstood by the market. It is undervalued in terms of free cash flow yield.
General Dynamics Has an Appropriate Margin of Safety
An analysis of General Dynamics. More discussions of management and the contribution and growth potential of different divisions will be appreciated.
Fundamental Analysis: Guangshen Railway (NYSE:GSH)
Detailed discussion of the business operation. The management might not be as stable as the author described. The valuation still has some confusion. It will be nice if the author can clarify it.
The performance of the past qualified submissions are tracked with GuruFocus portfolio tools.
Among all past submissions, QUAD (see A Great Company at a Wonderful Price in a Terrible Industry - QUAD) gained 47%. Supervalue (SUV) gained 26% since submission. Sycamore (SCMR) lost more than 50%.
The contest is open for October. The deadline for each month’s submission is the end of the month. All the past submissions are here. Please submit to win $1000.