Auto Sector: Wheels and Deals on 52-Week Low

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Sep 18, 2013
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While this report is technically an auto sector watch, these four companies are more specifically tire and wheel makers, and rubber and plastics companies, related to auto parts or other manufacturing industries. Stocks on a 52-week low can signal different kinds of company or market challenges and conditions, but it’s a major vote of confidence to know that 10 billionaires hold Titan International Inc. (TWI, Financial) or that Guru Mario Gabelli holds 7.98% of shares outstanding of Superior Industries International (SUP, Financial), both featured.

Here’s a look at all four companies on a 52-week low. As of June 30, 2013, all are held by billionaire investors with some active insider trading.



Industry Sector: Auto

The auto sector currently shows four companies out of 115 on a 52-week low. The low ratio is 0.03.



Titan International Inc. (TWI)

Down 19% over 12 months, Titan International Inc. has a market cap of $848.1 million, and trades with a P/E of 15.60 and a P/B of 1.30.

The current share price is around $15.84, or 41.6 % off the 52-week high of $27.12. The yield is 0.10%.

Founded in 1890 and was incorporated in 1983, Titan International Inc. is primarily a tire and wheel maker, and an undercarriage industrial group. The company produces specialty products to meet the specifications of original equipment manufacturers and aftermarket customers in the agricultural, earthmoving and construction, and consumer markets.

Guru Action: As of June 30, 2013, there are 10 guru stakeholders and no insider trading to report. Four billionaire investors made new buys in second quarter.

The top Guru stakeholder is Private Capital who made a new buy of 638,900 shares at an average price of $20.99 per share, for a loss of 24.5%. His current shares of 638,900 represent 1.19% of shares outstanding.

After selling out a long, lucrative holding in the fourth quarter of 2010, John Buckingham made a new buy of 270,355 shares bought at an average price of $20.99 per share, for a loss of 24.5%.

John Keeley reduced his position by 93.41% in the second quarter, selling 1,153,361 shares at an average price of $20.99 per share, for a loss of 24.5%.

Track share pricing, revenue and net income:

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Superior Industries International (SUP)

Up 2% over 12 months, Superior Industries International has a market cap of $500.1 million, and trades with a P/E of 17.20 and a P/B of 1.10.

The current share price is around $18.18, or 17.7% off the 52-week high of $22.09. The yield is 4.40%.

Superior Industries International is engaged in the design and manufacture of aluminum road wheels for sale to original equipment manufacturers or OEMs. The company is a supplier of cast and forged aluminum wheels to the automobile and light truck manufacturers, with wheel manufacturing operations in the U.S. and Mexico.

Guru Action: As of June 30, 2013, there are six guru stakeholders and active insider trading.

As of Sept. 11, 2013, top Guru stakeholder Mario Gabelli increased his position by 7.75%, buying 38,000 shares at an average price of $17.99 per share, for a gain of 1.8%. He currently holds 2,187,898 shares or 7.98% of shares outstanding.

In five years of holding, he has averaged a gain of 6% on 1,948,596 shares bought at an average price of $17.35 per share. He also averaged a gain of 19% on 521,400 shares sold at an average price of $15.34 per share.

Track share pricing, revenue and net income:

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GSE Holding Inc. (GSE, Financial)

Down 74% over 12 months, has a market cap of $44.4 million, and trades with a P/E of 3.90 and a P/B of 0.70.

The current share price is around $2.18 or 75.2% off the 52-week high of $8.78. The yield is 0%.

GSE Holding Inc. provides geosynthetic containment solutions for environmental protection and confinement applications. Its products are used in infrastructure end markets such as mining, waste management, liquid containment, coal ash containment etc.

Guru Action: As of June 30, 2013, Chuck Royce is the sole guru stakeholder, and there is active insider trading.

Chuck Royce increased his position by 94.38%, buying 369,254 shares at an average price of $6.89 per share, for a loss of 68.4%. He has held GSE for two quarters. Buying 391,249 shares at an average price of $7.12 in the first quarter of 2013, he also has a loss of 69.4%.

Royce currently holds 760,503 shares or 3.74% of shares outstanding.

Jim Simons sold out his holding in the second quarter, unloading 18,152 shares at an average price of $6.89 per share, for a loss of 68.4%. He has held GSE for three quarters. First buying 23,486 shares at an average price of $7.36 in the fourth quarter of 2012, he had a loss of 70.4%. In the first quarter of 2013, he sold 5,334 shares at an average price of $7.12, also for a loss of 69.4%.

Track share pricing, revenue and net income:

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STR Holdings Inc. (STRI, Financial)

Down 49% over 12 months, STR Holdings Inc. has a market cap of $72 million, and trades with a P/B of 0.60.

The current share price is around $1.71, or 50.1% off the 52-week high of $3.43. The yield is 0%.

Incorporated in 1944, STR Holdings Inc. now serves the solar industry. With a background in plastics and industrial materials research and development, the company is a global provider of encapsulants, used to protect and hold solar modules together. STR Holdings was the first to develop ethylene-vinyl acetate based encapsulants for use in commercial solar module manufacturing.

Guru Action: As of June 30, 2013, there are three guru stakeholders, and active insider trading.

The top guru stakeholder is Chuck Royce who made a new buy of 180,000 shares at an average price of $2.41 per share, for a loss of 28.6%. His 180,000 shares comprise 0.43% of shares outstanding.

Track share pricing, revenue and net income:

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