About Us

The current contributors to this website are not registered representatives or a member of any broker, dealer, market making firm, national or global stock exchanges. Despite our confidence in our recommendations and lacking the credentials necessary to professionally manage money, we must state that this website is for educational and "entertainment" purposes only.

Why choose the New Low Observer for your investment ideas? We get the macro picture right...

The following are articles that we have published on SeekingAlpha.com, a third party website where we cannot change the content after submitting, which has outlined our macro view on the markets:

  • The Importance of Market Perspective (click link to read more): February 2009 article addresses the overwhelming pessimism in the stock market and suggests that the market has a high probability of recovering 50% to 100% of losses. One month later the stock market hit bottom and started a new recovery which gained 126% from the low and recovered 93% of the losses from the 2007 peak.
  • Industrial Production Index: Is the Recession Over?: August 23, 2009 article said that National Bureau of Economic Research (NBER) would claim that the recession ended in June 2009. On September 20,2010, 13 months later, the NBER proclaimed that the recession ended in June 2009 (NBER proclamation found here).
  • Why Silver Beats Gold as a Precious Metals Play: September 2009 article that says that if investors missed the run in gold then they should consider silver as a superior precious metals investment. As of March 30, 2012, silver is up 96% while gold is up 66%. At the same time, silver had been as high as 193% while gold only went as high as 87% since the recommendation was made.
  • To Beat Inflation Look to Food Processors, Producers and Distributors (unpublished on SeekingAlpha.com, however, a similar article that was published on December 17, 2008 titled “Sysco: A Surprising Inflation Hedge”  ): September 2012 article emphasizing that investors who want to beat inflation should invest in food processors, producers and distributors. On February 14, 2013, only 5 months later, Warren Buffett announce his participation in the purchase of Heinz (HNZ), a food processor.

...And...we get the micro view right also…

The following are articles that we have published on SeekingAlpha.com, a third party website where we cannot change the content after submitting, which has outlined our individual stock views:

  • Helmerich & Payne (HP): On September 29, 2006 (unpublished on SeekingAlpha.com) at $23.03. After our 2006 recommendation, we recommended selling HP on August 13, 2008 at $55.27. On March 11, 2009, we recommended buying HP at $22.37.

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  • Altria (MO): On December 10, 2008, in the midst of a crashing stock market, we recommended Altria at $15.34. The stock has done nothing but go up ever since. On a total return basis, Altria is up 161% as of April 2, 2012.

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Additional stock recommendations that served our readers well that can be verified on the 3rd party site Seeking Alpha:

  • Bank of Hawaii (BOH): Consider Buying on January 12, 2009
  • Meridian Biosciences (VIVO): Consider Buying on March 27, 2009; Consider Selling on June 9, 2009
  • Matthews International (MATW): Consider Buying on April 1, 2009
  • H&R Block (HRB): Consider Buying on May 19, 2009; Consider Selling after 18% gain in June 2009 (on NLO site)
  • Northwest Natural Gas (NWN): Consider Buying on October 4, 2009
  • American National Insurance (ANAT): Consider Selling on December 22, 2009
  • Cephalon (CEPH): Consider Selling on March 3, 2010 at $70.78 based on previous buy recommendation near $55 and $62 range; Consider Buying on February 16, 2011 at $55.89; CEPH was subsequently acquired by Teva Pharmaceutical (TEVA) near $80 per share.
  • Cree Inc. (CREE): Consider selling on June 6, 2010; the stock falls –66%
  • Wesco Financial (WSC): Consider Buying on August 24, 2010; Warren Buffett buys WSC four days later
  • Transatlantic Holdings (TRH): Consider Buying on August 28, 2010: Warren Buffett makes unsuccessful bid, company acquired at higher price than what Buffett offers.
  • ConAgra Foods (CAG): Consider Buying on December 1, 2010.

Within each watch list are quality stocks worth consideration that have been acquired by other companies at substantially higher prices. However, we’ve only cited the stocks that we’ve made specific recommendations on that can be confirmed from a 3rd party source. We are unafraid to provided SELL recommendations and re-examine mistakes that we’ve made (as found here and here).

Our investing strategy provides support for meeting the goals of both short and long-term investors for their tax-deferred or Roth IRA accounts.

Disclaimer

As a disclaimer, the NLO team is not liable for misunderstandings, misinterpretations, and errors that lead to investment loss or gain. Our research is believed to be from reliable sources. In the event that a source is not cited it is done in error. It is best to assume that our team has a conflict of interest due to the fact that we may actually own the stock before the publishing of a investment observation or we may have sold a stock before a sell recommendation. We do not short sell (sell short) or hold put options on any sell recommendations that are made. Sell recommendations are not our opinion of the management team of the company in question. Instead, sell recommendations are reflections of our opinion that the money invested in a particular stock is better allocated in other stocks.