The steel sector got a nice boost due takeover speculation and M&A activity. – for now, one announced deal involved
The last day of the month also saw the upgrade of homebuilders by a Banc of America analyst who was gracious enough to slap a “neutral” rating on the sector, whatever that means. Shares of Pulte (NYSE: PHM) and Centex (NYSE: CTX) both got nice boosts as a result.
Finally, we were sad to see Google (Nasdaq: GOOG) leave our portfolio for now. But the price appreciation was much faster than we had anticipated last November when the shares traded at around $400 - they recently hit a high of $513. This opened up room for a new addition in USG Corporation (NYSE: USG) which we recently discussed in more detail on Margin of Safety. USG was itself subject of takeover rumors the same day as Banc of America upgrade of homebuilders.
Happy Holidays. See you in 2007.