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David Sharek

David Sharek is stock portfolio manager and CEO of DavidSharek.com. David believes a company's profits ultimately drive the price of its stock. His book The School of Hard Stocks can be found on Amazon.com.

Right Where it Should Be

Catalyst Health Solutions (CHSI) took a little tumble last month. In the grand scheme of things, this stock is selling right where it should be.

The Claim of 20 Percent Growth

Mastercard (MA) expectes profit growth of more than 20% for the next three years. With a P/E of 16, this stock is undervalued and has good upside potential. Here's when I expect MA to eclipse its all-time high.


Left: MA's ten-year chart shows the company has growth profits consistently even through tough economic times.

HTHT – I Missed a Run

China Lodging Group (HTHT) has gone on a tear higher. This Chinese hotel company is one of my top Stocks on the Radar.
Here's why the stock jumped -- why I missed the run -- and where I think a good buy point is.

Left: HTHT's one-year chart shows the stock broke out at $19.

STRA – Didn’t Pass the Test

Is this the end for Strayer (STRA)? Or is it a great buying opportunity? The Department of Education states that only 25% of Strayer graduates are paying back principle on their student loans. But Strayer is a hundred-year-old school -- how can this be?

BPI – Passed the Test

Bridgepoint Education (BPI) passed the Department of Education's test -- now its time for investors to take notice. Although BPI's down-and-out, it could be worth double what its selling for now. Left: BPI's P/E of 7 and estimated Long Term Growth Rate of 25% a year give this stock huge upside potential.

The Market is Overbought

Just as everything is looking up, the stock market goes into overbought territory. Stocks are overbought, so tread lightly on investing more money into the market.

Green Mountain’s Business is on Fire

Green Mountain Coffee (GMCR) is on fire. Catalysts like Ice Tea, Mr. Coffee brewers and cappuccino makers keep GMCR moving in 5th gear.

Left: GMCR's one-year chart shows profits are expected to climb 82% and 133% during the next two quarters.

A Cure for Your Correction Blues

Express Scripts (ESRX) moves up in the Power Rankings as the stock market has just started a correction. Left: ESRX's ten-year chart shows the stock has been a solid investment during the last decade.

Back on Track

Buffalo WIld Wings (BWLD) is back on track to do 20% profit growth again. With the stock selling for 20% earnings, there's good potential here in the short-term and the long-term. Left: Buffalo WIld Wings should do well with football season approaching.

I’m Trying to be Nice

Amazon.com (AMZN) just had profit estimates lowered, now 20% profit growth may not happen again until four quarters from now due to expansion costs. A 48 P/E is high, to be nice. Although I love AMZN's long-term perspective, I will sell the stock from the Growth Portfolio today. Here's why:

Momentum is Slowing — But Business is Strong

Chipotle (CMG) has been a fabulous stock in 2010, but tough comparisons might mean it's time for this stock to take a breather. Left: CMG's P/E is in black, signifying the stock is neither undervalued (green) or overvalued (red).

A Top-Tier Growth Stock Again

Cognizant Technology Solutions (CTSH) is back! Revenue growth was 42% last quarter and the company expected sales to climb at least 36% this year. Today I will replace Mindray Medical (MR) with CTSH in the Growth Portfolio and I will purchase CTSH in the Aggressive Growth Portfolio as well.