From: kanth@andersen.uucp (Kanth Miriyala)
Subject: Stocks newsletter. Netletter!
Organization: Andersen Consulting
Date: Sun, 5 Apr 1992 12:11:30 GMT

PRAGATI		- BY MIRIYALAS

PRAGATI is a newsletter that recommends low-price stocks. 
The basic philosophy that we use is based on the 
strategies described in Bill Mathews's book, WINNING 
BIG WITH BARGAIN STOCKS.

We have been investing for some time and have been 
successful in recommending some good stocks to 
ourselves. We thought it might be a good idea to 
pass this information along to others. Hence we 
decided to start this newsletter. This newsletter
should appear about once a month from now on.

For each company that we recommend, we will give the
following information:

Name of the Company
Symbol
Exchange
Can be followed in
Phone
Address
Recommended Price
Description of work
Reasons

We strongly urge a person interested in investing in a 
recommended stock to research the stock before investing in 
it. Also, it is extremely crucial to buy as close
to the recommendation price as possible. In the past
the stocks that we recommended (to ourselves) have 
gone up by 30% or more from the recommended price
in about 3 months or so. We hope (but cannot guarantee) 
that this will continue. 

We only recommend low price stocks with great potential 
to move up. So these recommendations are mainly for the
small investor. Most of the stocks we recommend are below 
$3. 


Here are some of the stocks that we recommended in the past.

				Rec. Price 	Approx. High	% Increase
						since recommending
Colonial Data Technology (CDTX/ES*) .94		1.75		91
Greenman Brothers(GMN/Amex)	3.63		6.88		89
Leisure Concepts(LCIC/OTC)	3.38		7		107
New Image Industries(NIIS/OTC)	1.63		3.88		138
Nuclear Metals(NUCM/OTC)	5.63		10		77
Old Stone(OSTN/OTC)		3.38		5		48
Pioneer Bancorp(PSBN/OTC)	.75		2.63		250
Rexon Inc(REXN/OTC)		6.75		10.88		61
Sunair Electronic(SNRU/OTC)	1.75		3.13		78

* Emerging Stocks of American Stock Exchange (Amex). When we recommended
it was on OTC bid and asked.


Please DO NOT buy any of the above stocks now. They have grown 
substantially. In general, only stocks we explicitly recommend 
buying are worth buying and close to the recommended price.

In general, it is a good idea to put a limit order. 
A market order (especially those placed before the market
opens are really a bad idea. If several market orders
are seen on the queue at the market open time, the market
opens at a significantly higher price than is normal).
So always specify a price at which you want to buy a stock.

April Recommendations.

------------------------------------------------------------
Name of the Company: Aerosonic Corporation
Symbol: ASON
Exchange: OTC
Can be followed in: WSJ NASDAQ bid and asked column
Phone: (813) 461-3000
Address: 1212 N. Hercules Ave., Clearwater, FL 34625
Recommended Price: 2.25 (On Friday April 3, it closed 2.19 bid and
2.38 asked. We suggest you put a limit order at 2.25 or more.)
Description of Work: One of the largest manufacturers of flight 
instrumentation. In 1991 it had 53% sales in private sector, and 47% 
in military sector. 
Reasons: 
- Low priced at 2.38. 
- Low long term debt of about 3 million. 
- Tremendous rise in earnings. 
- Book value (Oct 1991) 2.19
- It has had a dramatic increase in revenues and earnings. 
For the quarter ending Oct 1991 the results were as follows.

		3 mos to	3 mos to	9 mos to	9 mos to
Revenue		7,848,399	3,588,862	21,628,929	10,337,289
Income		429,546		135,295		1,065,018	383,735
EPS		.12		.04		.29		.10

- Earnings report for year ending Jan 1992 is expected at the end of 
April 1992.


------------------------------------------------------------

Name of the Company Name: P&F Industries
Symbol: PFINA
Exchange: OTC
Can be followed in: WSJ NASDAQ column
Phone: (516) 694 1800
Address: P&F Industries, 300 Smith St., Farmingdale, NY 11735
Recommended Price: 2 to 2.13 (On Friday April 3, it closed at
1.88 bid and 2.25 asked. The spread of .37 seems unreasonable for
this stock).
Description of Work: Manufactures and/or imports air-powered tools, 
pipe-cutting and threading tools and parts, baseboard heating equipment, 
various hardware items, fabricates and installs sheet metal ductwork. 

Reasons:
- With rise in real estate, low mortgage rates, $5000 deductible for first time
home buyers (likely to come through), the construction industry 
is going to boom. 
- Low long-term debt of 5.5 Million
- It is at a good low price. Midway between its 52 week high and 52 week low.
- Dramatic increase in earnings.
For the quarter ending October 1991 the results were as follows.


		3 mos to	3 mos to	12 mos to	12 mos to
Revenue		15,501,394	9,510,572	53,744,544	41,946,791
Income		138,827		(16,129)	961,911		(232,358)
Avg. Shares 	3.65		2.26		2.96		2.26
(in million)
EPS		.01		(.06)		.19		(.09)


------------------------------------------------------------

Name of the Company: Alpha Microsystems
Symbol: ALMI
Exchange: OTC
Can be followed in: WSJ NASDAQ column
Address: Alpha Micro Systems,3501, West Sunflower Ave., Santa Ana,
CA 92704
Phone: (714) 957-8500
Recommended Price: 2.38 (On Friday, April 3, it closed at 2.25 bid and
2.5 asked)
Description of Work: Manufactures and sells multi-user, multi-tasking
microcomputer systems. It also offers data backup, storage, 
distribution and broadcast products, and voice verification
security sytems.

Reasons:
- Book value 5.01 in 1991.
- Long term debt of only 1.93 million
- Mid-way between its 52 week high and low. 
- Dramatic increase in earnings for the 
quarter ending Nov 1991.

		3 mos to	3 mos to	9 mos to	9 mos to
Revenue		12,509,000	13,659,000	36,947,000	40,719,000
Income		39,000		(868,000)	278,000		(4,510,000)
EPS		.01		(.31)		.09		(1.59)

- Earnings for year ending Feb 1992 expected in June.


------------------------------------------------------------

A word about selling. 

As the stock price rises have a stop loss that rises too. 
If the stock prices dips to your stop loss sell the stock, 
thus protecting your profits. If you dont, the stock 
price may fall well below your purchase price and you 
would have lost a great opportunity for making profits. 
Also, after selling for a profit, ignore the stock. 
If it rises, dont curse yourself; you have made a profit, 
now move on to other recommendations. It is NEVER 
a mistake to take your profits.


DISCLAIMER: There is no guarantee that stocks recommended here
will do well. There is no guarantee that the information on 
which this article was based is correct. Hence there is
no guarantee that the information in this article is correct.
Also, the companies where we work have nothing whatsoever to do 
with this newsletter.
-- 
Kanth 

kanth@andersen.com