Albuquerque morning journal. [volume] (Albuquerque, N.M.) 1903-1926, 1915-10-25

Ntiaf.- W tAlAA ~fII q AE~l some instances
where a person knowing nothing OF
such matters has reaped n fortune
out of q small holding Of stock.
Stock Far Too High.
AS an Illustration OF the chill air
that has come from the cellars Of
some Of the corporations one may
mention the case Of concern which
has had an agent IN Europe working
% get war orders The stock Of that
company has sold this year as low
as % ana is now above 30. The agent
states that the officers have sold out
an their stock. that he has parted with
his, that the stock Is not worth so and
that he will sell IL short n il goes
much higher He states that he has
taken all Of the foreign orders that
the company has received and that
they are hagatolle
on the basis of these statements a
considerable quantity of the stock
has been sold, but the market grabbed
ii up and Immediately IL went higher.
In another instance an official Of a
war order corporation who could
not properly go short Of the stock
Of his own company has expressed his
feelings by selling short the stocks
Of other companies ana has lost
money.
Am through the list runs this same
curiosity. the depreciation Of current
prices by people familiar with the af-
fairs Of the companies This extends
even to the railroad issues, though
there rs less reason there than In the
ease Of the industrials. one can see,
however among the more conserva-
tive n disposition 20 take up some
Of the high-priced issues which have
an Established position and which
have not been doomed So much as
the cheap stocks-suCh for instance
ne General Electric ana Texas OIL
These buyers are somewhat nettled
10 see Va lot Of ignoramuses" making
money, when they themselves have
dropped their stocks, after getting
three or four points profit.
An issue that is now invading tho
west Is Cambria Steel The phila-
delphia list is watched more closely
in Chicago now than ever before. As
to Cambria while there appears to-
be much confidence in the substantial
quality Of the company, the purchases
are dictated mainly by the eXpecta-
ton Of q merger or some other event
that viii profit the stockholders
4 company which has been q fa-
vorite with a few people In Inland
steel, an independent concern whose
works are near this city. Its stock
has gone to SOL. Tho company has
varied It's dividend but 1t is common
ly looked upon as either Z or g per
cent The nominal rate was reduced
to -four last year and Is now back at
the top These figures are compare
UVcly unimportant, for the company
is much given To extras. II has sur
plus of 80 per cent of lbs capital
stock
kellogg switchboard x supply is
another great performer, with the
stock quoted around $50 today. ale
though the company regularly pays
only ~ per cc.t Here also life is
emlR llished wfth h3ndsom extras
from time To time
Speculation Not Justified.
Reports of combination have much
to do with the demand for these
stocks. For example, the Baldwin To-
connective company has a piece of land
not far from the works OF the Inland
Steel company on which il was pro-
posed some years ago TO erect plant.
one of the rumors has il that not only
is that purpose 10 he carried out i'm
the near future but Inland steel is I
to be combined with Baldwin All /
these local companies have more or
less war orders. received directly or
indirectly. and their earnings have in |
creased in the last few months.
The superficial aspect of the war
stocks is that OF a big shell and a !
thin one. hut many experienced men
took that view Of them months ago |
before the prices had reached any