New-York tribune., 1919-10-12

Question-kindly give selected list
of high class preferred stocks for in
vestment. r. NJ. T..
Answer-United States Steel pre-
fcrred, z per cent: Railway Steel
Spring preferred, 7 per cent; United
States Rubber preferred, s per cent;
Virginia. Carolina Chemical preferred,
S per cent; Republic Iron and Steel
preferred, Z per cent; American Car
ana Foundry Preferred, Z per cent; Ma
tional Lad preferred, Z per cent;
bethlehem Steel preferred, per cent;
American Wooden preferred, per
cent: Standard Oil of New Jersey pre-
ferrcd, per cent.
Questicn-Piease tell me whas you
think of Denver preferred stock Am
told it is good to buy just now. and
would if you recommend it. Should
like little of Its history. 4. J!
Answer--Denver preferred is specu.
lative. Puiu dividends of 5 per cent
at one time, but Denver & Rio Grande
guaranteed principal and interest on
Western Pacific per cent bonds, and
when interest was not paid on tine
suit was brought against Denver and
Judgment obtained for about S32,0O),-
600. Some oi free assets of Denver
have already been taken, and original
Judgment somewhat reduced, but not
materially. In order to satisfy this
judgment, Equitable Trust Company Of
New York. which obtained judgment,
could have court order the sale of
road. But they may not do that, for
it they did. road would undoubtedly
re bought IN by a committee replt-
senting bondholders of the Denver,
and naturally that committee von,d
not bid more for road than would Just
ceived than would cover bondhc!ders
it would go to the Equitable Trust
Company, as their claim would super
cede stockholders. There is hope for
some kind OF settlement, but strictly
speaking, Denver preferred has TO in-
trinsic value to-day. If suit is SET
tied, then 50 much the better.
Question-Klndly advise as to rela
tive investment possibilities at pres
ent prices of following stocks: Amcrl-
can Telephone and Telegraph Balti-
more & Ohio preferred Jewel Tea pre-
ferred, Western Union Telegraph and
Answer-American Telephone and
Telegraph Companys president has
stated, we understand, that company
will undoubtedly be able to continue
payment of it's S per cent dividend.
At same time fixed charges. are in
creasing, and stock shows effect of it.
Both Baltimore & Ohio and Pennsyi-
vania appear good investments at pras-
ent prices. and same may be said of
Western Union. Jewel Tea preferred
is not seasoned Investment, and COM
pany has been unfortunate recently
in it's handling of coffee, which repre-
sents 65 per cent of its total business.
Questlon-Am expecting to have
$4,000 in a few days, and am thinking
about putting same into preferred rail
road stocks. What cones would YOU
recommend, or would you recommend
some other kinds of stocks, as | do
not care for bonds? II. C. r.
Answer-All of the following pre-
ferred stocks may be considered good
Investments: Atchson, Union Pacific,
Chicago & North Western, Norfolk &
Western and the Reading Also we be-
lieve seasoned industrial preferred is
sues like United States Steel preferred.
United States Rubber preferred, Amer
ican Car and Foundry preferred are
good investments.
Question; Have opportunity to buy
Nasch Motor preferred at 500 per
share, bonus of l share common with
each d shares of preferred. Don't
know anything about stocks and can
not afford to speculate. Can you tell
me anything about Nash? Cannot find
1t quoted. Do you think it a good in
vestment at price mentioned? NJ. f. T.
Answer: Nash Motors Company has
been good Garner. Besides paying
Z per cent on S5,000,000 preferred
stock company paid Sc on common on
August l last. On February | $40
was paid on common. For year ended
December l, 1918, net profits were
S1,475,63S equal to S24.47 on $4,000
shares of common, after preferred div
idends had been paid. That is all we
can tell you. Should say stock Is spe-
Culative. If company continues to he