David Sterman has worked as an investment analyst for nearly two decades. He started his Wall Street career in equity research at Smith Barney, culminating in a position as Senior Analyst covering European banks. While at Smith Barney, he learned of all the tricks used by Wall Street to steer the best advice to their top clients and their own trading desk. David has also served as Managing Editor at TheStreet.com and Director of Research at Individual Investor. In addition, David worked as Director of Research for Jesup & Lamont Securities. David has made numerous media appearances over the years, primarily on CNBC and Bloomberg TV, and has a master's degree in management from Georgia Tech. David Stermanon

Analyst Articles

Analyst Moves: PDCO, AA

David Sterman
January 28, 2013

A few weeks into the New Year, investors seem to be in a carefree mood. The traditional measures of volatility remain at extremely low levels. After all, the European economic crisis has calmed, budget negotiations in Washington aren’t front page news at the moment, and… Read More

The Housing Boom Could Send This Stock 50% Higher

SA Analysts
January 28, 2013

One of the first things a day trader learns is how to locate the right stock.  A time-proven and popular method is to look at the stocks and themes that are hot in the news. The trick, however, is not to trade these hot stocks, but to look for similar companies or complimentary industries. The theory is that other stocks within the same industry or theme will soon follow.#-ad_banner-# While this is a standard… Read More

One of the first things a day trader learns is how to locate the right stock.  A time-proven and popular method is to look at the stocks and themes that are hot in the news. The trick, however, is not to trade these hot stocks, but to look for similar companies or complimentary industries. The theory is that other stocks within the same industry or theme will soon follow.#-ad_banner-# While this is a standard stock-locating procedure for day traders, I like to apply it to the long term. As I’ve recently said in this article, real estate is hot right now. Prices are climbing across the globe and builders, real estate investment trusts and associated businesses are riding the wave higher. [Also read: “Why This Little-Known Company Bought 16,000 Homes.”] So when I was looking for stocks surrounding this hot sector, I realized building products would likely benefit from this boom. And no product is more… Read More

This High-Yielder is Up 79% in 2 Years and It’s Still a Buy

BBOGDA
January 28, 2013

Is Mexico the new China? Until recently, China was the “go-to” manufacturer of choice. Thanks largely to the country’s low wages, companies across the industrialized world were able to have their products produced cheaper in China than at home — or in Mexico. The advantage known as the “China price” still sends tremors through hometown manufacturing facilities in much of the West. But during the past decade the playing field has tilted.#-ad_banner-# Ten years ago, Chinese wages averaged a quarter of those in Mexico. These days, according to The Boston Consulting Group, China’s average manufacturing wage tops Mexico’s, when… Read More

Is Mexico the new China? Until recently, China was the “go-to” manufacturer of choice. Thanks largely to the country’s low wages, companies across the industrialized world were able to have their products produced cheaper in China than at home — or in Mexico. The advantage known as the “China price” still sends tremors through hometown manufacturing facilities in much of the West. But during the past decade the playing field has tilted.#-ad_banner-# Ten years ago, Chinese wages averaged a quarter of those in Mexico. These days, according to The Boston Consulting Group, China’s average manufacturing wage tops Mexico’s, when productivity differences are taken into account. Add to that the proximity to the world’s largest economy — an economy that’s again showing life — and the China price advantage loses even more luster. After all, shipping and travel between the United States and Mexico can be done at a fraction of the time and cost of doing business halfway around the world. Cultural barriers, moreover, are usually less of a hindrance between friendly neighbors than friendly nemeses. Now, I’m not saying China is looking over its shoulder just… Read More

A Stock That Could Land Double-Digit Profits for Traders

Deborah O'Malley
January 25, 2013

Disney (NYSE: DIS), the place where dreams come true, currently appears to be a dream stock for traders. With an upbeat fundamental outlook, shares appear on the verge of a bullish technical breakout — and could hit a new all-time high. The entertainment empire is on the rise following recent news the company is releasing a new video game platform, called Disney Infinity. The gaming system enables actual Disney figurines to be docked into a video game console. Players can then… Read More

Disney (NYSE: DIS), the place where dreams come true, currently appears to be a dream stock for traders. With an upbeat fundamental outlook, shares appear on the verge of a bullish technical breakout — and could hit a new all-time high. The entertainment empire is on the rise following recent news the company is releasing a new video game platform, called Disney Infinity. The gaming system enables actual Disney figurines to be docked into a video game console. Players can then customize the game content based on the figures plugged in.#-ad_banner-# This interactive gaming system bears a remarkable similarity to Activision Blizzard’s (Nasdaq: ATVI) Skylanders video game platform in that physical toys are used to connect into a virtual game world. The “plug and play” idea appears a profitable one. Activision recently reported U.S. sales of Skylanders hit more than $500 million. However, where Disney will likely take the cake from Activision is in its power to bring a much larger collection of characters into the games. When the Infinity system is released in June,… Read More