DuPont de Nemours Inc. (DD)

Market was disappointed in most recent quarter. Market reacts badly right now to bad news. Global player with a big agriculture bent and Agri has been tougher. Would prefer others in this group.

(Top Pick Nov 2/11, Down 5.46%) Had some bad results a couple of weeks ago. Rumors they could announce a big buy-back and that could be good news.

Specialty chemical. He would be more interested in the more base chemical companies that have benefited from lower feed stock of natural gas.

(Market Call Minute.) Just came out with a bad earnings result. He wants to see how things stabilize over the next quarter or 2.

Chart shows a little bit of a classic trend channel which is moving up. Probably at a reasonably good point as it is touching the bottom of the trend channel. There is some overhead resistance in the low $50’s, which could be your 1^st target.

(A Top Pick Nov 2/11. Up 7.12%.)

One of his favourite companies but he is waiting for it to pull back a bit. Most recently spun off the auto paint division, which is a plus. Major focus in recent years has been on agriculture. He would prefer it closer to the mid-$40’s. Has always liked their innovation and technological expertise.

They aren’t the old stodgy chemical company any more. They are really a science and technology company. About 20%-25% of their business comes through the agricultural side. Well managed. Well priced. Pays a decent dividend.

His base case scenario is for a recession sometime next year and this is a cyclical story. A very well run and innovative company. There has been very modest growth globally and he doesn’t see this improving for at least a year and at some point it seems reasonable the markets will anticipate that and potentially sell these things off. This is one he would buy on weakness, which he thinks will happen in the 1^st quarter.

There are many facets to their business. He would prefer to see a little bit of weakness in the share price before allocating new capital to it. They’ll be in better stead once growth returns to the global economy simply by the nature of their businesses.

(Market Call Minute) Around its model price