edges on the TASER, and the armed battalion gear companies, and got out.It's time to get back in. L-3 Communication Holdings (LLL) has a unique category, so even with cuts to defense that some investors are concerned about, L3 focuses on technology and asymmetrical warfare.In the defense sector I often review NOC, RTN, LMT, GD,and LLL. Right now LLL is selling for only 9.5 times 2010 earnings, which is a 30% discount to the sector.
Three reasons to buy:1. It's cheap2. It pays a dividend3. It's ripe for takeover
This stock could hit $100.00 next year, and we'll use a point and figure stop loss at first at 70.00, and then shift it to a 20% trailing stop loss after a few months.LLL should be bought on any market dips, as a stock in your speculative portfolio.
