Sound Advice"Sound Advice (SUND, NYSE, around $10),...


Sound Advice

"Sound Advice (SUND, NYSE, around $10), which sells high-quality consumer electronic products, is our latest buy recommendation," says Ripples in the Wave of Gainesville, Fla.

"To date, the company has clustered its stores in South Florida. It is now planning to . . . expand outside of Florida. We consider these moves to be good for the company . . .

"At current prices, the stock trades at just 12 times earnings. We expect the stock to generate superior investment returns."


"Rate cuts and the recession are crimping the results of BellSouth (BLS, NYSE, around $47), says Dow Theory Forecasts of Hammond, Ind.

"Per share earnings fell 5 percent in the March quarter, and full year earnings will likely show only modest growth. Results should improve in 1992 as economic recovery boosts access line growth and calling volume.

The company's long-term prospects are among the best of the regional Bell operating companies. Patient investors may buy the stock at current levels."


"CBS (CBS, NYSE, around $160) is unraveling in fine style," says The Overpriced Stock Survey of Half Moon Bay, Calif.

"Everything bad that can be said about the other networks can be doubled for this company. The company overbid on its new baseball contract. Chairman Lawrence Tisch, at the annual meeting, finally called the $1 billion baseball bid a mistake. Even Wall Street is beginning to wonder if something is wrong. The network's new fall lineup should increase our negative outlook on the company."

Lennar Corp.

"Lennar (LEN, NYSE, around $25), a major Southeastern homebuilder, has weathered the recession in fine shape," says Sy Harding, Investor Forecasts of Palm Coast, Fla.

"The company has been turning in respectable earnings despite the housing slump, helped by its mortgage and financial divisions. In addition, the order backlog turned up in March, suggesting that the housing slump may be bottoming.

"We look for continued strength in these shares and continue to hold the stock in our trading portfolio."

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