September rarely gives investors reason to cheer. But as the broad market powered higher, traders have been rejoicing over this month's overall results. September 2010 is looking to be the best September since 1939 when September posted a 15.5% gain. The S&P 500's proxy, the SPDR S&P 500 ETF (NYSE:SPY) has put on 9% since the beginning of this month and appears poised to continue the uptrend.
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Since the month began, the following stocks have shown the greatest strength, and it follows that should the bull continue to snort, these same issues should carry a great deal of momentum into October and beyond.
Learning for Profit
Education Management Corp (Nasdaq:EDMC) is a provider of post-secondary education to campus-based and online students, offering bachelor's, master's and PhD degrees to enrollees. A large number of non-degree programs are also available.
Since September began, shares in EDMC have rocketed ahead nearly 51%. But investors should be aware that this rise comes after poor showings for the last year, during which the stock is still off over 50%. Additionally, EDMC is under fire (along with the rest of the private education and training industry) following claims of dishonest business practices and misleading post-graduation statistics.
Burger Joint Gets Bitten
Stock in Burger King Holdings, Inc. (NYSE:BKC) is up 45% on the month. The shares jumped on news that the burger franchise would be acquired by 3G Capital Corp., a private equity firm that also has a significant stake in CSX Corporation (NYSE:CSX) and The Coca Cola Company (NYSO:KO).
A number of legal proceedings have to be hurdled before the deal is finalized, at least two of which allege a breach of fiduciary duty on the part of Burger King's Board of Directors, who, the suit alleges, failed to shop the deal adequately before the transaction was finalized.
CNH Global NV (NYSE:CNH) is a Dutch based company that manufactures and markets agricultural and construction equipment globally. The firm's shares are up nearly 40% on the month and nearly 140% over the last twelve months. CNH trades with a P/E of 59 and offers investors no dividend. The company has a market cap of $9.2 billion.
A month is a short period of time in the world of stock trading. But as these stocks show, it's also a time in which great sums can be made. (Not sure what the big deal is? Check out Why Do People Say September Is The Worst Month For Investing?)
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