Polaris Industries Inc. engineers, markets, and manufactures snowmobiles, personal watercraft, all-terrain vehicles, motorcycles and related parts, garments and accessories. For the FY ended 12/31/00, net sales rose 7% to $1.43B. Net income increased 8% to $82.8M. Revenues reflect growth in all-terrain vehicles and expansion of company%s parts, gamets & accessories business. Earnings also reflect increased equity in income of affiliates.

February 13, 2001

Polaris engineers, markets, and manufactures snowmobiles, personal watercraft, all-terrain vehicles, motorcycles and related parts, garments and accessories. On Tuesday, the stock climbed to $49.22, an intra-day high, which beat the previous high recorded earlier this month by two cents. The stock recently beat earnings by five cents, marking the fourth quarter in a row that the company either beat or matched earnings forecasts. Furthermore, the stock has nearly doubled in price over the past year. Currently, PII has 23.7 million shares authorized and 80 million authorized, enough for a 2:1 or a 3:1 split. There are no scheduled meetings for the company, but with the number of authorized shares, a split announcement could be made at any time. Looking at the chart, we see that support is located at the 5-dma at $48.08, the 10-dma at $47.57 and then the 20-dma at $46.26. Resistance is up at $49.22 and the half-century mark. When considering a new play on PII, look for strong volume, 60,000 shares by midday and a move through resistance or a bounce off support as a possible entry point. We will place a stop loss below the last support level at $44.88.

Picked on February 13th at $48.70
Change since picked 0.00
Stop Loss at $44.88

March 13, 2001

PII was another one of our plays that was able to avoid yesterday's free-fall only to succumb in today's morning Dow Industrial sell-off. Unlike the Dow, though, PII was unable to recover and continued to sell-off through most of the day. We will exit PII with a small loss, which is unfortunate because we had a small gain in this stock up until today's capitulation.

Picked on February 13th @ $48.70
Profit/Loss -0.70 (1%) (Stopped Tuesday @ $48.00)
Best Profit +2.95 (6%)

March 11, 2001

Polaris Industries finished the week up 6-percent and made a valiant effort at a new high on Friday. While both the major indices gapped down at the open of trading, Lone Ranger PII fought its way against the market and matched its recent 52-week high of $51.65. Once it hit that level, the stock gave in to the tremendous selling pressures and traded lower throughout he rest of the day. Next week we will look for this split candidate to conquer resistance at $51,65 and establish a new high. This type of move should occur on strong volume in order for the stock to follow through. We'd look for 100,000 shares traded by midday when considering a new play on PII. Support now exists at the half-century mark and then the 5-dma at $48.80. We are patiently awaiting a split announcement from PII, which currently has plenty of authorized shares to announce their first stock split. An announcement might come with earnings or with a more bullish environment in the market. We will post our stop loss below support at $48.00.

Picked on February 13th at $48.70
Change since picked +1.44
Stop Loss at $48.00