(I have my computer for a few more days before sending it in for repairs.)  One of the fun things about living in Las Vegas for a few years was becoming familiar with the various gambling lingo and terms used.  I believe that the saying “the worm has turned” applies to my Top 5 Stock Picks for 2009.  The saying is derived from an old proverb that if you tread on a worm it will turn and even a worm will turn. It meant that “even the most humble will fight back if abused enough.” Over time it has morphed into “the situation has changed” and in recent time has become known as a statement about risk and luck. For a gambler if luck has been bad and then shows signs of improving, “the worm has turned.”

For my five stock picks for 2009 this is the case. The year started out so brutal for all of them but the prospects remain solid.  BIO-Key has proved to be a special situation and continues to have big percentage gains.  Metabolix is finalizing its plant to build biodegradable plastics.  ICx still is working on many homeland security initiatives. Manitowoc is raising capital by spinning off divisions and is still pricing at very low multiples. The Ultra Financials ProShares remain in a good place for the rebound of the entire banking industry as a whole.  Stay the course, the dirt has been fertilized and the worm has turned, or it is at least in the act of turning!  The initial time frame suggested for holding these was a least a year to accommodate any rough start at the beginning of 2009.

2009 Total Return

BKYI +205.3%

MTW -25.6%

UYG -36.3%

MBLX -45.8%

ICXT -46.5%

Curt’s stock picks total return +10.22%

DJIA -4.0%

S&P 500 +0.0%

NASDAQ +9.4%