Long Position on DORM @ $89.00 on 1/2/2019 (Momentum)

Dorman Products, Inc. (DORM) supplies automotive replacement parts, automotive hardware, and brake products to the automotive aftermarket and mass merchandise markets in the United States, Canada, Mexico, Europe, the Middle East, and Australia.

It offers original equipment dealer products, such as intake manifolds, exhaust manifolds, window regulators, radiator fan assemblies, tire pressure monitor sensors, exhaust gas recirculation coolers, and complex electronics modules; fluid reservoirs, variable valve timing components, complex electronics, and integrated door lock actuators; and fasteners, including oil drain plugs, wheel bolts, and wheel lug nuts. The company also provides automotive replacement parts comprising door handles, keyless remotes and cases, and door hinge repairs; and heavy duty aftermarket parts for class 4-8 vehicles comprising lighting, cooling, engine management, and cab products.

In addition, it offers solutions for rugged duty and fleet applications; replacement chassis part solutions; brake hardware products; electrical components; and application specific repair hardware products.

The company provides its products under the OE Solutions, HELP!, HD Solutions, Premium Chassis, Premium XL, Premium RD, MAS, FirstStop, ConductTite, and AutoGrade brands through automotive aftermarket retailers, local independent parts wholesalers, national general merchandise chain retailers, mass merchants, salvage yards, and the parts distribution systems of parts manufacturers.

Shares have formed a bullish "double bottom" and are expected to move higher from this formation. Note that the 50-day moving average is acting as a support for the formation.

Entry Point: $89.00

Stop Loss: $85.00

Trading Range:  $56.36 - $91.32

Target Price:  $98.00

Updates

2/27/2019 10:53:13 AM

DORM closed at $83.00

Position closed on 2/27/2019 at price of $83.00 with a -6.74% loss in 56 days.

Back to Portfolio