Stocks that suffer if Congress cuts costs
I hope that Congress does not choose to cut spending on cyber-security. If it does, though, Keyw Holding Corp. would be in some trouble. A leader in that field, the Hanover, Maryland, company already sells for 25 times earnings. No need to be cryptic here: that's a fairly steep P/E ratio — and one that will look completely out of whack if the government spigot gets turned off.
Disclosure note: Mr. Dorman personally owns shares of General Dynamics and Amedisys, both personally and for clients. He also own Raytheon for a couple of clients. He has no long or short positions in the other stocks mentioned in this column.
Click here to read or print this photo gallery in article format