I'm a Michigander... "Hi! Michigander!"
At first I thought I'd just take off and leave after High School to a College in the south.
"So did we! So did we!" [more]
Do I think the GM chief should resign? Yes.
Do I think Pres. Obama did it in the right way? NO!!!
President Obama is not only acting like "Dictator in Chief" lately...waltzing around with 100% authoritarian power to do whatever he wants with only CHINA as the check and balance.
But...President Obama is incredibly beyond stupid and idiotic and the wrong man for the job when it comes to the Automotive Sector. We don't need some environmentalist, Private Sector Hate-Job, walking around telling Auto companys to build and sell more GREEN cars instead of cars that people want.
How in the blazing heck is the automotive sector to survive under the dictatorship authority of a Federal Government gone wild demanding Environmentalism over Profitability?
GM and Chrysler should have been restructured in Bankruptcy Court a looooooooooong time ago!!
Instead.. We have the Obama solution.... Demand the impossible!! Demand people will actually go out and actually want one of these rinky dink "GREEN" cars and trucks and SUVs.
No way... No how...
I am truly frightenend that what I said months ago before Obama was officially president will happen and that is the FEDs will force buyers to buy these GREEN vehicles nobody wants by making it a federal crime to drive the cars and vehicles you do love to drive.....
AKA: "Thou must drive in a vehicle that does 30+ miles to the gallon by such and such a day or you are a FELON." [more]
GLU Mobile (GLUU) is a global publisher of video games for Mobile Phones. They have just announced an extension of their partnership with Activision Blizzard. The penny stock trades off the NASDAQ.
Standard and Poors gives GLU Mobile a SELL rating and a 50 cents a share price target.
GLU Mobile trades at 46 cents a share.
The recent announcement seems very intriguing from a penny stock, speculation, super high risk standpoint.
1st: Glu Mobile said they plan to become cash positive by the end of this year.
So... Based on their announcement of releasing 5 blockbuster Activision titles for phones using Android, Blackberry, Brew, J2E, and Windows Mobile through their respective online stores, could this be the catalyst to get this company cash positive? [more]
This rally STINKS! Be a Pessimist!!! Before you shut me out....
A) I am nearly an All Star now!
B) I may be a Newbie still in the market.... Just over 1 year of experience now... But, I have grown quite smart over surviving 2008. Anyone that has survived 2008 deserves some Kudos here!
Ok.. Here's my advice to you as to why you MUST be a PESSIMIST!
I have in this rally already reversed ALL (that's right) ALL of last year's losses and then some....
But now is not the time to jump up and down... Call your Girlfriend and Buddies over to celebrate with Beer, Wine, and NCAA Basketball games....No!!!
Now is not the time to contact your local dealership for what the price is of a new 2009 Corvette.
Now is not the time to shop the Housing Market for a Million Dollar Home with 16 bedrooms and 8 baths, Gold Rallings, indoor Olympic Sized Swimming Pool and Jacuzzi + Hot Tub.
Cause we can LOSE everything you are gaining in your portfolio how quick?
This quick..... *blink* done! It's all gone! Too bad! So Sad!
Ya think 2008 was nasty? Wait till you find out what happens in 2113!!! ooooh boy!
So.... Be a Pessmist..... Trust me.... Even if this is somehow, bizzarely, a rally into a bull market that lasts all the way to your Retirement with absolutely not a single hitch because everything is just perfect all of a sudden.... You MUST be a pessimist!
Here are rules to follow for all you PESSIMISTS out there:
1) If you are as clueless as me about the Options Market.... Study it! I plan to buy some books this weekend.
Next week should be known as "PUTS WEEK."
2) Start Amassing Cash on the sidelines... Ya know something in your portfolio will eventually DIP down hard... and you want to have that CASH liquid and ready to scoop in some shares when it does.
3) Eyeballing for new stock to add to your portfolio? In this case... I live by a simple rule.. Look for P/E of 8 or less unless the catalyst justifies a higher P/E. But almost always I am eyeballing a P/E of 8.
Ya know what I was drooling like mad over this morning? (RCL)!!!! Check it out. Not too late to get in when it's at less than P/E of 4 before the start of this trading day.
4) The problem with these rallys is they absolutely SHOOT THE MOON. When the true value of the future economy justifies DOW 9,000.... Often times the Rally will SHOOT THE MOON to DOW 10,000+ before finally crashing down closer to where it should be.
Design and build your plan of attack.... Yes. I know.. We are all just nothing more than "BUY and HOLD" Motely Fool-ites.
That's fine... But it doesn't hurt to start hedging all of these gains when they have basically slammed into your Portfolio litterally overnight.
In less than 1 month.... Many people besides myself have basically earned so much cash that it would normally take 1 full year in a super Bull market to get. And we did it in 3 weeks???? 3 weeks???
Go ahead.. See the 3 ticker symbols? I bought them reallly really cheap in price before they skyrocketed. [more]
Going against the grain of this ridiculous rally.. But so what.
I see too many warning signs:
1) Pres. Obama doesn't care about the effects of his own policies and doesn't even understand basic economic principles. He has no clue about the damage excessive spending can cause. His universal healthcare is nothing more than a way to endanger health care as we know it... His Cap and Trade program will result in Heating Oil Shortages...Long lines at Gas Stations....
Where's the cries to get the ball moving on Off shore drilling? No where to be found!
Inventories of oil may be up... but for how long? There isn't an indefinite supply of oil in the world ya know...so off-shore drilling is just as important as it ever was. Gasoline struck $2.10 here in Michigan and despite the price of Oil falling today due to inventories, I do not see the price of GAS doing anything but going higher.
2) As soon as the spending faucet is even PERCEIVED to come to an end....Any positive effects from the stimulus package will only result in businesses panic driven to cut costs, lay off more workers, and take on riskier loans.
3) Wall Street is getting absolutely Hammered behind everyone's backs. Share prices going up do not reflect REALITY (what-so-ever).
No one is talking about the growing number of companys heading into Loss Making territory...
No one is talking about the increasing signs of entire Countries (Venezuala) heading into Bankruptcy.
4) If the EUROPEAN UNION is in absolute panic mode over Obama's Spending Spree..... Why aren't Wall streeters?
5) The positive economic recovery signs will continue for awhile.... They were entirely based on falling prices... and ONLY based on falling prices.... So, what happens when companys are forced to raise prices to stay afloat? What happens when more and more companys are unable to keep prices low?
What happens when INPUT costs...such as the rising costs of GASOLINE (happening already) start to force companys to raise prices?
We have an absolute crisis brewing.
VARCHILD is now growing CASH on the sidelines and has finger on the SELL button for all positions in portfolio except ENERGY and BANKS.
Since I am a moron.... This is basically a call to the investment community to share their advice.
The way I see it....I know ZILCH about Options.... ZILCH about shorting and I don't want to get into shorting even if I was Albert Einstein or the founder of Shorting.
So... How does one handle things when your portfolio gains $1,000 on Monday and loses $1,000 on Tuesday? Sorta like when the market shoots up 500 points, you fully expect a huge point decline.
Jim Cramer wants his audience to sell today when everyone's profit taking.
Common sense tells me that those who profit take already took profits yesterday when the market was up 500 points.
My strategy remains the same. Jim Cramer is full of it. He is wrong.
Newbies in the market must adhere to a simple rule....
When everyone's buying up your stock to a glorious profit.... You Sell!
When everyone the next day is profit taking, shorting, selling your stock.....You Buy!!
Greedy when everyone's fearful.
Fearful when everyone's Greedy.
And Jim Cramer claims he takes the Waren Buffet approach? Why hasn't Jim Cramer been fired yet?
Now... If you chose NOT to take any shares off....NOT to profit take yesterday.... Maybe you were simply busy and couldn't do so... Whatever... You certainly don't profit take on a day the market drops 200+ points. [more]
Welcome to the, "Bank of Tiny Tim Geithner!" Would you like to open an account today with us Sir?
"Well, I have some questions first. What is your going rate on a savings account?"
"Well, Sir, glad you asked. It's about 0.0% APR."
"What!? Why on Earth would I give you my money then?"
"Well, our Power Savings Accounts come with perks. We don't charge you any fees for overage charges."
"Oh. That sounds good. But, how long do you expect me to pay the money back if I go over on my account?"
"Well, you see, that's another perk at the Bank of Tiny Tim Geithner. We don't expect you to pay it back cause quite frankly, if you go over, we'll take care of your debts. It's all part of our debt relief program."
"What!?!? That's nutz! How do you expect to stay in business if you are buying up people's debt when they go over on their accounts?"
"Well, we at the Bank of Tiny Tim Geithner have established a beautiful, harmonius, relationship with CHINA. You see... We just pass on all this DEBT people rack up in the form of Treasury secruties and hand it over to CHINA."
"How do you expect CHINA to keep agreeing to buy up all this debt? Don't you think there will be a breaking point here?"
"Nonsense! America's a wonderful buyer of Chinese Goods and all that goes away if CHINA ceases buying up our DEBT. Heck, Americans buy more Chinese Trinkets than their are Kung Fu Lessons at the Shaolin Temple...
Say... Besides opening up a Savings Account with us.... Would you be interested in buying up some of this Toxic Debt yourself?
"What!??! Are you nutz. No way, no how! Why would you even ask me that crazy question?"
"Well, this is all part of our "Bad Bank" strategy for America's future!" [more]
Well well.... I guess Starcraft II is available on Pre-Order right now.
Check it out:
This is truly exciting indeed because I stand by my view that Stracraft II is going to generate far more sales than DIABLO III. Can't underestimate the excitement level that exists for this franchise in South Korea. It has far more of a broader appeal here in North America and Europe as well.
Unfortunately, I am not going to pre-order Starcraft II until I talk to someone at Gamestop first...
My problem with this is that typically video game publishers put out what's known as a limited edition Collector's edition version. It is that version of Starcraft II that I would like to purchase.... Not what's shown in the hyperlink.
I haven't checked Best Buy or other stores yet... But this is great news for ATVI investors. The better Blizzard title is coming out this year!
P.S. Don't underestimate the long term sales strength of Starcraft II. Sure, you could just come in as a new investor at a price less than $10.00 a share... Then when the release date is revealed, just totally sell off your stake at $999 a share (or where it trades up to).
But... I think the real money is for long term Activision investors to ignore the initial run up on the stock price. Here's why:
1) No Doubt Action Figures, Books, and all sorts of merchandising will be coming out for Starcraft II.
2) Hardware Sales will be produced because I speculate Blizzard is going to introduce a Starcraft Joystick or Mouse for the PC Computer in much the same way as they did with Warcraft.
And I am a potential buyer of that piece of hardware if and when they do.
3) Starcraft II sales don't occur in a single quarter of the year. They actually occur very strongly throughout at least 3 quarters out. Blizzard can also do package deals combining Starcraft 1, Starcraft 1 expansion, and Starcraft II together in the same box (if they wish).
4) Blizzard is selling Starcraft II along side 2 separate expansion packs. Those gamers who decide not to buy the expansion packs will later on perhaps choose to do so.
So.... I am not going to sell off my ATVI stake on any initial OH MY GOD!! Orgasm!!! run-up on the stock price when the Release date is revealed. [more]
Jim Cramer gave a "Don't Buy" to TCF Bank just now. The show's on my television set cause no NCAA Basketball game starts for another half an hour.
Anyhow.... For that "caller" who called Jim about TCF Financial.
Believe me... TCF BANK is the best bank to put your money in. This goes to $15 a share in 6 months or less, (or even higher than that). I'll stake my entire reputation on it.
TCF Financial has waaaaaaaaaaaaaaaaaaaaaaaaaaay too many good things going....
How in the world can you NOT buy a bank carrying a Savings Account of 2.25%????? You get that every month!
Compare that to:
JP MORGAN: .01%
PNC FINANCIAL: .15%
Bank of America: .20%
TCF Financial: 2.25%
Guess what I did this week? I stuffed some of my own cash straight into a Power Savings Account at TCF Financial.
Guess what my brother did???
Guess what more and more Michiganders are doing???? Guess???? Seriously.. Go Take a Gander!
Catch my drift???? JIM CRAMER is poison. TCF is a buy.
This isn't a Stock Market Rally... This is total bunk!
I may have been bullish on March 1st... But just a few days ago... "Mall-O-Nomics" kept whispering in my ear... Check out an earlier blog post I wrote.... It kept saying: "Watch the Dollar"
And guess what? I am watching the dollar get absolutely trashed by OBAMA!!
The OBAMA / BERNANKE JIMMY CARTER Socialist Bonanza is going to totally reverse this rally.
Want to see DOW 6250??? You will...Mark my words! OBAMA think you can just simply PURCAHSE a better economy. He's wrong!
Varchild = BEARISH and Heavily hedged in ENERGY SECTOR [more]
That's right.... Now is the time to get Bullish on American Express.
Gov't wants to buy up everything in sight that starts and ends with the word "DEBT" then that means American Express is a buy, buy, buy, buy.
Sure.. it ran up 9%... But it also skirted much of this bull rally and still sits pretty with a 5.11% dividend yield. This sucker could run back up to $40 or even $60 a share in quick fashion.
Will I buy American Express? Nah..... Not putting my money where my mouth is on this....
I said earlier that I was eyeballing 2 stocks:
2) Hot Topic
I may make my move on Skechers tomorrow. (May not).... I have to do some deep thinking.
P.S. Sure... This bull rally is a weird kinda head fake and we are going to really get smashed by the BEARS when the bull rally starts to lose steam.... But, bah....why not have our fun before the pain comes? [more]
Motley Fool Investor (January 2008): "oh golly oh gee.. Jim Cramer's on..."
"Stay out of the BANKS!!!! The Financials are going under!!!! It's a Shipwreck!!"
Motley Fool Investor: "Bah! I'll just dollar cost average slowly into Citigroup and Bank of America."
Jim Cramer's 'Am I diversified'
"You're supposed to diversify! You are going to get murdered! Can't have 2 stocks in the same sector in a 5 stock portfolio!!"
Motley Fool Investor: "Bah! I'll pick up Morgan Stanley, JP Morgan, and M & I Bank while I'm at it and Dollar Cost Average those as well."
November Lows 2008
Motley Fool Investor: "Oh golly oh gee! Look! Morgan Stanley at $9.00! Citigroup down to $3??? Bank of America is at $13? BUY BUY BUY!! Stocking up big time!"
"Those of you holding onto Bank Stocks should dump them and throw the money into a market leader instead like Research in Motion or Hewlit Packard! Or Caterpillar!"
Motley Fool Investor: "Bah! I'll just continue to dollar cost average the now 5 BANK Stocks I own in my 5 stock portfolio."
Motley Fool Investor: "Woaw!!! DOW at 6500!?!? Citigroup at 97 cents?? Wow this is fun!!! I'll buy 1,000 shares of Citigroup for less than an ATM Fee! I'll take 500 more shares of Bank of America for less than $3 a share!"
MARCH 10th through Present Day
Motley Fool Investor: "Citigroup, Bank of America, JP Morgan all in my portfolio along with Morgan Stanley and Marshall and Isley. They are coming out today proclaiming profits!!"
Citigroup up at $1.50!!" *orgasm*
Citigroup up at $2.50!!" *orgasm*
Citigroup up at $3.50!!" *orgasm*
Motley Fool Investor: "Gee should I sell? Wait.. I don't retire until I'm at least 55... I got 30 years.... So... Nah!....I'll just HOLD and LAUGH my *SS off at all the Naysayers that flooded Motley Fool with DOOMS DAY scenarios." [more]
So, I asked myself what could act as a party pooper to this bull rally we got going on?
Unfortunately, what could act as a party pooper....already is.... I have 3 words...
"Watch the Dollar."
The dollar could absolutely tank and extend our great recession further than Ben Bernanke's bottom call. We could go back to DOW 6500... Maybe even achieve the scary DOW 5999.99 mark.
Pretty much hinges on the Dollar doing damage to our financial sector....Could raise oil prices damaging transportation, beverage, shipping, airlines, and other sectors.
With a falling dollar comes hyper inflation all over again. That mixed with President Obama's CAP and TRADE mixed with his TAX HIKES mixed with his UNIVERSAL HEALTHCARE programs... All boils down to a "head fake."
Yes.... I was bullish March 1st regarding "The MALL !!" But, now "The MALL !!" keeps whispering to me... "Watch the dollar!" And things aren't as pretty as they may seem. [more]
1.000 points ago we never bought a single share
This rally doesn't matter, what you say is not what we care
Economy can't be getting better, The contraction will never dissappear
And yet y'all keep buying up the junky stocks and pushing us to tears
We just can't short We can't short no more.
Our shorts have to panic and cover, cause
We just can't short We can't short no more.
Our shorts have to panic and cover, cause
Something happened to make you all bullish
This sucks when not even Roubini can make you foolish
You've stopped blaming the economy, cause now you're blaming We
You think the uptick rule will save you, but we shall reign down our misery!
We just can't short We can't short no more.
Our shorts have to panic and cover, cause
We just can't short We can't short no more.
Our shorts have to panic and cover, cause [more]
What's the best way to invest in the Stock Market... in specifically America's Stock Market?
It's not Technical Analysis..... It's not Fundamentals..... It's not even a TA / Fundamental Mixture known as "Alstrynomics."
The best way to invest in the stock market is........
"THE MALL !!"
Worship the "MALL!!"
I don't care if you are Athiest, Agnostic, Christian, Muslim, Hindu, Native American, or other various religiosity..... Your brand new religion... you GOD... your SAVIOR.... your MESSIAH has only 1 name and that name is: [more]
I know nothing about what a "Convertible Note" is. I know absolutely nothing.
But... If I am correct that FLIR just went and sold some NOTES for over $90 million... I mean that's a lot of Cashola... What for??? FLIR's Balance sheet is already floating in Cash Flow compared to the company's super tiny LT Debt ratio.
So.... If it is seriously shoring up truck loads of Cash. It has to be gearing up to do something with that cash right?
And is it such a coincidence that an Optical Imaging, Defense Stock, Competitor AXSYS Tech. has recently announced that it wants to sell itself for a fair price?
Put 2 and 2 together and as a speculator... I think FLIR is buying AXSYS for a very tasty, shareholder friendly, price.. Well.. Shareholder friendly for AXSYS. I fear what this purchase (short-term) will do to FLIR's share price. The buyer seems to always take a massive hit short-term for a long term gain.
Luckilly... I'm a long term Motley Fool investor and not a short-term get your jollies in a day stock trader. I went and upped my Share Count in FLIR Systems today over this AXSYS news and other things.
I think I did the right thing... [more]
Anyone check out this article on Yahoo Finance? I'm not allowed to copy / paste the thing so I'll just post a hyperlink:
President Obama's cashola in billions of dollars is going to be sent to Police Agencies with no strings attached. That means they can feel free to spend the cashola on whatever they need.
At a time when Obama slashes spending on the Military and Homeland Security.... At least he was nice enough to our Law Enforcement.
And by doing so.. Smith and Wessen and Body Armor companys will benefit.
Personally, I fully support the companys mentioned other than TASER (because I don't understand how the Taser business will do long term).
So... Law Enforcement Agencies will get some cash? I wonder what else they will spend the $$$ Dough on besides body armor and guns?...
Maybe the 4640 shares I bought in ticker symbol (EAG) might be quite interesting this year?
A long term investor can hope can't he?
EAG = Huge Debt Liability Penny Stock that may trip and violate Debt Convenants this year...
Nonetheless they are profitable and growing revenues year over year.
They sell Bullet Proof Windows for Law Enforcement Vehicles, Corrections Facility Doors and Windows, Target Shooting Training (T2 program), Bullet Proof Mobile Barraicades for SWAT, and other products.
These all seem like something a Law Enforcement Agency might need. So, positive news grows for my precious penny stock corporation! [more]
I said on March 1st that spending at retail stores is picking up and Stocks that should be in the toilet if we were still in a worsening economy situation, were actually way beyond their 52-week november lows. (BBY). I pointed out Best Buy as the Best example stock that was killing the market!
Then on March 6th I predicted a 400+ point climb in the DOW that the DOW was oversold and should actually be near DOW 7000 to match the recovery pace of the economy in terms of consumer spending, Job Loss Deceleration, and other positive signs of growth.
America is BACK folks.
But... I am hear to WARN the investment community to be careful before thinking DOW 8000.
We need to see what the facts are regarding Mark to Market.
We need to see the effects of President Obama's stimulus package...
We need to assess the long term damage of the Federal Government's Debt... The Higher Taxes... Cap and Trade... And so much more.
There's so many things that are acting as downward pressure on our FRAGILE economy than even IF I am absolutely correct to believe that March 1st was the beginning of the economy's turn-a-round.... We are not in some kinda BULL MARKET that will go crazy as all get out here.
We are in a WEAK Bull Market. WEAK WEAK WEAK recovery. And in this atmosphere.... The Strong will recover first.
Which is why I would like to point out the following ticker symbols as candidates for achieving the fastest recovery in this Weak Bull Market:
(GE) *yes* *General Electric baby is back! I walked down a hall way and heard some talk and near panic about General Electric's stock price month to month. When you hear someone practically in TEARS over a stock, then you know it is time to buy General Electric!!*
And that's it. Thems your choices.... Of course... I may have missed a bank or two so do your homework!
(AFL) <------- P/E of less than 4.5?????? If this slips any...heck.. who cares... I'd buy this at $15.00 a share!
P.S. Now is the time to throw your Money Market (Liquid) money into yoru favorite SMALL CAPS mutual fund. Small Cap Value or Small Cap Growth... whatever.. Toss it in tomorrow or at least by Friday:-) Trust me! We are headed for something truly special this year :-)
Oh and I will also repeat myself here... I've said this before and it needs saying again.
America's Economy was able to do well and rally and grow INSPITE OF Clinton's Tax Hikes.
And I strongly believe America's Economy will find a way to Grow and Prosper INSPITE OF President Barack Obama's Tax Hikes.
P.P.S. President Barack Obama will get a 2nd Term in Office no matter how hard I may protest.
The Uptick Rule is meaningless...It won't change a thing... People are making too big a deal out of the return of the Uptick Rule. There is no impact in today's market for the uptick rule..... Seriously... Maybe it had an impact after the Great Depression when stocks were trading at
.00000001. Yea.. Then maybe the uptick rule was a help. [more]
1) Listen to all naysayers.. read their articles...hear them out..Anyone who thinks you shouldn't invest in Penny Stocks is 100% correct....you shouldn't... unless...unless...unless you have good enough, sound reason to believe in a company's near term and longer term future.
2) To identify a penny stock worth buying...you simply need to identify growth potential, partnerships, contract backlogs, earnings report growth, recession resistant strength if any, and a whole host of other things.
If you invest in a company that is NOT recession resistant then you will suffer with a company that will stay as a penny stock for years if not an entire decade. The reward is still there if you have the patience.....
3) Do you want to have a "lottery ticket" penny stock that may or may not net you some income before you turn 80 years old.... Or do you want a penny stock that fits the "growth stock" mold that trades at a ridiculous 8 p/e or less.... and is essentially a penny stock due to investor confidence issues and not due to the True Strength of the Company behind the share price?
It's like throwing money at a Regional Bank after pouring through the bank's earnings potential, product competitiveness, debt ratio, and so on. After you went through all that information and conclude the Bank is not only a survivor but a tremendous VALUE stock to invest in.... Then why in the heck not buy the Bank Stock?
Just because a Penny Stock exists... .Does not mean you discount ever even thinking of investing in it or ever even thinking of turning a profit on it. No... A penny stock is simply a company you need to do some homework on.
I did my homework on "American Defense Systems" after hearing about the company on one of Jim Cramer's shows. Jim Cramer dismissed the company as speculative.
I am here to say that based on the press release related to the "Reset Program" there's nothing to fear here regarding the company's bad debt ratio. Well sure... You can fear share dillution. You can fear shareholder's taken a hit.... You can fear a lot..
But what I mean.. is that this company like so many other example penny stocks I can think of have contract backlogs stretching out YEARS and no company just goes "bust" when they have all of that revenue and income and profit coming at them.
The company projects a 52% revenue gain this year over last.
The company consist of a conglomerate of 3 different companys...because they acquired the Armored Barricades for Police Officers business.
I can think of a lot of things this company can do to protect the interests of their shareholders and limit the impact of the Debt covenants they may certainly trip over soon. They can spin off one of their businesses. They can ask the financial institution for an easier interest rate on their 15 million loan.
There are options.
You can sit in FEAR of investing on the BUY / LONG side...
or you can get in while the getting is good.
Hey.. I invest in companys like (MSM) (ATVI) and (DPS).... But I don't abandon the high risk penny stocks when I see one shining like a JEWEL in (EAG).
As of typing this.... EAG is trading up nearly 30%. That's $1000 in the bank baby as I astutely bought tons of shares near the bottom! [more]
(DPS) IPO $26.50 (DPS) Intraday low $11.83.
So...When will we see the day that Dr. Pepper and Snapple and the other 40+ flavors of Pop no longer exist? When will we hear the Press Release come out that says, "Dr. Pepper Snapple Group needs a Bailout or it will file for Chapter 11 Bankruptcy."
Seriously. When? Tomorrow? Today? 15 minutes from now? When? Where is it?
Not to say DPS is free from any problems.... Not to suggest the share price isn't justified at least a little bit...
The VENOM energy drink isn't getting any T.V. commercials or Store Advertisements.. it is not selling. No one is buying VENOM. People are still obssessed over MONSTER energy drink. They are even abandoning coffee for MONSTER and I think MONSTER has played a bigger role in Starbuck's downfall than blaming the economy.
CRUSH may have gotten a major distribution deal from Pepsi Americas, but I still can't find any CRUSH at Walmart or Meijers or Family Grocery Store... or you name it Gas Station. Or even at a street corner booth during a Baseball Game. I can't find it anywhere. So call me highly unimpressed with the great Distribution deal was supposed to breathe new life in CRUSH brand.
However... I am a long term investor of DPS and I believe the stock price is oversold.
I base my judgement on the fact that massive mutual funds are starting to abandon and sell off their shares to include PERSHING square.
Not sure about TRIAN funds but would not be surprised if TRIAN funds is selling or will sell in the future.
DPS is simply "unloved" by the investment community. At least for now.
DPS is bleeding and at some point the bleeding will stop. Let's just hope there's still a living, breathing, body left once the cuts are clotted. [more]
Friday = D-Day.... Where DOW goes to either 6250 or 7000 in a single trading period.
Given that the news wasn't too bad... in fact... the news was "JOB LOSS (D)eceleration."
December #s revised 680,000+
January #s revised 655,000+
February #s 651,000+
Ok.. Definitely not a rocketship.... But hey.... 3 months of DOOM and GLOOM and we are nowhere near 9% unemployment.
8.1% unemployment simply means that the DOW is unjustifiably low. It should be hovering around DOW 7000 and I think Wallstreet will park it there today. hey... yes... need a 400+ point climb... I know... Impossible? Not quite... We did it last year! [more]
Welcome to the United Sinkhole of Obama-care.... Cause we all know how much Obama-Cares about everyone's 401k.
Don't worry.. folks...The economy will be ship shape after a bunch of people who do not create jobs get an extra $13 on their paychecks starting on "APRIL FOOLS DAY."
While those who create jobs have to SLASH earnings and lay off people to bring their earnings below $250,000 (otherwise suffer the largest Tax Hike in U.S. History).
With Every Sector in America under assault and threat by Obama-Care...including even Health-Care....America's Economy is going to be booming.... As my Co-Worker vehemently mentioned, "IT IS A GOOD IDEA WE ARE BUYING GOLF CARTS!!!"
BEFORE OBAMA-Care (Jan. 20th) AFTER OBAMA-Care
1) GE: $12.93 $6.66
2) C: $2.80 $1.02
3) BAC: $5.10 $3.17
4) DPS: $15.96 $12.11
5) MI: $6.00 $3.11
6) TCB: $9.65 $9.10
7) SHLD: $43.49 $35.47
8) CHK: $13.74 $14.46
9) EGY: $6.54 $5.29
10) CAT: $38.32 $23.49 [more]
This coming Friday is it! Not capitulation day... Not Market meltdown to DOW 5000 day. No.
This Friday is going to be highly interesting as all the negative news there is to report on the economy will provide tremendous downward momentum for BEARS to make a run for DOW 5000..
The BEARS plans are for DOW 4000 folks. They seek to eliminate the Banks the FEDs refuse to eliminate. They want to remove the insurers like AIG that the FEDs refuse to remove. And they doing it by force with economic turmoil as their calling card.
But on FRIDAY.... FEAR converts into a combination Bargain Hunting + Valuation BULL rally.
The Health Care Sector is going to do a Sector wide Short Squeeze out of the funk.
The Financials will be all over the place...
Wallstreet will walk into the opening dazed and confused and walk out with great clarity about the future of America's stock market. Cause... If we drop to DOW 5,000.... heck... If we break DOW 6250....Then there's no doubt we are in a Great Depression. And all talk of "Great Recession" will cease.
But if the BULLs win and push us back to DOW 7,000 on Friday... Then there is still a chance for the market to turn at the end of this year or beginning of next year.
The cards are set on the table...
And the Dice is about to roll...
Washington Congressman are about to do battle against Pres. Obama's Budget Disaster....
Whichever way the pendulum swings will dictate the fate of the economy.
Will America's restaurants continue to look like England, serving you tons of SALAD and SOUP and hardly any Chicken meat? When you order a steak... Will it fill up the plate or your eyeball?
More noodles than meat? or more meat than noodles in a stir fry?
All will be revealed as America and Congress do battle against the forces of evil.
Oh and this may not be Alstrynomics but I am willing to bet ALSTRY can agree with me here.
Friday = DOW 6250 (or less) or DOW 7000 or more [more]
Fun way to track the economy...Granted I don't know about the accuracy as I do not know how Gallup gets their numbers....Is indeed to log onto Gallup.com. Check out their economic indicators as well as Pres. Obama's job performance.
Anyhow... We have some good news that unfortunately doesn't by itself mean anything yet.. Because the good news we got today could fall apart in the next month/quarter...
1) Consumer Spending and Incomes UP in Jan.
2) Slowdown in Construction/Manufacturing not as bad as expected
Investors are banking on January's numbers as Flukes.... While I can't predict March clearly yet, I predict February to actually RIVAL /BEST the January numbers.
I think spending surged in February...to .8% - 1%.
Don't underestimate the magic of "Christmas Gift Cards" and "Discounts" and American's need to feel and be happy again.
Don't think we have an economic turn-a-round brewing? Tell that to Best Buy's stock price up $11 (even with today's sell-off) from its 52-week low. That is saying something! [more]
The Financial Bank that CNBC, Warren Buffet, Mutual Funds, Hedge Funds, Motley Fool, and so many others have overlooked and haven't talked about is the bank you should buy.
This bank does business primarily in the Midwest: Michigan, Illinois, Indiana, Wisconsin, Minnesota.
They also do business in Colorado, and Arizona.
This bank's common stock has fallen 10.2 percent year to date. But, before you freak out.. Consider that:
1) JP MORGAN: Fell 27.5%
2) U.S. Bankcorp: Fell 42.8%
3) Wells Fargo: Fell 59%
4) Bank of America: Fell over 70%
Can the stock price fall further? Of course this banks price can fall further. It is a recession afterall. But, this bank is unique in that it has avoided completely the Mortgage mess that other banks got themselves into. It has not been used by the Government as a JP Morgan style Bailout Bank of other abyssmal banks gone bust like Bear Sterns, Washington Mutual.
The economy has hurt the profits/revenue of this paticular bank... So we are not looking at some "Miracle Stock" here. But, we are simply looking at a bank that is absolutely with 100% confidence a surviver.
And it's a surviver carrying a pretty hefty dividend and yield. That yield is so high I expect the dividend at some point to be cut in half. Even with a 50% deduction in dividend payouts... You'll still get paid 12 cents a share at 4% yield....not too shabby?
So.... What's my new found favorite Bank Stock I think it's worth a BUY?
TCF BANK: (TCB)
Check it out and do your research before deciding to buy in. Also, wait for this to come down a lot closer to its 52-week low. [more]