EBIX has been getting lots of attention in recent months due to Gotham City's short posts and SEC investigation. However, I think during times like these it is important to take a step back and think about the possible outcomes. Fundamentally, EBIX is a high quality business with strong, recurring free cash flow and minimal capex needs. This favorable annuity-style free cash flow stream allows EBIX to return significant capital to shareholders. EBIX currently yields 3.2% and repurchased $118MM of stock since 2008 or 34% of current market cap. At today's price, EBIX trades at just 5x FCF or a 20% FCF yield. Now lets work through some math on the valuation. [more]
I have been trading stocks for two years now. I learned how to trade from playing stock games, reading blogs, and doing my own research. I am currently a UC Berkeley undergraduate studying Civil Engineering. I dedicate most of my free time to trading.
About the fund
Recently, I got the amazing opportunity to start an actively managed fund of $30000 for a fellow student. I hope to display some of the trading skills that I have developed actively managing my own account over the past two years.
About trading strategies
I mostly trade small cap stocks because they are not highly followed by trading hedge funds and analysts. This creates great opportunities for trades who know how to find opportunities. I trade mostly using support and resistance and short term fundamental fluctuations. I find that other technical indicators are too far-fetched and relative to be consistently effective.
About my blogs
I will be following the trading account on this blog, giving the trades that I make and my take on the market. Feel free to ask questions and comment. [more]
Dear Motley Fool Community, [more]
Every single bank rally in the past 2 years has failed, leading to lower lows in the next months. Each bank rally has some reason for the rally. The bank rallies early last year came from a capitulation day and buying after bad news had been released, such as the bear sterns capitulation and March 2008 rally. More recently, there have been a number of bank rallies from government bailout plans. [more]
Alright, for those of you who read my last blog, there were some questions about specific companies and just on the industry in general. I will try to flush out these topics in this blog. You should read the previous blog before this one to get an intro into the industry. [more]