Debt clouds the line that separates wants, desires, and needs. Needs are necessary purchases such as food, clothing, shelter, medical coverage, transportation, and others. Wants involve choices about quality of goods. Discount shopping versus specialty shopping, lobster versus chicken, or a new car versus a good used car, and so on. Desires are those things that can be purchased only after all other obligations are met and only if there are surplus funds available to purchase them. Debt allows desires to become wants and wants to become needs.
Debt encourages impulse buying and overspending. The chief financial officer of a national credit card company said that consumers spend on the average of 25 to 30 percent more when they charge than if they purchase with a check or cash and that a great majority of those extra purchases are the result of impulse buying. Unrestricted debt assumption and credit cards have allowed people to buy immediately beyond the means to repay, without sacrificing needs and necessities.
Debt stifles resourcefulness. In a society that lives by the premise of “I want, what I want, when I want it,” the need to be resourceful—mending clothing, resoling shoes, and changing oil—in order to save money is no longer relevant. It is more convenient to purchase new or to charge services simply by “putting it on plastic,” and then paying for it later, regardless of interest or finance charges.
Debt eliminates family financial planning. Rather than planning for the future and allowing for a margin of errors, overruns, and changes to dictate future financial development, debt eliminates the necessity for future planning because the course for the financial future of the family will have already been set: pay the debt that has been accumulated.
Debt teaches children that the world’s method of managing money is normal. Debt causes children to have a casual regard for using credit cards, obtaining loans and mortgages, and keeping vows to pay the bills. For this reason, we have children who have graduated from college by borrowing for education expenses and living to the limit of their credit cards. They have never considered paying cash for transportation or anything else and have begun adult life with so much debt that they have to work for years just to pay for the debt accumulated during their college years.
Monday, June 19, 2006
Why debt is so dangerous
Why debt is so dangerous
* Debt presumes on the future. When people commit themselves to payments over a period of time, they are presuming that there will be no pay reductions, no loss of job, and no unexpected expenses. That is an improbable assumption (see Proverbs 27:1).
* Debt lowers future standards of living. Money that is borrowed today must be repaid over time along with interest, which means that those things purchased with credit will cost more “tomorrow” than they did today. Therefore, the standard of living will have to be adjusted to compensate for the added expense.
* Debt focuses on façade decisions rather than real-life decisions. Debt encourages people to make decisions based on whether they can afford a monthly payment, rather than on whether they can afford the total cost (purchase price, operational expenses, and finance charges) of the item. Debt makes it too easy to say yes to low monthly payments while ignoring the real cost of items.
* Debt leaves people at the mercy of the power of compound interest. If consumers pay the minimum monthly payment on a $1,000 debt at 19.8 percent rate of interest and never charge anything else on that account, it will take eight (8) years to pay back the $1,000 and they will pay $2,023 for the privilege of charging $1,000. In some cases, items charged on nationally accepted bank credit cards can cost upwards to eight times the original purchase price of the item by the time the bill is paid off.
* Debt presumes on the future. When people commit themselves to payments over a period of time, they are presuming that there will be no pay reductions, no loss of job, and no unexpected expenses. That is an improbable assumption (see Proverbs 27:1).
* Debt lowers future standards of living. Money that is borrowed today must be repaid over time along with interest, which means that those things purchased with credit will cost more “tomorrow” than they did today. Therefore, the standard of living will have to be adjusted to compensate for the added expense.
* Debt focuses on façade decisions rather than real-life decisions. Debt encourages people to make decisions based on whether they can afford a monthly payment, rather than on whether they can afford the total cost (purchase price, operational expenses, and finance charges) of the item. Debt makes it too easy to say yes to low monthly payments while ignoring the real cost of items.
* Debt leaves people at the mercy of the power of compound interest. If consumers pay the minimum monthly payment on a $1,000 debt at 19.8 percent rate of interest and never charge anything else on that account, it will take eight (8) years to pay back the $1,000 and they will pay $2,023 for the privilege of charging $1,000. In some cases, items charged on nationally accepted bank credit cards can cost upwards to eight times the original purchase price of the item by the time the bill is paid off.
Thursday, June 15, 2006
Making ETFs work for you
Making ETFs work for you by investing in what you want. Take todays market for example, a lot of people are very hesitant an d don't know what to invest in. Well, this is where ETFs can really step into your portfolio, by a little extra protection since they are one diversified, two they are funds not just one individual stock, and thirdly you can really specialize in certain sectors and areas that may be volatile in individual stocks.
Here are some real ways that ETFs can be inserted into your portfolios and making them whatever you want:
Maybe your want something international, maybe try looking into iShares MSCI GERMANY (AMEX:EWG) or iShares TR FTSE INDX (NYSE:FXI)
Say you want income from Dividends, a great looking ETF for this is iShares Down Jones Select Dividend Index (DVY), and Vanguard's REIT VIPER (VNQ).
Maybe you want to protect yourself from inflation, maybe try iShares Goldman Sachs Natural Resources Index (IGE) and iShares Lehman TIPS Bond (TIP).
Along with these roles ETFs can also, play that filler in your portfolio. Let's just say you fell that you have just about everything that you wanted covered in your complete portfolio, but your have a lot of one area, but you just want to cover everything. Well, ETF could be a great play in this factor. So make the EFTs that filler for you to completely diversified to your likes. Even if you like investing in individual stocks, ETFs may be able to play a role in your portfolio. Say if you have a lot of the large cap stocks covered, why not fill that gap with a small cap ETF to fully fill that portfolio. Just one more way of making ETFs work for you!
Here are some real ways that ETFs can be inserted into your portfolios and making them whatever you want:
Maybe your want something international, maybe try looking into iShares MSCI GERMANY (AMEX:EWG) or iShares TR FTSE INDX (NYSE:FXI)
Say you want income from Dividends, a great looking ETF for this is iShares Down Jones Select Dividend Index (DVY), and Vanguard's REIT VIPER (VNQ).
Maybe you want to protect yourself from inflation, maybe try iShares Goldman Sachs Natural Resources Index (IGE) and iShares Lehman TIPS Bond (TIP).
Along with these roles ETFs can also, play that filler in your portfolio. Let's just say you fell that you have just about everything that you wanted covered in your complete portfolio, but your have a lot of one area, but you just want to cover everything. Well, ETF could be a great play in this factor. So make the EFTs that filler for you to completely diversified to your likes. Even if you like investing in individual stocks, ETFs may be able to play a role in your portfolio. Say if you have a lot of the large cap stocks covered, why not fill that gap with a small cap ETF to fully fill that portfolio. Just one more way of making ETFs work for you!
Make ETFs win for you
Make ETFs win for your portfolio. Here is the first one we would suggest in making ETF trading work for you and your portfolio. We suggest that you would target a well researched sector of that you know through your research that is going to be a winner and why not diversify with throwing in an ETF of your portfolio.
The good things about an ETF is that your getting what you want through customized but still a good mix of a sector of your choice. Along with this, we fell that ETFs are winners for all. It does not matter if your a still working, newly retired, or just about to retire. ETFs can still work for all of those people. The great things about ETFs still is that they target and play different investing styles. Still not convinced, check it out for your self at iShares website (http://www.ishares.com) this should help you in creating that customized mix we are talking about.
The good things about an ETF is that your getting what you want through customized but still a good mix of a sector of your choice. Along with this, we fell that ETFs are winners for all. It does not matter if your a still working, newly retired, or just about to retire. ETFs can still work for all of those people. The great things about ETFs still is that they target and play different investing styles. Still not convinced, check it out for your self at iShares website (http://www.ishares.com) this should help you in creating that customized mix we are talking about.
Make ETFs work for you
One more role ETFs can play is in the tax loss area. ETFs can help you do some fast, quick, easy moves to and a little easier on the taxes. Here is one example say you feel that Ebay is a strong solid stock with great long-term potential. Say your sitting currently on a loss as of right now, but you still really like the stock. So, this is what could do to make it look more attractive on paper. So, say you sell your stock at a loss just for the tax write-off, but in return you still really want the stock of Ebay. So you think or don't want to miss out on anything from Ebay, but remember the rule of the IRS 31 days "wash sale". This is where the role and great way of playing ETFs.
Here is the plan:
You currently own a bio tech at a loss, so you sell the stock for tax purpos only, turn around or even the same day you could purchase a bio ETF with that same stock that you were or had owned, wait 31 days...sell the ETF...buy back the stock.
Here is the plan:
You currently own a bio tech at a loss, so you sell the stock for tax purpos only, turn around or even the same day you could purchase a bio ETF with that same stock that you were or had owned, wait 31 days...sell the ETF...buy back the stock.
Tuesday, June 13, 2006
Stock Options can be the safe way to play
Sometimes some of the safest plays can be stock options. That's right, this could be a safe insurance to know for sure what your getting and your bidding on whatever price you think the stock will be in the future!
We personally like some stock options currently in some for the short and others for the long term.
Check and research some of the these stock options!
Parallel Petroleum Corporation (NasdaqNM:PLLL) engages in the acquisition, development, and exploitation of oil and natural gas reserves in Texas and New Mexico. It produces and sells oil and natural gas. The July calls on 20 are looking sort of interesting with high volume sort of pushing them as well. This would be a good one to be looking at.
Nokia (NYSE:NOK - News) had plenty of put buying relative to call buying. The July 20 puts is one that is striking to us. Maybe it's worth some of your own research to look into this one.
PORTALPLAYER INC (NasdaqNM:PLAY) this is one that a lot of looking at for the 10 calls for this month. It's interesting and will be interesting to see where or what this plays out (with no pun intended)!
Carnival (NYSE:CCL - News) also had plenty of put buying relative to call buying. The stock closed at 36.41 and the July 37 1/2 puts (CCL SU) closed at 1.90 - 2.00.
We personally like some stock options currently in some for the short and others for the long term.
Check and research some of the these stock options!
Parallel Petroleum Corporation (NasdaqNM:PLLL) engages in the acquisition, development, and exploitation of oil and natural gas reserves in Texas and New Mexico. It produces and sells oil and natural gas. The July calls on 20 are looking sort of interesting with high volume sort of pushing them as well. This would be a good one to be looking at.
Nokia (NYSE:NOK - News) had plenty of put buying relative to call buying. The July 20 puts is one that is striking to us. Maybe it's worth some of your own research to look into this one.
PORTALPLAYER INC (NasdaqNM:PLAY) this is one that a lot of looking at for the 10 calls for this month. It's interesting and will be interesting to see where or what this plays out (with no pun intended)!
Carnival (NYSE:CCL - News) also had plenty of put buying relative to call buying. The stock closed at 36.41 and the July 37 1/2 puts (CCL SU) closed at 1.90 - 2.00.
Why ETFs could be the way to go
ETF's look like the smart and safe way to go in rough markets. Why, because they are like traditional index funds, but only better while giving you the same diversiftication without the large broker fees and paying those taxes. Well, let's just stay it does not take a today's market to stir up the ETF being the next smartest, coolest thing to come along since, well the index funds! Just to paint the full picture for you. Check these numbers out...ETFs have exploded from 30 different ETFs with $34 billion in assests just six years ago, where as today there are over 200 ETF to pick from and a booming more then $300 Billion assests! If that's not telling you something, wake up and hear the wall street bell because it should be telling you something. ETF can be found in just about every sector, subsector, entertainment, gold, and even forex exchange such as the euro! So maybe some of you are convinced but maybe just convinced that ETF is a new hyped investment that a lot of people are jumping on the band wagon. Well, we are not here to debate that issue. Instead we would like to start a serious of how ETFs might be able to added in your portfolio, in return making your investing strategy that much strong in the long term that is.
Sunday, June 11, 2006
More signals and charts part two
Here are some tips, suggestions, and flags to be looking for in charts. We all know that signals and charts are very important to be looking at in research for stocks that you own or looking to buy. Rather it's a long term position or short term position there are times to be checking and seeing if it's time to let go and give into cash. Here are some things to be looking for in stocks that you should be letting go.
Volume is must to be looking, charting, and watching our for high volume selling. This is a quick yellow flag that shows people are selling the stock at high volume and mostly for a reason. Make sure you watching the trend lines of it's moving average, this is a must to keep your eye on these trend lines. Remember your out to make money not lose money. So lastly, be looking at your stocks high prices in the previous weeks to months and if you see stock getting above this it might be a good signal to take your gains and let go!
Remember the most important of all is to be doing your research, follow your rules, and enjoy trading.
Volume is must to be looking, charting, and watching our for high volume selling. This is a quick yellow flag that shows people are selling the stock at high volume and mostly for a reason. Make sure you watching the trend lines of it's moving average, this is a must to keep your eye on these trend lines. Remember your out to make money not lose money. So lastly, be looking at your stocks high prices in the previous weeks to months and if you see stock getting above this it might be a good signal to take your gains and let go!
Remember the most important of all is to be doing your research, follow your rules, and enjoy trading.
Signals and Charts
Signals and Charts to watching for.
Here are some tips, suggestions, and flags to be looking for in charts. We all know that signals and charts are very important to be looking at in research for stocks that you own or looking to buy. Rather it's a long term position or short term position there are times to be checking and seeing if it's time to let go and give into cash. Here are some things to be looking for in stocks that you should be letting go.
Always, always, always check out the volume of your of the stock. If the volume of the stock is low, but the stock is having new highs this is a good signal or at least a yellow flag to be looking and maybe looking to let go. Trends are to be followed, example if you have rode a stock for several months or maybe years and now it seems to be suddenly changing...well that change can be a fast downhill slide. Also, you need to be looking at the stock if it's closing at or close to the stocks low of the day, this could be a vulnerable time and a signal to sell. Lastly, if it's dropping and it's dropping fast don't keep telling yourself it's going to get better, because sooner then later it's going to get worse!
Here are some tips, suggestions, and flags to be looking for in charts. We all know that signals and charts are very important to be looking at in research for stocks that you own or looking to buy. Rather it's a long term position or short term position there are times to be checking and seeing if it's time to let go and give into cash. Here are some things to be looking for in stocks that you should be letting go.
Always, always, always check out the volume of your of the stock. If the volume of the stock is low, but the stock is having new highs this is a good signal or at least a yellow flag to be looking and maybe looking to let go. Trends are to be followed, example if you have rode a stock for several months or maybe years and now it seems to be suddenly changing...well that change can be a fast downhill slide. Also, you need to be looking at the stock if it's closing at or close to the stocks low of the day, this could be a vulnerable time and a signal to sell. Lastly, if it's dropping and it's dropping fast don't keep telling yourself it's going to get better, because sooner then later it's going to get worse!
Don't and Do for a market like this!
So the market is going who knows where. Well, I am sure some know where, and others have there thoughts. But, the most important is that you should know where your money is going and do your own hard nose research. With all that said and done with the market looking the way it is the past several weeks. Here are some small stocks tips to be looking for next and hopefully saving you a lot of money in the long term outlook of the stock market.
When the market is like it has been. Here are some major do's and don'ts!
Don't:
don't be afraid to cut your losses short!
don't let your emotions play!
don't be a pig and always want more!
Do:
do set stop losses
do set sell and lose rules
do follow disciplines rules
When the market is like it has been. Here are some major do's and don'ts!
Don't:
don't be afraid to cut your losses short!
don't let your emotions play!
don't be a pig and always want more!
Do:
do set stop losses
do set sell and lose rules
do follow disciplines rules
Monday, June 05, 2006
stay away stocks!
Here are two stocks that I think I would be staying pretty far away from as of right now!
Empire Resources Inc. (ERS)
Mannatech Inc. (MTEX)
Empire Resources Inc. (ERS)
Mannatech Inc. (MTEX)
Buffalo Wild Wings (BWLD)
Buffalo Wild Wings (BWLD)
Check out this top % gainer on the NASDAQ and a while ago seen this one Buffalo Wild Wings (BWLD). This might be worth taking a little more look and research into this one. I do love the place myself!
Buffalo Wild Wings is a new hot in more ways then one restaurant, and they may be opening soon to a city near you. This is one the best restaurants that I keep seeing and popping up everywhere.
"...engages in the ownership, operation, and franchising of restaurants in the United States. The company’s restaurants serve various food items, as well as domestic and imported beers, wines, and liquor. As of December 25, 2005, it operated 122 company-owned restaurants and 248 franchised restaurants."
BWLD announced 1st quarter 2006 results. Your going to have to check out the total revenue, which increased 26.5% to $64.3 million for the quarter ended March 26, 2006, from $50.8 million in the same quarter last year. Also look at these sales growth for the quarter was 7.7% at company-owned stores and 6.7% at franchised restaurants. Net earnings grew 43% to $3.52 million from $2.45 million during the same period last year. Earnings per diluted share also grew 43% to $.40/share from $.28/share in the same quarter in 2005. These were very strong results imho.
Still not completely convinced okay. Well, check out the what morningstar.com says by taking a look at the "5-Yr Restated" financials on BWLD, we can see the steady revenue growth from $74.6 million in 2001 to $171.0 million in 2004 and $209.7 million in 2005.
Reported earnings start in 2004 with $.84/share, increasing to $1.02/share in 2005. There has been a slight increas in shares from 8 million outstanding in 2004 to 9 million in the trailing twelve months.
Free cash flow has been a bit erratic with $7 million in 2003, a negative $(2) million in 2004,and $3 milllion in 2005.
The balance sheet looks solid with $52.4 milllion in cash, enough to pay off the combined $20.2 million in current liabilities and the $16.1 million in long-term liabilities combined. Calculating the current ratio, with $8.7 million in other current assets added to the cash gives us $61.1 million in total current assets, which, when balanced against the $20.2 million in current liabilities yields a current ratio of 3.02. Recall that ratios of 1.5 or higher are considered "healthy".
Reviewing the Yahoo "Key Statistics" on Buffalo Wild Wings, we find that this is a small-cap stock with a market capitalization of only $336.86 million.
The trailing p/e is a moderate 34.61; however, the forward p/e (fye 25-Dec-07) is more reasonable 22.29. With the rapid growth estimated (5 yr expected), we have a PEG on this stock of 1.02.
Referring to the Fidelity.com eresearch website, we can see that BWLD is in the "Restaurants" industrial group. By the Price/Sales ratio, BWLD is moderately priced with McDonald's (MCD) topping this list with a ratio of 2. This is followed by BWLD at 1.5, Applebee's (APPB) at 1.3, Darden (DRI) at 1, Brinker Intl (EAT) at 0.8, and OSI Restaurant Partners (OSI) at 0.8.
Comparing profitability numbers, by comparing the return on equity (ROE) figures, we find that BWLD is actually the least profitable with a ROE of 10.4%. Leading the list is Darden (DRI) at 26.2%, Applebee's (APPB) at 21.1%, Brinker (EAT) at 18.2%, McDonald's (MCD) at 16.9% and OSI Restaurant Partners (OSI) at 11.1%.
Finishing up the Yahoo statistics, we find that there are only 8.54 million shares outstanding with only 6.88 million of them that float. Of these shares, 1.32 million are out short, representing 17.90% of the float as of 4/10/06, or 11.1 trading days of volume (the short ratio). This is significant imho and may result in a 'squeeze' of the short-sellers if the company continues to report good news.
Check out this top % gainer on the NASDAQ and a while ago seen this one Buffalo Wild Wings (BWLD). This might be worth taking a little more look and research into this one. I do love the place myself!
Buffalo Wild Wings is a new hot in more ways then one restaurant, and they may be opening soon to a city near you. This is one the best restaurants that I keep seeing and popping up everywhere.
"...engages in the ownership, operation, and franchising of restaurants in the United States. The company’s restaurants serve various food items, as well as domestic and imported beers, wines, and liquor. As of December 25, 2005, it operated 122 company-owned restaurants and 248 franchised restaurants."
BWLD announced 1st quarter 2006 results. Your going to have to check out the total revenue, which increased 26.5% to $64.3 million for the quarter ended March 26, 2006, from $50.8 million in the same quarter last year. Also look at these sales growth for the quarter was 7.7% at company-owned stores and 6.7% at franchised restaurants. Net earnings grew 43% to $3.52 million from $2.45 million during the same period last year. Earnings per diluted share also grew 43% to $.40/share from $.28/share in the same quarter in 2005. These were very strong results imho.
Still not completely convinced okay. Well, check out the what morningstar.com says by taking a look at the "5-Yr Restated" financials on BWLD, we can see the steady revenue growth from $74.6 million in 2001 to $171.0 million in 2004 and $209.7 million in 2005.
Reported earnings start in 2004 with $.84/share, increasing to $1.02/share in 2005. There has been a slight increas in shares from 8 million outstanding in 2004 to 9 million in the trailing twelve months.
Free cash flow has been a bit erratic with $7 million in 2003, a negative $(2) million in 2004,and $3 milllion in 2005.
The balance sheet looks solid with $52.4 milllion in cash, enough to pay off the combined $20.2 million in current liabilities and the $16.1 million in long-term liabilities combined. Calculating the current ratio, with $8.7 million in other current assets added to the cash gives us $61.1 million in total current assets, which, when balanced against the $20.2 million in current liabilities yields a current ratio of 3.02. Recall that ratios of 1.5 or higher are considered "healthy".
Reviewing the Yahoo "Key Statistics" on Buffalo Wild Wings, we find that this is a small-cap stock with a market capitalization of only $336.86 million.
The trailing p/e is a moderate 34.61; however, the forward p/e (fye 25-Dec-07) is more reasonable 22.29. With the rapid growth estimated (5 yr expected), we have a PEG on this stock of 1.02.
Referring to the Fidelity.com eresearch website, we can see that BWLD is in the "Restaurants" industrial group. By the Price/Sales ratio, BWLD is moderately priced with McDonald's (MCD) topping this list with a ratio of 2. This is followed by BWLD at 1.5, Applebee's (APPB) at 1.3, Darden (DRI) at 1, Brinker Intl (EAT) at 0.8, and OSI Restaurant Partners (OSI) at 0.8.
Comparing profitability numbers, by comparing the return on equity (ROE) figures, we find that BWLD is actually the least profitable with a ROE of 10.4%. Leading the list is Darden (DRI) at 26.2%, Applebee's (APPB) at 21.1%, Brinker (EAT) at 18.2%, McDonald's (MCD) at 16.9% and OSI Restaurant Partners (OSI) at 11.1%.
Finishing up the Yahoo statistics, we find that there are only 8.54 million shares outstanding with only 6.88 million of them that float. Of these shares, 1.32 million are out short, representing 17.90% of the float as of 4/10/06, or 11.1 trading days of volume (the short ratio). This is significant imho and may result in a 'squeeze' of the short-sellers if the company continues to report good news.
Hansen Natural Corporation
(HANS) Hansen Natural Corporation, through its subsidiaries, engages in the development, marketing, sale, and distribution of beverages in the United States and Canada. It offers natural sodas, fruit juices, energy drinks and energy sports drinks, fruit juice smoothies sparkling lemonades and orangeades, noncarbonated ready-to-drink iced teas, seltzer waters, lemonades, juice cocktails, children's multivitamin juice drinks, and noncarbonated lightly flavored energy waters. The company also provides vitamin and mineral drink mixes in powdered form. It sells its products primarily under the brand names, including Hansen's’, ‘Blue Sky’, and ‘Junior Juice’ to retail and specialty chains, club stores, mass merchandisers, full service distributors, and health food distributors. Hansen Natural Corporation was founded in 1985 and is based in Corona, California.
Hi-Shear Technology Corp. (HSR) engages in the design and manufacture of pyrotechnic, mechanical, and electronic products for the aerospace industry primarily in the United States. Its products include cartridges, cutters, pin pullers, and separation nuts and bolts that are used in the functioning of satellites and the vehicles that launch them into space. In addition, the company designs and manufactures electronic fire systems that control and sequentially fire the pyrotechnic devices according to preprogrammed parameters. Its products are used in missiles, launch vehicles, weapon systems, fighter aircraft ejection seats, and other applications. The company’s customers primarily include military, satellite manufacturers, launch vehicle assemblers, the U.S. Government departments and agencies, and foreign space agencies. Hi-Shear Technology was founded in 1950 and is based in Torrance, California.
Basic Energy Services, Inc. (BAS) provides well site services to oil and gas drilling and producing companies in Texas, Louisiana, Oklahoma, New Mexico, and the Rocky Mountain States. It operates in four segments: Well Servicing, Fluid Services, Drilling and Completion Services, and Well Site Construction Services. The Well Servicing segment operates a fleet of 323 well servicing rigs and related equipment. It offers services, such as the installation and removal of downhole equipment, and elimination of obstructions in the well bore to facilitate the flow of oil and gas. The Fluid Services segment provides oilfield fluid supply, transportation, and storage services. It offers services, such as transportation of fluids used in drilling and workover operations; sale and transportation of fresh and brine water used in drilling and workover activities; rental of portable frac tanks and test tanks used to store fluids on well sites; and operation of nonhazardous wastewater disposal wells. This segment provides these services by utilizing a fleet of 475 fluid services trucks and related assets. The Drilling and Completion Services segment provides pressure pumping services, such as cementing, coiled tubing, and pressure testing; cased-hole wireline services; and underbalanced drilling in low pressure and fluid sensitive reservoirs. It offers these services through operating a fleet of 56 pressure pumping units, 25 air compressor packages, and 12 cased-hole wireline units. The Well Site Construction Services segment provides services for the construction and maintenance of oil and gas production infrastructure, such as preparing and maintaining access roads and well locations; installing small diameter gathering lines and pipelines; and constructing temporary foundations to support drilling rigs. It offers these services by utilizing a fleet of 200 operated power units. Basic Energy Services was founded in 1992 and is headquartered in Midland, Texas.
Glamis Gold Ltd. (GLG) engages in exploration, mine development, and the mining and extraction of precious metals in the United States, Honduras, Mexico, and Guatemala. It produces gold from El Sauzal Mine in Mexico, Marigold Mine in Nevada, San Martin Mine in Honduras. The company operates Rand Mine in California for gold; and Marlin Mine in Guatemala for gold and silver. It also holds a 100% interest in the Cerro Blanco Project in Guatemala; and a property located in Imperial County, California. As of December 31, 2005, the company’s proven and probable reserves include 102,428 thousand tones of gold and 32,257 thousand tones of silver. Glamis Gold, formerly known as Renniks Resources, Ltd., was incorporated in 1972 and is based in Reno, Nevada.
Hi-Shear Technology Corp. (HSR) engages in the design and manufacture of pyrotechnic, mechanical, and electronic products for the aerospace industry primarily in the United States. Its products include cartridges, cutters, pin pullers, and separation nuts and bolts that are used in the functioning of satellites and the vehicles that launch them into space. In addition, the company designs and manufactures electronic fire systems that control and sequentially fire the pyrotechnic devices according to preprogrammed parameters. Its products are used in missiles, launch vehicles, weapon systems, fighter aircraft ejection seats, and other applications. The company’s customers primarily include military, satellite manufacturers, launch vehicle assemblers, the U.S. Government departments and agencies, and foreign space agencies. Hi-Shear Technology was founded in 1950 and is based in Torrance, California.
Basic Energy Services, Inc. (BAS) provides well site services to oil and gas drilling and producing companies in Texas, Louisiana, Oklahoma, New Mexico, and the Rocky Mountain States. It operates in four segments: Well Servicing, Fluid Services, Drilling and Completion Services, and Well Site Construction Services. The Well Servicing segment operates a fleet of 323 well servicing rigs and related equipment. It offers services, such as the installation and removal of downhole equipment, and elimination of obstructions in the well bore to facilitate the flow of oil and gas. The Fluid Services segment provides oilfield fluid supply, transportation, and storage services. It offers services, such as transportation of fluids used in drilling and workover operations; sale and transportation of fresh and brine water used in drilling and workover activities; rental of portable frac tanks and test tanks used to store fluids on well sites; and operation of nonhazardous wastewater disposal wells. This segment provides these services by utilizing a fleet of 475 fluid services trucks and related assets. The Drilling and Completion Services segment provides pressure pumping services, such as cementing, coiled tubing, and pressure testing; cased-hole wireline services; and underbalanced drilling in low pressure and fluid sensitive reservoirs. It offers these services through operating a fleet of 56 pressure pumping units, 25 air compressor packages, and 12 cased-hole wireline units. The Well Site Construction Services segment provides services for the construction and maintenance of oil and gas production infrastructure, such as preparing and maintaining access roads and well locations; installing small diameter gathering lines and pipelines; and constructing temporary foundations to support drilling rigs. It offers these services by utilizing a fleet of 200 operated power units. Basic Energy Services was founded in 1992 and is headquartered in Midland, Texas.
Glamis Gold Ltd. (GLG) engages in exploration, mine development, and the mining and extraction of precious metals in the United States, Honduras, Mexico, and Guatemala. It produces gold from El Sauzal Mine in Mexico, Marigold Mine in Nevada, San Martin Mine in Honduras. The company operates Rand Mine in California for gold; and Marlin Mine in Guatemala for gold and silver. It also holds a 100% interest in the Cerro Blanco Project in Guatemala; and a property located in Imperial County, California. As of December 31, 2005, the company’s proven and probable reserves include 102,428 thousand tones of gold and 32,257 thousand tones of silver. Glamis Gold, formerly known as Renniks Resources, Ltd., was incorporated in 1972 and is based in Reno, Nevada.
SPIL
SPIL is moving very close to it's 200 day average. Institutional holding is up, buyers outnumber sellers about 2 to 1, and history tells us this is a good stock to hide in during June... when our market gets a bit weird.
Increase in earnings for this year is targeted at 50% plus. FY 06 earnings are estimated at .75 @ share which if you do some conservative math gives you at least $7.50 @ share and it's currently $6.27...and that's using my "chicken little" math... you can apply whatever PE feels good. Institutional holders include Fidelity Management and Barclays Global. Best of all, 8.8% of the stock is insider held. That means not only their reputations, but their billfolds are on the line. My kinda' set up Smile
Increase in earnings for this year is targeted at 50% plus. FY 06 earnings are estimated at .75 @ share which if you do some conservative math gives you at least $7.50 @ share and it's currently $6.27...and that's using my "chicken little" math... you can apply whatever PE feels good. Institutional holders include Fidelity Management and Barclays Global. Best of all, 8.8% of the stock is insider held. That means not only their reputations, but their billfolds are on the line. My kinda' set up Smile
Friday, May 12, 2006
A Trader’s Self-Evaluation Checklist
A Trader’s Self-Evaluation Checklist
Brett N. Steenbarger, Ph.D.
What is the quality of your self-talk while trading? Is it angry and frustrated; negative and defeated? How much of your self-talk is market strategy focused, and how much is self-focused? Is your self-talk constructive, and would you want others to be talking with you that way while you’re trading?
What work do you do on yourself and your trading while the market is closed? Do you actively identify what you’re doing right and wrong in your trading each day—with specific steps to address both—or does your trading business lack quality control? Markets are ever changing; how are you changing with them?
How would your trading profit/loss profile change if you eliminated a few days where you lacked proper risk control? Do you have and strictly follow risk management parameters?
Does the size of your positions reflect the opportunity you see in the market, or do you fail to capitalize on opportunity or try to create opportunities when they’re not there?
Are trading losses often followed by further trading losses? Do you end up losing money in “revenge trading” just to regain money lost? Do you finish trading prematurely when you’re up money, failing to exploit a good day?
Do you cut winning trades short because, deep inside, you don’t think you’ll be able to make large profits? Do you become stubborn in positions, turning small losers into large ones?
Is trading making you happy, proud, fulfilled, and content, or does it more often leave you feeling unhappy, guilty, frustrated, and dissatisfied? Are you having fun trading even when it’s hard work?
Are you making trades because the market is giving you opportunity, or are you placing trades to fulfill needs—for excitement, self-esteem, recognition, etc.—that are not being met in the rest of your life?
Are you seeking trading success as a part-time trader? Would you be seeking success as a surgeon, professional basketball player, or musician by pursuing your work part-time?
Can you identify the specific edges you possess over the many other motivated, interested traders that fail to achieve success in the markets? Do you really have an edge, and—if so—what are you doing to maintain it?
Brett N. Steenbarger, Ph.D. is Director of Trader Development for Kingstree Trading, LLC in Chicago and Clinical Associate Professor of Psychiatry and Behavioral Sciences at SUNY Upstate Medical University in Syracuse, NY. He is also an active trader and writes occasional feature articles on market psychology for a variety of publications. The author of The Psychology of Trading (Wiley; January, 2003), Dr. Steenbarger has published over 50 peer-reviewed articles and book chapters on short-term approaches to behavioral change. His new, co-edited book The Art and Science of Brief Therapy is a core curricular text in psychiatry training programs. Many of Dr. Steenbarger’s articles and trading strategies are archived on his website, www.brettsteenbarger.com
Brett N. Steenbarger, Ph.D.
What is the quality of your self-talk while trading? Is it angry and frustrated; negative and defeated? How much of your self-talk is market strategy focused, and how much is self-focused? Is your self-talk constructive, and would you want others to be talking with you that way while you’re trading?
What work do you do on yourself and your trading while the market is closed? Do you actively identify what you’re doing right and wrong in your trading each day—with specific steps to address both—or does your trading business lack quality control? Markets are ever changing; how are you changing with them?
How would your trading profit/loss profile change if you eliminated a few days where you lacked proper risk control? Do you have and strictly follow risk management parameters?
Does the size of your positions reflect the opportunity you see in the market, or do you fail to capitalize on opportunity or try to create opportunities when they’re not there?
Are trading losses often followed by further trading losses? Do you end up losing money in “revenge trading” just to regain money lost? Do you finish trading prematurely when you’re up money, failing to exploit a good day?
Do you cut winning trades short because, deep inside, you don’t think you’ll be able to make large profits? Do you become stubborn in positions, turning small losers into large ones?
Is trading making you happy, proud, fulfilled, and content, or does it more often leave you feeling unhappy, guilty, frustrated, and dissatisfied? Are you having fun trading even when it’s hard work?
Are you making trades because the market is giving you opportunity, or are you placing trades to fulfill needs—for excitement, self-esteem, recognition, etc.—that are not being met in the rest of your life?
Are you seeking trading success as a part-time trader? Would you be seeking success as a surgeon, professional basketball player, or musician by pursuing your work part-time?
Can you identify the specific edges you possess over the many other motivated, interested traders that fail to achieve success in the markets? Do you really have an edge, and—if so—what are you doing to maintain it?
Brett N. Steenbarger, Ph.D. is Director of Trader Development for Kingstree Trading, LLC in Chicago and Clinical Associate Professor of Psychiatry and Behavioral Sciences at SUNY Upstate Medical University in Syracuse, NY. He is also an active trader and writes occasional feature articles on market psychology for a variety of publications. The author of The Psychology of Trading (Wiley; January, 2003), Dr. Steenbarger has published over 50 peer-reviewed articles and book chapters on short-term approaches to behavioral change. His new, co-edited book The Art and Science of Brief Therapy is a core curricular text in psychiatry training programs. Many of Dr. Steenbarger’s articles and trading strategies are archived on his website, www.brettsteenbarger.com
Thursday, May 11, 2006
JSDA - Jones Soda Co.
Man oh man! Sometimes you know the feeling. I should have bought this one. I can remember doing stock screens several years ago looking that this one JSDA. I also have to admit I am a big fan of the not only the niche drinks, the designs, but I love the pictures on every bottle and can! It's just a cool, great idea, and I really sort of became a fan of Jones Soda! Not to mention that they just taste flat out the best!
But, moving on into the investing world. Let's take a close look at this one. Some are saying it's to high, others are saying it's a strong buy!
JSDA did break out of the handle with a nice long volume bar on 4/28. It then traveled sideways with some uncertainties through earnings. Today signifies AMAZING strenght in the breakout and I predict JSDA to keep a VERY VERY strong uptrend in order. If any sort of good news gets released we blow past $15 in no time. Personally I would say it's a strong buy even at 10.22... I AIN'T SCARED! But like always do your own research on this one, and let us know what what you think or decide!
Another note is that JSDA is expensive. Companies that have the potential to grow exponentially are always expensive. For every one of these stocks that end up justifying the most bullish predictions, there are 4 or 5 that completely disappoint the bulls. But, speculators will pay up for the chance at a home run. Last time I looked, JSDA didn't do any bottling for themselves; they contract it out. Likewise the frozen supermarket treats. That means there are virtually NO LIMITS to JSDA as it ramps up. They have a powerful brand and image which they are leveraging in all kinds of creative ways. They have lots of cash. No debt. And most of all the people at the top of the corporation seem to really be having a GOOD TIME!!!! That is priceless.
Will JSDA defy the odds and hit a home run? Will it be the one out of five?
So long as Jsda grows revenues 20%+ and the beverage industry is considered sexy and ripe for consolidation with examples of Snapple and Sobe among others in investors' minds and Hans going parabolic, JSDA -- with successful niches, great DTR accounts, a good balance sheet and exploitable patents, will likely remain hot.
But, moving on into the investing world. Let's take a close look at this one. Some are saying it's to high, others are saying it's a strong buy!
JSDA did break out of the handle with a nice long volume bar on 4/28. It then traveled sideways with some uncertainties through earnings. Today signifies AMAZING strenght in the breakout and I predict JSDA to keep a VERY VERY strong uptrend in order. If any sort of good news gets released we blow past $15 in no time. Personally I would say it's a strong buy even at 10.22... I AIN'T SCARED! But like always do your own research on this one, and let us know what what you think or decide!
Another note is that JSDA is expensive. Companies that have the potential to grow exponentially are always expensive. For every one of these stocks that end up justifying the most bullish predictions, there are 4 or 5 that completely disappoint the bulls. But, speculators will pay up for the chance at a home run. Last time I looked, JSDA didn't do any bottling for themselves; they contract it out. Likewise the frozen supermarket treats. That means there are virtually NO LIMITS to JSDA as it ramps up. They have a powerful brand and image which they are leveraging in all kinds of creative ways. They have lots of cash. No debt. And most of all the people at the top of the corporation seem to really be having a GOOD TIME!!!! That is priceless.
Will JSDA defy the odds and hit a home run? Will it be the one out of five?
So long as Jsda grows revenues 20%+ and the beverage industry is considered sexy and ripe for consolidation with examples of Snapple and Sobe among others in investors' minds and Hans going parabolic, JSDA -- with successful niches, great DTR accounts, a good balance sheet and exploitable patents, will likely remain hot.
Saturday, May 06, 2006
C - A - N - S - L - I - M
one with 10 million shares, with all other factors equal, the smaller one will usually be the bigger mover. Stocks that have a large percentage owned by top management are generally better prospects. Again referencing O'Neil's 38 year study, more than 95% of the companies had less than 25 million shares outstanding when they had their greatest period of earnings improvement and stock price performance.
Foolish stock splits can hurt a stock's performance. Watch out for companies that split their stock 2 or 3 times in just a year or two. The splitting creates a larger supply and may make a company's stock performance more lethargic, like many "big cap" companies. Large holders who thinking of selling are often inclined to sell their 100,000 share positions before a 3-for-1 split would have them looking to sell 300,000. Smart short sellers (an infinitesimal group) pick on stocks beginning to falter after enormous price runups and splits, realizing that the potential number of shares for sale (particularly by funds) has dramatically been increased.
C - A - N - S - L - I - M
L = Leader
People often buy stocks they're comfortable and familiar with, like an old pair of shoes. Usually these are draggy slow-pokes rather than leaping leaders. It is really important to look at how your stock is performing in relation to the overall market. The 500 best performing stocks from 1953 to 1990 averaged a relative price strength of 87 (scale of 1-99) just before they began their major advances in price. Avoid laggard stocks and look for genuine leaders.
C - A - N - S - L - I - M
I = Institutional Sponsorship
It takes big demand to move a stock significantly higher in price. Institutional buyers are the most powerful source. You don't need a large number of institutional owners, but should have at least a few. No institutional sponsorship in a stock is a bad sign because odds are that many institutional investors looked at the stock and passed it over. The things we are looking for with C-A-N-S-L-I-M are really signs that the bigger money (mutual funds, banks, insurance companies, pension funds, etc.) is coming into the stock. See that there is a better-than-average performance record by at least a few of the institutional owners.
Another good thing about some institutional sponsorship is that it provides buying support for the stock. Beware of stocks that become "overowned". By the time performance is so obvious that almost all institutions own it, it is probably too late. Pay attention to whether the number of institutional owners is increasing or decreasing.
C - A - N - S - L - I - M
M = Market Direction
You can be right on everything else, but if you are wrong about the direction of the broad market you are still likely to lose money. The best way to analyze the overall market is to follow and understand every day what the general averages are doing. The difficult to recognize, but meaningful changes in the behavior of the market averages at important turning points is the best indicator of the condition of the whole market.
What signs should you look for to detect a market top? On one of the days in the uptrend, the total volume for the market will increase over the preceding day's high volume, but the Dow's closing average will show stalling action, or substantially less upward movement, than on prior days.
The spread between the daily high and low of the market index will likely be a bit larger than on the earlier days. Normal market liquidation near the market peak will only occur on one or two days, which are part of the uptrend. The market comes under distribution while it is advancing! This is one of the reasons so few people know how to recognize distribution (selling).
Immediately following the first selling near the top, a vacuum exists where volume may subside and the market averages will sell off for four days or so. The second, and probably the last early chance to recognize a top reversal is when the market attempts it's first rally, which it will always do after a number of days down from it's highest point. If this first attempt to bounce back follows through on the third, fourth, or fifth rally day either on decreased volume from the day before, or if the market average recovers less than half of the initial drop from it's former peak to the low, the comeback is feeble and sputtering when it should be getting strong. Frequently the first attempt at a rally during the beginning of a downtrend will fail abruptly. Possibly after a one day resurgence, the second day will open up strong, only to sell off toward the end of the day and suddenly close down.
After an advance in stocks for a couple of years, the majority of the original price leaders will top, and you can be fairly sure the overall market is going to get into trouble. It is very important to pay attention to the way the leading stocks are acting.
C - A - N - S - L - I - M
Foolish stock splits can hurt a stock's performance. Watch out for companies that split their stock 2 or 3 times in just a year or two. The splitting creates a larger supply and may make a company's stock performance more lethargic, like many "big cap" companies. Large holders who thinking of selling are often inclined to sell their 100,000 share positions before a 3-for-1 split would have them looking to sell 300,000. Smart short sellers (an infinitesimal group) pick on stocks beginning to falter after enormous price runups and splits, realizing that the potential number of shares for sale (particularly by funds) has dramatically been increased.
C - A - N - S - L - I - M
L = Leader
People often buy stocks they're comfortable and familiar with, like an old pair of shoes. Usually these are draggy slow-pokes rather than leaping leaders. It is really important to look at how your stock is performing in relation to the overall market. The 500 best performing stocks from 1953 to 1990 averaged a relative price strength of 87 (scale of 1-99) just before they began their major advances in price. Avoid laggard stocks and look for genuine leaders.
C - A - N - S - L - I - M
I = Institutional Sponsorship
It takes big demand to move a stock significantly higher in price. Institutional buyers are the most powerful source. You don't need a large number of institutional owners, but should have at least a few. No institutional sponsorship in a stock is a bad sign because odds are that many institutional investors looked at the stock and passed it over. The things we are looking for with C-A-N-S-L-I-M are really signs that the bigger money (mutual funds, banks, insurance companies, pension funds, etc.) is coming into the stock. See that there is a better-than-average performance record by at least a few of the institutional owners.
Another good thing about some institutional sponsorship is that it provides buying support for the stock. Beware of stocks that become "overowned". By the time performance is so obvious that almost all institutions own it, it is probably too late. Pay attention to whether the number of institutional owners is increasing or decreasing.
C - A - N - S - L - I - M
M = Market Direction
You can be right on everything else, but if you are wrong about the direction of the broad market you are still likely to lose money. The best way to analyze the overall market is to follow and understand every day what the general averages are doing. The difficult to recognize, but meaningful changes in the behavior of the market averages at important turning points is the best indicator of the condition of the whole market.
What signs should you look for to detect a market top? On one of the days in the uptrend, the total volume for the market will increase over the preceding day's high volume, but the Dow's closing average will show stalling action, or substantially less upward movement, than on prior days.
The spread between the daily high and low of the market index will likely be a bit larger than on the earlier days. Normal market liquidation near the market peak will only occur on one or two days, which are part of the uptrend. The market comes under distribution while it is advancing! This is one of the reasons so few people know how to recognize distribution (selling).
Immediately following the first selling near the top, a vacuum exists where volume may subside and the market averages will sell off for four days or so. The second, and probably the last early chance to recognize a top reversal is when the market attempts it's first rally, which it will always do after a number of days down from it's highest point. If this first attempt to bounce back follows through on the third, fourth, or fifth rally day either on decreased volume from the day before, or if the market average recovers less than half of the initial drop from it's former peak to the low, the comeback is feeble and sputtering when it should be getting strong. Frequently the first attempt at a rally during the beginning of a downtrend will fail abruptly. Possibly after a one day resurgence, the second day will open up strong, only to sell off toward the end of the day and suddenly close down.
After an advance in stocks for a couple of years, the majority of the original price leaders will top, and you can be fairly sure the overall market is going to get into trouble. It is very important to pay attention to the way the leading stocks are acting.
C - A - N - S - L - I - M
Thursday, May 04, 2006
Did you know about your 401K?
Roth 401K accounts are going to be available as of 2006. The limits as to what you can deposit into a 401K are much higher than what you can put into an IRA; I think the limit this year was $4500 for an IRA and something like $12,500 for a 401K. The deposit limits for a Roth 401K for 2006 will be $15,000. So you would have to earn enough to max it out, but imagine putting $15,000 per year into an account that can grow tax free until retirement.
Even if you're just able to put in $10,000 a year into a 401K making just 5%, in twenty years you would have $330,660 to withdraw tax free. $200,000 of that is deposits, the remainder is earned interest, so you got $130,660 in returns tax free. That's at 5%. If you increase that to 10% the numbers jump to $572,750. And that is interest paid yearly. If you deposit $1,000 per month ($12,000 per year) and earn 10% interest compounded monthly the number grows to $759,368.84. Shocked Even at 5% compounded monthly with $1,000 monthly deposits and 5% return you would have $411,033.67 after 20 years.
A Roth IRA limited to $5,000 per year deposits in twenty years at 10% annually is worth $286,375. A Roth 401K with the larger contribution limits would be very cool. Cool
Even if you're just able to put in $10,000 a year into a 401K making just 5%, in twenty years you would have $330,660 to withdraw tax free. $200,000 of that is deposits, the remainder is earned interest, so you got $130,660 in returns tax free. That's at 5%. If you increase that to 10% the numbers jump to $572,750. And that is interest paid yearly. If you deposit $1,000 per month ($12,000 per year) and earn 10% interest compounded monthly the number grows to $759,368.84. Shocked Even at 5% compounded monthly with $1,000 monthly deposits and 5% return you would have $411,033.67 after 20 years.
A Roth IRA limited to $5,000 per year deposits in twenty years at 10% annually is worth $286,375. A Roth 401K with the larger contribution limits would be very cool. Cool
Warren Buffet has his own cartoon!
That's right Warren Buffet hasa new kids series while Buffet gets animated. This new kids' series, “The Secret Millionaire’s Club,” will feature the words, voice and likeness of Warren Buffett.
Billionaire Warren Buffett, the master mind of investments through ages and through the worldwide. He is staring in a DVD series as a cartoon version of himself, dispensing advice to children ages five to 12.
The series, will feature the words, voice and likeness animations of Buffett, who is known as the investment guru investor and runs the company Berkshire Hathaway.
Check out the full story here at msnbc
Billionaire Warren Buffett, the master mind of investments through ages and through the worldwide. He is staring in a DVD series as a cartoon version of himself, dispensing advice to children ages five to 12.
The series, will feature the words, voice and likeness animations of Buffett, who is known as the investment guru investor and runs the company Berkshire Hathaway.
Check out the full story here at msnbc
Wednesday, May 03, 2006
Mark-to-Market Election
If you are a full time trader, you can make a "Mark-to-Market"
election with the IRS, which changes your accounting method. There are
benefits and drawbacks which each individual needs to determine what's
best for them and their circumstances.
With mark-to-market, you're not limited to a $3,000 capital loss each
year, all your losses can be used. This can be helpful if you have
other sources of income it could offset. There are also expense
benefits. But all income is ordinary, and you give up the long term
15% gain benefit.
Another benefit is not having to mess with keeping track of wash
sales, however, I use software that takes care of all that, and
generates a sch. D, so it's completely painless (except for the cost
of the software that is). I just import all my trades, usually weekly,
sometimes more or less often, and I can see exactly where I stand for
the year. It generates graphs of all sorts, and detail and summary
reports to help you see what you're doing right or wrong. I don't have
a lot of expenses, or losses (knock on wood), so the mark-to-market
election isn't right for me.
Save More Taxes With a Mark-to-Market Election
As a trader, you can also make the special "mark-to-market" election.
If you do, two very important tax benefits come your way.
First, you don't have to worry about the wash sale rule, which defers
the tax loss when you buy the same stock within 30 days before or
after a loss sale. If you make lots of trades, this can happen all the
time. The disallowed wash sale loss gets added to the basis of the
shares that caused the problem. In other words, with the
mark-to-market election you won't have to spend as much time on
bookkeeping as you do researching and trading stocks.
You are also exempt from the $3,000 annual limit on net capital
losses. Why? Because as a mark-to-market trader, all your trading
gains and losses are considered "ordinary," just like garden-variety
business income and expenses. If you have a biblically awful year, you
can deduct your trading losses when you would otherwise be limited to
a mere $3,000 writeoff. The tax savings should ease your pain.
Naturally, there's a price for these goodies. On the last trading day
of the year, you as a mark-to-market trader must pretend to sell your
entire trading portfolio at market and book all the resulting gains
and losses on your return. You then pretend to buy everything back at
the same price. So your stocks start off the new year with basis equal
to market value and no unrealized gains or losses.
Also, you can't take advantage of the 15% long-term capital gains rate
for stocks in your trading portfolio. However, this really isn't a
problem because you shouldn't have anything but short-timers in your
trading stable anyway.
election with the IRS, which changes your accounting method. There are
benefits and drawbacks which each individual needs to determine what's
best for them and their circumstances.
With mark-to-market, you're not limited to a $3,000 capital loss each
year, all your losses can be used. This can be helpful if you have
other sources of income it could offset. There are also expense
benefits. But all income is ordinary, and you give up the long term
15% gain benefit.
Another benefit is not having to mess with keeping track of wash
sales, however, I use software that takes care of all that, and
generates a sch. D, so it's completely painless (except for the cost
of the software that is). I just import all my trades, usually weekly,
sometimes more or less often, and I can see exactly where I stand for
the year. It generates graphs of all sorts, and detail and summary
reports to help you see what you're doing right or wrong. I don't have
a lot of expenses, or losses (knock on wood), so the mark-to-market
election isn't right for me.
Save More Taxes With a Mark-to-Market Election
As a trader, you can also make the special "mark-to-market" election.
If you do, two very important tax benefits come your way.
First, you don't have to worry about the wash sale rule, which defers
the tax loss when you buy the same stock within 30 days before or
after a loss sale. If you make lots of trades, this can happen all the
time. The disallowed wash sale loss gets added to the basis of the
shares that caused the problem. In other words, with the
mark-to-market election you won't have to spend as much time on
bookkeeping as you do researching and trading stocks.
You are also exempt from the $3,000 annual limit on net capital
losses. Why? Because as a mark-to-market trader, all your trading
gains and losses are considered "ordinary," just like garden-variety
business income and expenses. If you have a biblically awful year, you
can deduct your trading losses when you would otherwise be limited to
a mere $3,000 writeoff. The tax savings should ease your pain.
Naturally, there's a price for these goodies. On the last trading day
of the year, you as a mark-to-market trader must pretend to sell your
entire trading portfolio at market and book all the resulting gains
and losses on your return. You then pretend to buy everything back at
the same price. So your stocks start off the new year with basis equal
to market value and no unrealized gains or losses.
Also, you can't take advantage of the 15% long-term capital gains rate
for stocks in your trading portfolio. However, this really isn't a
problem because you shouldn't have anything but short-timers in your
trading stable anyway.
Tuesday, May 02, 2006
Simple as supply and demand just like economics in high school
Supply and Demand just like economics in high school
It's really not rocket sciences. Just like what you learned in High School in that basic economics class, when stocks are in demand the price usually the key word being USUALLY should be going up. The way to check the supply and demand is by simply watching the daily trading volume of the stock. The stocks raising price should be followed or coincide with volume. This which in fact should show a good buying power move for the stock. The same should go with the other end, say if the stock is less in demand or when the price falls so come the volume of the daily trading volume. It's really something to be aware of, and check in for yourself.
Key thoughts when looking at economics in high school supply and demand of a stock:
- Beware of the daily volume of the stock. We suggest that you don't even touch a stock that has less then a daily average of 500,000 volume.
- Stocks that are really moving should show a volume increase of 100% or even more in some cases.
- When a insider buying or companies buying back their stock in the open market could be a green light that this stock is a winner.
- Watch the past 50 trading days. So if a stock is trading 1,000,000 on the average, and then it starts showing a volume increase and starts trading at 1,500,000 this is a good indication this could be a green light.
One key note to really make sure and check into is. When a stock with low volume, but the stock is still going up in price, this is a yellow if not a red flag to be looking into. This means the stock is moving probably on news strictly and not really supply and demand. So the usually the winning stocks are the ones with a strong demand and then have the price increasing to follow.
It's really not rocket sciences. Just like what you learned in High School in that basic economics class, when stocks are in demand the price usually the key word being USUALLY should be going up. The way to check the supply and demand is by simply watching the daily trading volume of the stock. The stocks raising price should be followed or coincide with volume. This which in fact should show a good buying power move for the stock. The same should go with the other end, say if the stock is less in demand or when the price falls so come the volume of the daily trading volume. It's really something to be aware of, and check in for yourself.
Key thoughts when looking at economics in high school supply and demand of a stock:
- Beware of the daily volume of the stock. We suggest that you don't even touch a stock that has less then a daily average of 500,000 volume.
- Stocks that are really moving should show a volume increase of 100% or even more in some cases.
- When a insider buying or companies buying back their stock in the open market could be a green light that this stock is a winner.
- Watch the past 50 trading days. So if a stock is trading 1,000,000 on the average, and then it starts showing a volume increase and starts trading at 1,500,000 this is a good indication this could be a green light.
One key note to really make sure and check into is. When a stock with low volume, but the stock is still going up in price, this is a yellow if not a red flag to be looking into. This means the stock is moving probably on news strictly and not really supply and demand. So the usually the winning stocks are the ones with a strong demand and then have the price increasing to follow.
Monday, May 01, 2006
The weekend in review
Mircosoft news
Well, the big news is Microsoft. That's right after falling not really off the charts so to speak, but for Microsoft. It sure did fall pretty hard and fast after it's quarter results. Some are saying it's a buy, it's low, and it's a big and yours stupid if you don't buy this one at the market. Which should be opening right around 24.20 or somewhere around there. Which is a very low price for MSFT, but others are saying wait a minute rememeber this one....Gateway Inc. (GTW)! Some are saying just be aware that believe or not even Microsoft could fall pretty low. Though, with the new Xbox or xbox 360 or whatever it's called. I don't see Microsoft falling to low, but who really knows. It's up to you and what you want to invest in!
Gold
Gold sector is still the hot. You can say it's as hot as gold or something like that! This sector is still one to be investing and has shot up like no other. Don't mark our word, but everyone elses....that's right it's still on up! Part of what's driving the prices is the strong global economy -- it's partly China and now also Japan, as well as continued growth in the U.S.
Gas prices
Gas prices are still going up as well. Though, that said, there is a one single question that everyone is still wanting answers.
If the gas prices keep going up, how is that oil companies, gas companies, and etc keep making money and going up as well!
Well, the big news is Microsoft. That's right after falling not really off the charts so to speak, but for Microsoft. It sure did fall pretty hard and fast after it's quarter results. Some are saying it's a buy, it's low, and it's a big and yours stupid if you don't buy this one at the market. Which should be opening right around 24.20 or somewhere around there. Which is a very low price for MSFT, but others are saying wait a minute rememeber this one....Gateway Inc. (GTW)! Some are saying just be aware that believe or not even Microsoft could fall pretty low. Though, with the new Xbox or xbox 360 or whatever it's called. I don't see Microsoft falling to low, but who really knows. It's up to you and what you want to invest in!
Gold
Gold sector is still the hot. You can say it's as hot as gold or something like that! This sector is still one to be investing and has shot up like no other. Don't mark our word, but everyone elses....that's right it's still on up! Part of what's driving the prices is the strong global economy -- it's partly China and now also Japan, as well as continued growth in the U.S.
Gas prices
Gas prices are still going up as well. Though, that said, there is a one single question that everyone is still wanting answers.
If the gas prices keep going up, how is that oil companies, gas companies, and etc keep making money and going up as well!
Saturday, April 29, 2006
How rich are you?
Here is something sort of humbling that we think is worth checking out. Check out today where you are global on the wealth or rich list. Check it out now at Global Rich list
Thursday, April 27, 2006
Winning stocks - have to be taking steps toward the next level!
Things to be looking for that winning stocks. One key factor that you should and can be looking for that winning stock is how or what are they doing to step up to the new or next level. Is the companies that your looking into are they taking there products to the next level, are they having new services that is taking them to the next level. Or is there managament just being stuck, or are they growing and taking it to the next level.
This idea of companies that are growing and taking there products, services, management to the next level is something really to watch! Some have researched and stated that a lot of success in stocks have this key factor in a company that turns out to be a winning stock. Meaning that this company is taking it to the next level. With this in mind, you have to keep the price in mind as well. So if a company is trying something new and trying to take the company to the next level. This might mean, a new price level as well. Meaning that the old theory of buy low and sell high might not always be the best approach. Some might be missing out on the stock's biggest success in the new stocks price highs.
Keys to be looking for in a stock:
- Management is a key success in company!
- winning stocks will mark a new price high, but will continue to climb because of the growth and taking it to the next level. Along with the volume hitting new highs.
- Also keep your ears and eyes out of companies taking the next level. Or starting new products that could be taking the company to a the next level.
- Though the new products have to be solid and worth taking the chance on taking them to the next level.
* interesting note to keep in mind...when investing. Stocks on the new high tend to go higher, and those on the new lows often continue to go lower. Though, most if not everyone invests their money at the lows. We have to ask why!?!?
This idea of companies that are growing and taking there products, services, management to the next level is something really to watch! Some have researched and stated that a lot of success in stocks have this key factor in a company that turns out to be a winning stock. Meaning that this company is taking it to the next level. With this in mind, you have to keep the price in mind as well. So if a company is trying something new and trying to take the company to the next level. This might mean, a new price level as well. Meaning that the old theory of buy low and sell high might not always be the best approach. Some might be missing out on the stock's biggest success in the new stocks price highs.
Keys to be looking for in a stock:
- Management is a key success in company!
- winning stocks will mark a new price high, but will continue to climb because of the growth and taking it to the next level. Along with the volume hitting new highs.
- Also keep your ears and eyes out of companies taking the next level. Or starting new products that could be taking the company to a the next level.
- Though the new products have to be solid and worth taking the chance on taking them to the next level.
* interesting note to keep in mind...when investing. Stocks on the new high tend to go higher, and those on the new lows often continue to go lower. Though, most if not everyone invests their money at the lows. We have to ask why!?!?
Wednesday, April 26, 2006
Current Earnings Growth
Current Earnings Growth
Well, looking for that winning stock, it's important to check out the current earnings growth. The stocks you screen to purchase, this might be the single most important factor in purchasing the right stock. Though, when looking at the current earning growth. It's important to know what your looking for such as...what to compare it to, what's the increase, and the percentage of increase in current quarterly earnings per share.
What you should be looking for:
- looking at current earning growth that is three quarters that are winning or ahead
- some of these stocks with good current earning growth could have high P/E
- do research and make sure that there is a positive history
- don't look for the homerun hit, but looking for solid current earning growth...though looking for good high percentage in earnings.
Well, looking for that winning stock, it's important to check out the current earnings growth. The stocks you screen to purchase, this might be the single most important factor in purchasing the right stock. Though, when looking at the current earning growth. It's important to know what your looking for such as...what to compare it to, what's the increase, and the percentage of increase in current quarterly earnings per share.
What you should be looking for:
- looking at current earning growth that is three quarters that are winning or ahead
- some of these stocks with good current earning growth could have high P/E
- do research and make sure that there is a positive history
- don't look for the homerun hit, but looking for solid current earning growth...though looking for good high percentage in earnings.
Annual Earnings Growth
Annual Earnings Growth
This is a good signal to really take note of. If the annual earning growth is strong, then that's a good signal that the stock will be good one. But, at times it's just not that simple. There are some key fundamentals to consider. Also, quarterly earnings are a hugh thing to watch out for, but some will say that a big factor in picking is to have an good positive looking annual earning growth of the last five years.
Things to really be looking for:
- EPS growth of at least 20% to 25%
- the last three years having a increase in annual earning growth
- ROE (Return On Equity) needs to be at least 15% or some might say 17% or higher
This is a good signal to really take note of. If the annual earning growth is strong, then that's a good signal that the stock will be good one. But, at times it's just not that simple. There are some key fundamentals to consider. Also, quarterly earnings are a hugh thing to watch out for, but some will say that a big factor in picking is to have an good positive looking annual earning growth of the last five years.
Things to really be looking for:
- EPS growth of at least 20% to 25%
- the last three years having a increase in annual earning growth
- ROE (Return On Equity) needs to be at least 15% or some might say 17% or higher
Sunday, April 23, 2006
We did our own research
Last week IBD listed ten stocks that they thought and listed under $10 to be watching for. Here was the list along with there closing price as of Friday 21st:
MED MEDIFAST INC 10.14 +3.36%
TGB TASEKO MINES LTD 3.49 +6.08%
ARTG ART TECH GROUP 3.55 -0.28%
RNWK REALNETWORKS INC 10.39 -2.35%
WEL BOOTS&COOTS/INT WELL 2.40 -0.59%
LPSN LIVEPERSON INC 7.40 -2.25%
EZM EUROZINC MINING CORP 2.16 +3.35%
GEMS GLENAYRE TECHS 5.72 +0.18%
BDCO BLUE DOLPHIN ENER 7.29 +1.96%
HOM HOME SOLUTIONS OF AM 8.91 -0.22
Our research was to see if we were to invest from the opening bell of Monday the 17th. Right after this list came out during the last weekend.
The Winners or ahead of the game would be as followed:
MED opened at 9.15 Monday morning. Got as low as 8.62 during Monday, had a extremely low volume day of 49,900 on Tuesday. But, it ends up closing on friday at 10.14, though reached as high as 10.31.
RNWK opened at 9.83 but got has low as 9.81 and ended up closing on 10.07 monday (17th). Got has high as 10.96 on Friday, but then closed at 10.39 on Friday.
HOM - 8.01 8.05 7.80 7.87 Opened at 8.01 on Monday morning, got has high was 9.12 on Friday, but then closed at 8.91 on friday.
GEMS - opend Monday morning at 5.47 the high was 5.78 closing on Friday at 5.72
BDCO opened at 7.07 got has high was 8.60 on Tuesday, but after that went down as low as 6.91 and then closing on Friday at 7.29
TGB opend on Monday at 3.01 reached as high as 3.78. Closing on Tuesday at 3.59 and wednesday closed at 3.58 then finally on Friday closed at 3.49.
WEL opend at 2.21 high for the week was 2.50...closing on Friday at 2.40
EZM opened at 2.14 went up as high as 2.42 on Tuesday, closed on Tuesday was a high for the week at 2.31. Though ended the week dropping some and finally closed on Friday at 2.16
LPSN opend at 7.75 the high being 7.84 on Tuesday, and finally dropped and closed at 7.40 on Friday. The thing that we didnot like about this stock is the volume is pretty low for our fundamental investing. The 5 day volume average is only 241,000. We personally like at least 500,000 or higher.
ARTG opening at 3.80. Reached a high for the week of 3.81 on Monday, and then got as low as 3.46 and closed at 3.55 on Friday.
So the Research shows that 8 out of the 10 were gains...not always big gainers, but it's the first week or so.
The biggest gain were + .95 MED, +0.90 HOM, + 0.56 RNWK, + 0.39 TGB, +0.25 GEMS, +0.22 BDCO, + 0.19 WEL, + 0.02 EZM,
The two loses were - 0.34 ARTG, -0.35 LPSN
We found it was interested to do our own research and see how good IBD does of picking, and what we see after a week, 8 out of 10 with two gains over 90 cents that's not bad at all!
MED MEDIFAST INC 10.14 +3.36%
TGB TASEKO MINES LTD 3.49 +6.08%
ARTG ART TECH GROUP 3.55 -0.28%
RNWK REALNETWORKS INC 10.39 -2.35%
WEL BOOTS&COOTS/INT WELL 2.40 -0.59%
LPSN LIVEPERSON INC 7.40 -2.25%
EZM EUROZINC MINING CORP 2.16 +3.35%
GEMS GLENAYRE TECHS 5.72 +0.18%
BDCO BLUE DOLPHIN ENER 7.29 +1.96%
HOM HOME SOLUTIONS OF AM 8.91 -0.22
Our research was to see if we were to invest from the opening bell of Monday the 17th. Right after this list came out during the last weekend.
The Winners or ahead of the game would be as followed:
MED opened at 9.15 Monday morning. Got as low as 8.62 during Monday, had a extremely low volume day of 49,900 on Tuesday. But, it ends up closing on friday at 10.14, though reached as high as 10.31.
RNWK opened at 9.83 but got has low as 9.81 and ended up closing on 10.07 monday (17th). Got has high as 10.96 on Friday, but then closed at 10.39 on Friday.
HOM - 8.01 8.05 7.80 7.87 Opened at 8.01 on Monday morning, got has high was 9.12 on Friday, but then closed at 8.91 on friday.
GEMS - opend Monday morning at 5.47 the high was 5.78 closing on Friday at 5.72
BDCO opened at 7.07 got has high was 8.60 on Tuesday, but after that went down as low as 6.91 and then closing on Friday at 7.29
TGB opend on Monday at 3.01 reached as high as 3.78. Closing on Tuesday at 3.59 and wednesday closed at 3.58 then finally on Friday closed at 3.49.
WEL opend at 2.21 high for the week was 2.50...closing on Friday at 2.40
EZM opened at 2.14 went up as high as 2.42 on Tuesday, closed on Tuesday was a high for the week at 2.31. Though ended the week dropping some and finally closed on Friday at 2.16
LPSN opend at 7.75 the high being 7.84 on Tuesday, and finally dropped and closed at 7.40 on Friday. The thing that we didnot like about this stock is the volume is pretty low for our fundamental investing. The 5 day volume average is only 241,000. We personally like at least 500,000 or higher.
ARTG opening at 3.80. Reached a high for the week of 3.81 on Monday, and then got as low as 3.46 and closed at 3.55 on Friday.
So the Research shows that 8 out of the 10 were gains...not always big gainers, but it's the first week or so.
The biggest gain were + .95 MED, +0.90 HOM, + 0.56 RNWK, + 0.39 TGB, +0.25 GEMS, +0.22 BDCO, + 0.19 WEL, + 0.02 EZM,
The two loses were - 0.34 ARTG, -0.35 LPSN
We found it was interested to do our own research and see how good IBD does of picking, and what we see after a week, 8 out of 10 with two gains over 90 cents that's not bad at all!
Summer saving for kids!
It's getting closer and closer. That's right it's almost here Summer time, and I keep hearing and seeing more and more student trying to get summer jobs. And it seems to becoming more and more for even the younger ones. Here are some simple tips to teach your kids early how to be responsible for money. Here are some simple tips.
1. Teachh them from early age while shopping with them for clothes, groceries, or even big ideas like cars and etc. Talk with them about comparing prices, quality, and even bulk prices when shopping. A great time is when shopping for school supplies, holidays, birthdays, or etc.
2. Take your kids to the bank with you. Whenever you can take them to withdrawal money from the ATM, or going to the bank to do transactions, and explain to you children of what your doing and how to do it. Share with them the interest rates of your saving accounts, where has your checking account usually don't have interest rates.
3. Talk with your kids about investments. Sharing information such as purchasing stocks with different companies of interest. Example, many young kids enjoy shopping for shoes, so why not explain with them about Nike the company, and how you can personally invest in this kind of company. Some experts say early the better to start explaing this such as elementary school age, but keep repeating and teaching through middle school to help better understand these ideas.
"Too many people have suffered losses -- by not diversifying, for example -- that could have been avoided with a little information and education," says Steve Hines, spokesman for the JumpStart Coalition for Personal Financial Literacy. "But, stocks generally outperform other forms of investment over longer periods of time, and since kids have time on their side, why not help them learn to make their money grow?"
4. Create a spending account, and provide your kids with a piggy bank.
Give your children an allowance and make sure they set aside a certain amount for savings. A piggy bank can help children watch their money grow. Let them keep a financial journal to record their financial activities.
5. Make them earn their money. Hard work pays off, the easy way out is never easy money. Teach them that you as parents had to and continue to have to work hard for the money that you earn, and that old saying "money doesn't grow on trees is really true. They can start by picking up their toys, taking out the garbage and raking the leaves.
6. Think about and teach them goals. Goal-setting can helps kids achieve their dreams. So whatever the goal is toys, car, or whatever, help them and teach them that it can be attained through hard work, proper budgeting, and saving up.
7. Show and teach the correct way to use credit cards. You ask what is the correct way to use a correct card. Well, our rule of using a credit card is you don't buy it unless you can pay it of right away. So your not buy and wait to see if we have enough money to pay it off at the end of the month. It's buy now knowing you will pay it off this month. Make sure if or when you give your kids a credit card, make sure to monitor the use of the credit card.
"A troubling trend in our society is giving credit cards too early and too easily," says Duvall, who suggests giving responsible teenagers a credit card toward the latter part of high school, along with a good heart-to-heart talk about credit.
"Know your kids individually, and don't be in a rush to help them spend," says Hines. "Don't get your kids a credit card and hope they'll learn something on their own. You wouldn't get them a car and hope they'll learn to drive it on their own, would you?"
8. Include kids in discussions on household budgeting and vacation planning.
Talk about necessities such as utilities and extras. Teach kids about the financial resources needed for the vacation such as tickets, transportation, lodging and entertainment.
9. Teach them about donating or tithing through your local church. We teach the 10-20-70. Which is tithe/donate/give 10%, save 20%, and spend 70% on monthly expensives. This is a great way to teach your children about tithing at a early age.
Hines believes volunteering is a way to "offset the consumer-driven environment by teaching kids that there is joy in something other than buying things for themselves.
"For some kids, this is a powerful lesson. Instead of just delayed gratification, it's gratification by spending on someone else. With donations, there are also opportunities to discuss how far a dollar can stretch and values."
10. This is the rule that your kids follow your guidance. You as a parent have to start leading by example, by showing them the right way to save, teaching them at an early age to develop a budgeting program. Start early on investing for the future. There are all kinds of great free resource for this kind of information all over the internet.
1. Teachh them from early age while shopping with them for clothes, groceries, or even big ideas like cars and etc. Talk with them about comparing prices, quality, and even bulk prices when shopping. A great time is when shopping for school supplies, holidays, birthdays, or etc.
2. Take your kids to the bank with you. Whenever you can take them to withdrawal money from the ATM, or going to the bank to do transactions, and explain to you children of what your doing and how to do it. Share with them the interest rates of your saving accounts, where has your checking account usually don't have interest rates.
3. Talk with your kids about investments. Sharing information such as purchasing stocks with different companies of interest. Example, many young kids enjoy shopping for shoes, so why not explain with them about Nike the company, and how you can personally invest in this kind of company. Some experts say early the better to start explaing this such as elementary school age, but keep repeating and teaching through middle school to help better understand these ideas.
"Too many people have suffered losses -- by not diversifying, for example -- that could have been avoided with a little information and education," says Steve Hines, spokesman for the JumpStart Coalition for Personal Financial Literacy. "But, stocks generally outperform other forms of investment over longer periods of time, and since kids have time on their side, why not help them learn to make their money grow?"
4. Create a spending account, and provide your kids with a piggy bank.
Give your children an allowance and make sure they set aside a certain amount for savings. A piggy bank can help children watch their money grow. Let them keep a financial journal to record their financial activities.
5. Make them earn their money. Hard work pays off, the easy way out is never easy money. Teach them that you as parents had to and continue to have to work hard for the money that you earn, and that old saying "money doesn't grow on trees is really true. They can start by picking up their toys, taking out the garbage and raking the leaves.
6. Think about and teach them goals. Goal-setting can helps kids achieve their dreams. So whatever the goal is toys, car, or whatever, help them and teach them that it can be attained through hard work, proper budgeting, and saving up.
7. Show and teach the correct way to use credit cards. You ask what is the correct way to use a correct card. Well, our rule of using a credit card is you don't buy it unless you can pay it of right away. So your not buy and wait to see if we have enough money to pay it off at the end of the month. It's buy now knowing you will pay it off this month. Make sure if or when you give your kids a credit card, make sure to monitor the use of the credit card.
"A troubling trend in our society is giving credit cards too early and too easily," says Duvall, who suggests giving responsible teenagers a credit card toward the latter part of high school, along with a good heart-to-heart talk about credit.
"Know your kids individually, and don't be in a rush to help them spend," says Hines. "Don't get your kids a credit card and hope they'll learn something on their own. You wouldn't get them a car and hope they'll learn to drive it on their own, would you?"
8. Include kids in discussions on household budgeting and vacation planning.
Talk about necessities such as utilities and extras. Teach kids about the financial resources needed for the vacation such as tickets, transportation, lodging and entertainment.
9. Teach them about donating or tithing through your local church. We teach the 10-20-70. Which is tithe/donate/give 10%, save 20%, and spend 70% on monthly expensives. This is a great way to teach your children about tithing at a early age.
Hines believes volunteering is a way to "offset the consumer-driven environment by teaching kids that there is joy in something other than buying things for themselves.
"For some kids, this is a powerful lesson. Instead of just delayed gratification, it's gratification by spending on someone else. With donations, there are also opportunities to discuss how far a dollar can stretch and values."
10. This is the rule that your kids follow your guidance. You as a parent have to start leading by example, by showing them the right way to save, teaching them at an early age to develop a budgeting program. Start early on investing for the future. There are all kinds of great free resource for this kind of information all over the internet.
Friday, April 21, 2006
Earnings, expired, and excitement!
Wow, this Third friday of April has beena busy day!
First to top of the earnings, no other then Google (GOOG) jumping up to a hugh gain, and of the biggest gains in about 6 months. That's right GOOG closed on Thursday evening at 415, and then opens the day after the earnings coming out. It opens at a high gain of 450! Google is still one of the top companies out to watch for and really do your homework and makes some money on this one. Just think if you would have put in $85 for this company back in August...how nice of return would that be today's 450!
Also, Ford (F) is doing a lot of moving today, but it's in the opposite direction as Google (goog). Ford states a lot of downgrades, jobloss, and so much more! Not looking real good for the Ford company!
Also, today is the expired...for all those calls, puts, and options. Which stocks did you put in for your stock options this month?
We can not forget to mention the excitement of all this crude oil information. What's going on, and where is this one going? All I can say I am glad that it's not winter, and start looking to purchase a hybrid. Interested to see what Crude Oil closes as today!
First to top of the earnings, no other then Google (GOOG) jumping up to a hugh gain, and of the biggest gains in about 6 months. That's right GOOG closed on Thursday evening at 415, and then opens the day after the earnings coming out. It opens at a high gain of 450! Google is still one of the top companies out to watch for and really do your homework and makes some money on this one. Just think if you would have put in $85 for this company back in August...how nice of return would that be today's 450!
Also, Ford (F) is doing a lot of moving today, but it's in the opposite direction as Google (goog). Ford states a lot of downgrades, jobloss, and so much more! Not looking real good for the Ford company!
Also, today is the expired...for all those calls, puts, and options. Which stocks did you put in for your stock options this month?
We can not forget to mention the excitement of all this crude oil information. What's going on, and where is this one going? All I can say I am glad that it's not winter, and start looking to purchase a hybrid. Interested to see what Crude Oil closes as today!
Dell is a Sell
Dell for the first time since it become a public stock back in 1996! But, now it's a sell. Everyone is saying to jump of the Dell! That's right we are seeing more and more dell sell ratings. So wait out and starting putting your options or get on the short bus on this one. Dell is a strong sell!
Wednesday, April 19, 2006
HOM...looks like it could be a winner
HOM...looks like it could be a winner. Looks like it is finally ready to break towards double digits...Could be the start of a monster run...
Home Solutions of America, Inc. offers recovery, restoration,
rebuilding/remodeling, and specialty interior services to commercial
and residential properties in the United States.
In the 4th quarter the company reported an EPS increase of 233% on a
revenue increase of 184%. Furthermore the company recently reported
contract awards worth up to $40MM to perform hurricane related building
activities. The company has a tremendous backlog of business but has
not issued earnings guidance due to uncertainty about allocation of
funding for projects in New Orleans.
Home Solutions of America, Inc. offers recovery, restoration,
rebuilding/remodeling, and specialty interior services to commercial
and residential properties in the United States.
In the 4th quarter the company reported an EPS increase of 233% on a
revenue increase of 184%. Furthermore the company recently reported
contract awards worth up to $40MM to perform hurricane related building
activities. The company has a tremendous backlog of business but has
not issued earnings guidance due to uncertainty about allocation of
funding for projects in New Orleans.
Friday, April 14, 2006
This sector is interesting to look at
Corning
In March, the venerable glass and ceramics outfit said it had developed a new glass composite that doesn't include heavy metals in the manufacturing process. By reducing environmental hazards associated with the glass, commonly used on liquid crystal display televisions, the new formula enables Corning (GLW) to gain an earth-friendly edge and reduces concerns over how the glass is disposed of.
They plan to adopt the technique over the next two to three years. The new method is "clearly a differentiator for them," says C.J. Muse, an analyst at Lehman Brothers (LEH) who rates the company overweight. As attention in the glass sector turns away from size capacity to how the glass is made, Muse writes in a recent report that the new composition "support[s] the company's market share position and premium pricing over the competition."
Capstone (CPST) produces microturbines that can be used in parallel with utility power and heat or as a backup to it. Capable of running on fuels such as kerosene and natural gas, Capstone aims for its turbines to produce very clean emissions while helping clients save on the electricity bill. Capstone's turbines spin on high-pressure emissions from a fuel cell, reducing the need to use additional fuel.
Medis (MDTL) produces portable alkaline fuel cells designed to power increasingly sophisticated and power-thirsty personal gadgets. The devices, scheduled for a limited retail release in the fourth quarter, provide sustained power without the need to use up excess electricity. Though they're disposable, the fuel cells don't contain heavy metals, unlike standard alkaline batteries. Despite these advantages, CEO Robert Lifton says the device was developed primarily with practicality, not ecology, in mind. "It's a product for people that happens to be environmentally O.K.," he says.
Quantum's products include high capacity hydrogen storage tanks that can be used in fuel-cell powered cars. These tanks can store enough hydrogen to power a fuel-cell car for about 300 miles. Brion Tanous, managing director of equity research at Merriman Curhan Ford & Co. -- which makes a market for Quantum (QTWW) -- says that's about the minimum distance electric cars will need to travel before consumers will buy them, and that makes Quantum an industry leader in a field that could take off. He rates the stock a buy despite predicting that losses will continue into at least 2007.
In March, the venerable glass and ceramics outfit said it had developed a new glass composite that doesn't include heavy metals in the manufacturing process. By reducing environmental hazards associated with the glass, commonly used on liquid crystal display televisions, the new formula enables Corning (GLW) to gain an earth-friendly edge and reduces concerns over how the glass is disposed of.
They plan to adopt the technique over the next two to three years. The new method is "clearly a differentiator for them," says C.J. Muse, an analyst at Lehman Brothers (LEH) who rates the company overweight. As attention in the glass sector turns away from size capacity to how the glass is made, Muse writes in a recent report that the new composition "support[s] the company's market share position and premium pricing over the competition."
Capstone (CPST) produces microturbines that can be used in parallel with utility power and heat or as a backup to it. Capable of running on fuels such as kerosene and natural gas, Capstone aims for its turbines to produce very clean emissions while helping clients save on the electricity bill. Capstone's turbines spin on high-pressure emissions from a fuel cell, reducing the need to use additional fuel.
Medis (MDTL) produces portable alkaline fuel cells designed to power increasingly sophisticated and power-thirsty personal gadgets. The devices, scheduled for a limited retail release in the fourth quarter, provide sustained power without the need to use up excess electricity. Though they're disposable, the fuel cells don't contain heavy metals, unlike standard alkaline batteries. Despite these advantages, CEO Robert Lifton says the device was developed primarily with practicality, not ecology, in mind. "It's a product for people that happens to be environmentally O.K.," he says.
Quantum's products include high capacity hydrogen storage tanks that can be used in fuel-cell powered cars. These tanks can store enough hydrogen to power a fuel-cell car for about 300 miles. Brion Tanous, managing director of equity research at Merriman Curhan Ford & Co. -- which makes a market for Quantum (QTWW) -- says that's about the minimum distance electric cars will need to travel before consumers will buy them, and that makes Quantum an industry leader in a field that could take off. He rates the stock a buy despite predicting that losses will continue into at least 2007.
Some really bad way to pay off your taxes
Have you ever seen or read this "The IRS does have what it takes to take what you've got." Well, though it's that time to tax crunching, paying your taxes, and its about that deadline time! I love it when people like myself wait for the last second to do there taxes! Why is that...oh well that's an whole nother story!
Let's talk about not getting to caught up into paying your taxe, and make some foolish decision on how to pay them off this year. Though, the IRS can be intimidating and your want to meet that April deadline dont be fooled by doing some rash decisions.
Some really bad ways to pay off your taxes, but the sad thing is people are really doing some of these. But, it's a big no no to step into this kind of debt situation!
1. Pay off the government monthly. Unless you want to just pay them off and dig a big whole for yourself and on top of all that give the IRS complete permission to attach your bank account if you fail to pay. I don't know about you but I don't feel comfortable doing that or would I be even be able to sleep at night!
2. Dig into your retirement account.
Many 401(k) and 403(b) employer-sponsored plans have provisions that allow you to borrow your own money and pay it back to yourself without penalty. The interest rate is usually low. You can't borrow against your IRA, but you can withdraw the money and use it for 60 days without penalty as long as you redeposit it into the same or a new IRA account. If the money doesn't find its way back into an IRA account within the 60-day period, it will be subject to taxes and penalties. You can only use this 60-day provision once a year. The clock starts ticking on the date you receive the distribution. While it's easy to temporarily withdraw some retirement money, most financial experts advise against it unless it's an absolute last resort. Your retirement nest egg should be a safe haven rather than an emergency fund. Bankrate's 401(k) loan calculator can help you figure the cost of raiding your retirement account.
3. Use your home equity.
If you have a home equity line of credit, it will allow you to borrow against it usually by just writing a check. Interest rates on equity accounts are attractive and if you pay what you owe quickly, this debt will cost less than putting the same amount on your credit card. But if interest rates head up, so will equity line rates. And by using this payment method, your home is the collateral for even the relatively small amount you used to pay your tax bill.
4. Take out a personal loan.
The rates on unsecured personal loans can be ugly, but not as ugly as some other fast-cash options. If you happen to have a credit union available to you, try that first because the rate is usually at least 2 percentage points lower.
5. Pay your taxs online using there direct payment. That's just giving them even more...they are asking 2.49% or something crazy like that! Why should you have to pay more when you're already paying them so much. IRS can be frustrating sometimes!
Let's talk about not getting to caught up into paying your taxe, and make some foolish decision on how to pay them off this year. Though, the IRS can be intimidating and your want to meet that April deadline dont be fooled by doing some rash decisions.
Some really bad ways to pay off your taxes, but the sad thing is people are really doing some of these. But, it's a big no no to step into this kind of debt situation!
1. Pay off the government monthly. Unless you want to just pay them off and dig a big whole for yourself and on top of all that give the IRS complete permission to attach your bank account if you fail to pay. I don't know about you but I don't feel comfortable doing that or would I be even be able to sleep at night!
2. Dig into your retirement account.
Many 401(k) and 403(b) employer-sponsored plans have provisions that allow you to borrow your own money and pay it back to yourself without penalty. The interest rate is usually low. You can't borrow against your IRA, but you can withdraw the money and use it for 60 days without penalty as long as you redeposit it into the same or a new IRA account. If the money doesn't find its way back into an IRA account within the 60-day period, it will be subject to taxes and penalties. You can only use this 60-day provision once a year. The clock starts ticking on the date you receive the distribution. While it's easy to temporarily withdraw some retirement money, most financial experts advise against it unless it's an absolute last resort. Your retirement nest egg should be a safe haven rather than an emergency fund. Bankrate's 401(k) loan calculator can help you figure the cost of raiding your retirement account.
3. Use your home equity.
If you have a home equity line of credit, it will allow you to borrow against it usually by just writing a check. Interest rates on equity accounts are attractive and if you pay what you owe quickly, this debt will cost less than putting the same amount on your credit card. But if interest rates head up, so will equity line rates. And by using this payment method, your home is the collateral for even the relatively small amount you used to pay your tax bill.
4. Take out a personal loan.
The rates on unsecured personal loans can be ugly, but not as ugly as some other fast-cash options. If you happen to have a credit union available to you, try that first because the rate is usually at least 2 percentage points lower.
5. Pay your taxs online using there direct payment. That's just giving them even more...they are asking 2.49% or something crazy like that! Why should you have to pay more when you're already paying them so much. IRS can be frustrating sometimes!
Why do companies issue stock?
Why do companies issue stock?
A company usually issues stock because:
1. The company does not have to borrow from traditional lenders
2. Issuing stock allows the company to bypass interest payments to creditors.
3. The company is not obligated to make principal payments.
4. The company is expanding rapidly.
A company usually issues stock because:
1. The company does not have to borrow from traditional lenders
2. Issuing stock allows the company to bypass interest payments to creditors.
3. The company is not obligated to make principal payments.
4. The company is expanding rapidly.
Seven Most Deadly Sins of Stock Picking
Seven Most Deadly Sins of Stock Picking
Greed
Motivation and Destruction: Greed it's a interesting one. Where it's hard to know how greedy to go, or how much should I really want. You've got something that you want to make into something more. No problem with that. But too much greed will ensure your failure. Stop chasing that fast cash, this one is a ringer, this one is it thoughts and investing. Make sure you are not getting greedy, but still investing t Iwisely and not out of greed, motivation. Generations of stock market losers have proved that there's no such thing as a fast buck. But there are bucks to be made for those who can overcome their urges and avoid this sin, and the rest of the seven sins.
Gluttony, Envy, and Lust
When lusting about anything it's very unhealthy. Lust can leave you in the alley street with literally nothing. Especially in our commercial culture, fiscal gluttony is easily sparked by its sister sins, Envy and Lust. If you need to have the shiniest car on the block or the biggest granite countertops in all of Poshbottome Pointe, your absolute investment returns are sure to suffer.
Take this example, say Average Joe could invest and have a annual returns of 15% a year. (That would make you a very good investor -- so you shouldn't count on those kinds of returns.) For the example Average Joe is dreaming big. It still won't make you wealthy if you're earning that 15% on nothing. Remember: Buffett didn't get rich just by making great investments. He got rich by not wasting money that could be added to the kitty. Don't believe me? Do the math. No, wait, let us do it for you.
If you start with $1,000 and earn that 15% a year in a tax-free account, your money will be worth $87,500 after 30 years. Not too shabby. By contrast, if you can skip the gas station stops in the morning and bag a lunch a couple of times, you can scrape together a lousy $1,000 a year to add to your nest egg. The final result? $625,000. Drive an old clunker and ignore all those tempting incentive offers from keeping up with the jones, and then save the $500 a month you would have spent on coffee and cars, and you'll be looking at $3.3 million -- though perhaps not if you invest in GM, while it battles slowing sales and an expected earnings decline.
Yes, Averag Joe is now looking more like Donald Trump (okay we will not get carried away). But do the same at a more reasonable 8% rate of return, and you'll still end up with $730,000. The point is this: Unless you're already sitting on a pretty big pile of dough, your stuff-envy and financial gluttony will be a much bigger factor in your future financial independence than any magic you can conjure for your portfolio's performance. Control your urges accordingly.
Anger
If you don't know Anger around the stock market, then you have been to yahoo's message board before have you? Seriously, that at times can be the anger in and of itself just reading through those message boards or other stock forums. Anger is a natural reaction to adversity, but it's one that rational investors need to overcome if they hope to have consistent success.
Investing is an inherently risky activity that demands a hard look at the facts, good and bad. But a huge number of stock buyers view it like some kind of Sunday-afternoon competition. It's like a intense sports match, cheering on there team, but giving heck to the others! And the anger makes them blind to the negatives. Woe unto the drunk fan who points out the lack of steady revenues and complete absence of profits at a company like Lakers. Plenty of angry members of the Stinger crowd try to blame the others for any downtick, even though they can see for themselves the firm has minute sales; no profits; mystifying, short-lived management; and a CEO with long history of failures.
Mr. Crazy Fan, criticism of a company you own does not constitute an affront to your personal honor. Mr. I am right fan, my positive comments about your company's competitor in no way constitute an agreement to meet with pistols at dawn. That throbbing vein in your forehead is a good indication that you're fixated on the wrong things. Embrace the stuff that angries up your blood. You might learn something important.
Pride
I'm right, and everyone else is wrong. We all feel that way, so I'm not going to deliver a blanket condemnation of self-assurance. After all, acting on your convictions is part of the arrogance of investing. If everyone shares the same, correct opinion of a stock, then it must already be fairly priced. We are convinced we can find sweet bargains or future world-beaters ahead of the rest of the crowd. But not every time. If you believe that, you're in trouble.
That's the kind of pride that will kill investors over the long run. The problem is that, in individual cases, the market rewards the ignorant and the informed without pointing out which is which. It's nice to see the long-suffering shareholders finally catch a break, but it doesn't change the fact that plenty of people brought the suffering on themselves by ignoring the firm's consistently deteriorating financials to purchase a pig in a poke.
When a stock goes up, those who bought it purely because they like the product, or hate a competitor, will swear up and down that they are finally being rewarded for their smarts, but the truth is, they're just being rewarded. The trouble with being otherwise deluded is that such irrational pride and (in the long run) the odds, catch up with you. Investing is about maximizing returns, but you can't do that without minimizing risks. There is a difference between being right and being lucky. I've been lucky before in getting out at the right time, but the danger is taking particular pride in it. It scared me into being even more careful with my future decisions. You need to live and learn and plan for the future, ackowledge your winnings but most importantly your losing to grow and learn from them.
Sloth
Let's think a little more about being a sloth, and when it comes down to it sloth is being lazy. There's no room in investing for good, old-fashioned sloth aka laziness. If you are too lazy to look research your stock company, the stock companies nubmers and and proxy statements, you're setting yourself up for some major failures. Yet every day, we are treated to amazing examples of extreme investor laziness. There are countless times you hear about a stock, but then if you get caught into the one of the seven deadly sins of stock picking and decide to be to lazy to do your homework and research then your asking for trouble. Going strictly on hear say information, one person's picks, etc. We see them all the time...but don't get caught being lazy and not doing your homework!
The road to righteousness
Some of history's most successful investors have said it time and time again: The journey to stock market wealth doesn't require superior instincts, faster reflexes, or better information. What it does require is patience, perseverance, and the willingness to do some work and avoid the mistakes that others are too quick to make. If you can steer clear of the seven sins of stock picking, you'll already be one up on Wall Street. Always remember there is room for bears and bulls, but never any room for pigs on "The Street"!
Greed
Motivation and Destruction: Greed it's a interesting one. Where it's hard to know how greedy to go, or how much should I really want. You've got something that you want to make into something more. No problem with that. But too much greed will ensure your failure. Stop chasing that fast cash, this one is a ringer, this one is it thoughts and investing. Make sure you are not getting greedy, but still investing t Iwisely and not out of greed, motivation. Generations of stock market losers have proved that there's no such thing as a fast buck. But there are bucks to be made for those who can overcome their urges and avoid this sin, and the rest of the seven sins.
Gluttony, Envy, and Lust
When lusting about anything it's very unhealthy. Lust can leave you in the alley street with literally nothing. Especially in our commercial culture, fiscal gluttony is easily sparked by its sister sins, Envy and Lust. If you need to have the shiniest car on the block or the biggest granite countertops in all of Poshbottome Pointe, your absolute investment returns are sure to suffer.
Take this example, say Average Joe could invest and have a annual returns of 15% a year. (That would make you a very good investor -- so you shouldn't count on those kinds of returns.) For the example Average Joe is dreaming big. It still won't make you wealthy if you're earning that 15% on nothing. Remember: Buffett didn't get rich just by making great investments. He got rich by not wasting money that could be added to the kitty. Don't believe me? Do the math. No, wait, let us do it for you.
If you start with $1,000 and earn that 15% a year in a tax-free account, your money will be worth $87,500 after 30 years. Not too shabby. By contrast, if you can skip the gas station stops in the morning and bag a lunch a couple of times, you can scrape together a lousy $1,000 a year to add to your nest egg. The final result? $625,000. Drive an old clunker and ignore all those tempting incentive offers from keeping up with the jones, and then save the $500 a month you would have spent on coffee and cars, and you'll be looking at $3.3 million -- though perhaps not if you invest in GM, while it battles slowing sales and an expected earnings decline.
Yes, Averag Joe is now looking more like Donald Trump (okay we will not get carried away). But do the same at a more reasonable 8% rate of return, and you'll still end up with $730,000. The point is this: Unless you're already sitting on a pretty big pile of dough, your stuff-envy and financial gluttony will be a much bigger factor in your future financial independence than any magic you can conjure for your portfolio's performance. Control your urges accordingly.
Anger
If you don't know Anger around the stock market, then you have been to yahoo's message board before have you? Seriously, that at times can be the anger in and of itself just reading through those message boards or other stock forums. Anger is a natural reaction to adversity, but it's one that rational investors need to overcome if they hope to have consistent success.
Investing is an inherently risky activity that demands a hard look at the facts, good and bad. But a huge number of stock buyers view it like some kind of Sunday-afternoon competition. It's like a intense sports match, cheering on there team, but giving heck to the others! And the anger makes them blind to the negatives. Woe unto the drunk fan who points out the lack of steady revenues and complete absence of profits at a company like Lakers. Plenty of angry members of the Stinger crowd try to blame the others for any downtick, even though they can see for themselves the firm has minute sales; no profits; mystifying, short-lived management; and a CEO with long history of failures.
Mr. Crazy Fan, criticism of a company you own does not constitute an affront to your personal honor. Mr. I am right fan, my positive comments about your company's competitor in no way constitute an agreement to meet with pistols at dawn. That throbbing vein in your forehead is a good indication that you're fixated on the wrong things. Embrace the stuff that angries up your blood. You might learn something important.
Pride
I'm right, and everyone else is wrong. We all feel that way, so I'm not going to deliver a blanket condemnation of self-assurance. After all, acting on your convictions is part of the arrogance of investing. If everyone shares the same, correct opinion of a stock, then it must already be fairly priced. We are convinced we can find sweet bargains or future world-beaters ahead of the rest of the crowd. But not every time. If you believe that, you're in trouble.
That's the kind of pride that will kill investors over the long run. The problem is that, in individual cases, the market rewards the ignorant and the informed without pointing out which is which. It's nice to see the long-suffering shareholders finally catch a break, but it doesn't change the fact that plenty of people brought the suffering on themselves by ignoring the firm's consistently deteriorating financials to purchase a pig in a poke.
When a stock goes up, those who bought it purely because they like the product, or hate a competitor, will swear up and down that they are finally being rewarded for their smarts, but the truth is, they're just being rewarded. The trouble with being otherwise deluded is that such irrational pride and (in the long run) the odds, catch up with you. Investing is about maximizing returns, but you can't do that without minimizing risks. There is a difference between being right and being lucky. I've been lucky before in getting out at the right time, but the danger is taking particular pride in it. It scared me into being even more careful with my future decisions. You need to live and learn and plan for the future, ackowledge your winnings but most importantly your losing to grow and learn from them.
Sloth
Let's think a little more about being a sloth, and when it comes down to it sloth is being lazy. There's no room in investing for good, old-fashioned sloth aka laziness. If you are too lazy to look research your stock company, the stock companies nubmers and and proxy statements, you're setting yourself up for some major failures. Yet every day, we are treated to amazing examples of extreme investor laziness. There are countless times you hear about a stock, but then if you get caught into the one of the seven deadly sins of stock picking and decide to be to lazy to do your homework and research then your asking for trouble. Going strictly on hear say information, one person's picks, etc. We see them all the time...but don't get caught being lazy and not doing your homework!
The road to righteousness
Some of history's most successful investors have said it time and time again: The journey to stock market wealth doesn't require superior instincts, faster reflexes, or better information. What it does require is patience, perseverance, and the willingness to do some work and avoid the mistakes that others are too quick to make. If you can steer clear of the seven sins of stock picking, you'll already be one up on Wall Street. Always remember there is room for bears and bulls, but never any room for pigs on "The Street"!
Ten Commandments Debt Free Life Style 10. 10-20-70
Ten Commandments - debt free lifestyle
10. 10-20-70 - The suggestion income allocation is 10% for tithes, 20% for saving and 70% for spending. This can of course be modified by spending less so that tithes to a local Church and saving increase. Yet a more important debt needs to be dealt with, first and foremost, if we are to enjoy the abundant life.
10. 10-20-70 - The suggestion income allocation is 10% for tithes, 20% for saving and 70% for spending. This can of course be modified by spending less so that tithes to a local Church and saving increase. Yet a more important debt needs to be dealt with, first and foremost, if we are to enjoy the abundant life.
Ten Commandments Debt Free Life Style 9. Invest for the future, invest in eternity
Ten Commandments - debt free lifestyle
9. Invest for the future, invest in eternity - By simple spending less than what you earn, you can save for futre needs, emergencies and retirement. But beyond this life, one can store up treasures in heave (Matt. 6:20). Live simply that others can simply live. Instead of spending on something that is not a real need, give it away to someone who has a dire need. Be a major stakeholder in church by giving much of your time, talent, energy and money to it.
9. Invest for the future, invest in eternity - By simple spending less than what you earn, you can save for futre needs, emergencies and retirement. But beyond this life, one can store up treasures in heave (Matt. 6:20). Live simply that others can simply live. Instead of spending on something that is not a real need, give it away to someone who has a dire need. Be a major stakeholder in church by giving much of your time, talent, energy and money to it.
Ten Commandments Debt Free Life Style 8. Hardwork, not easy money
Ten Commandments - debt free lifestyle
8. Hardwork, not easy money - Work hard and become a leader, be lasy and never succeed. Do not gamble. Beware of pyramid schemes. Do not lend at high interest, aiming for the easy, quick bucks could spell more disaster!
8. Hardwork, not easy money - Work hard and become a leader, be lasy and never succeed. Do not gamble. Beware of pyramid schemes. Do not lend at high interest, aiming for the easy, quick bucks could spell more disaster!
Ten Commandments Debt Free Life Style 7. Gratefull and not greedy
Ten Commandments - debt free lifestyle
7. Grateful and not greedy - Giving generously to others may be the most rewarding gift to ever recieve! Just think about being content of where you are, and sharing of more what you have!
7. Grateful and not greedy - Giving generously to others may be the most rewarding gift to ever recieve! Just think about being content of where you are, and sharing of more what you have!
Ten Commandments Debt Free Life Style 6. Family Planning
Ten Commandments Debt - Free Life Style
6. Family Planning - More children means more mouths to feed, more bodies to clothe, more minds to educate, and that's right more family planning and budgeting for all the above. Plan a family of manageable size which you could supply as well as amply give care, love, and give full attention to. And just think of this world and how many children out there worldwide that are malnourished and out of school. And at the rate popluation is growing, in a few years, there will not be enough food to go around!
6. Family Planning - More children means more mouths to feed, more bodies to clothe, more minds to educate, and that's right more family planning and budgeting for all the above. Plan a family of manageable size which you could supply as well as amply give care, love, and give full attention to. And just think of this world and how many children out there worldwide that are malnourished and out of school. And at the rate popluation is growing, in a few years, there will not be enough food to go around!
Ten Commandments Debt Free Life Style 5. Envelopes of Cash
Ten Commandments - Debt Free Life Style
5. Envelopes of cash - Cash funds must be kept in envelopes distributed as follows: Monthly: rent, food, utility, gasoline, school allowance, recreational and entertainment, etc. Yearly: tuition, textbooks, and school supplies, insurance, Christmas, holidays. Contingencies: medical, emergencies. Also try to refrain from juggling funds.
Also, another way to help you put away some cash, is so many people are banking online, paying online, spending online. Then why not save online, that's right do a direct deposit of first paying yourself and leaving say $20 a month goes to first paying yourself for saving towards something maybe for a raining day, vacation, extra spending money for a later date, or even more to your retirement fund!
5. Envelopes of cash - Cash funds must be kept in envelopes distributed as follows: Monthly: rent, food, utility, gasoline, school allowance, recreational and entertainment, etc. Yearly: tuition, textbooks, and school supplies, insurance, Christmas, holidays. Contingencies: medical, emergencies. Also try to refrain from juggling funds.
Also, another way to help you put away some cash, is so many people are banking online, paying online, spending online. Then why not save online, that's right do a direct deposit of first paying yourself and leaving say $20 a month goes to first paying yourself for saving towards something maybe for a raining day, vacation, extra spending money for a later date, or even more to your retirement fund!
Ten Commandments Debt Free Life Style 4. Debt Pay-off ASAP
Ten Commandments - debt free lifestyle today!
4. Debt Pay-off ASAP - That's right...payoff your debt asap, because we all know that cash basis is the best! If your budget or cash resource allows you to pay the full amount reflect on the statment of account. This practice will pay off in the end. Paying only the minimum amount required may seem light on the pocket, but heavier in the long run due to interests rates which for a credit card can run anywhere from 3.25% to 30% (depending on how late or backed up you might be on the your payments). Here are the don't in borrowing!
* don't borrow to buy anything that depreciates
* don't borrow to pay back debt
* don't borrow at high interest
* don't borrow except to buy a house (which appreciates in value)
4. Debt Pay-off ASAP - That's right...payoff your debt asap, because we all know that cash basis is the best! If your budget or cash resource allows you to pay the full amount reflect on the statment of account. This practice will pay off in the end. Paying only the minimum amount required may seem light on the pocket, but heavier in the long run due to interests rates which for a credit card can run anywhere from 3.25% to 30% (depending on how late or backed up you might be on the your payments). Here are the don't in borrowing!
* don't borrow to buy anything that depreciates
* don't borrow to pay back debt
* don't borrow at high interest
* don't borrow except to buy a house (which appreciates in value)
Ten Commandments Debt Free Life Style 4. Debt Pay-off ASAP
Ten Commandments - debt free lifestyle today!
4. Debt Pay-off ASAP - That's right...payoff your debt asap, because we all know that cash basis is the best! If your budget or cash resource allows you to pay the full amount reflect on the statment of account. This practice will pay off in the end. Paying only the minimum amount required may seem light on the pocket, but heavier in the long run due to interests rates which for a credit card can run anywhere from 3.25% to 30% (depending on how late or backed up you might be on the your payments). Here are the don't in borrowing!
* don't borrow to buy anything that depreciates
* don't borrow to pay back debt
* don't borrow at high interest
* don't borrow except to buy a house (which appreciates in value)
4. Debt Pay-off ASAP - That's right...payoff your debt asap, because we all know that cash basis is the best! If your budget or cash resource allows you to pay the full amount reflect on the statment of account. This practice will pay off in the end. Paying only the minimum amount required may seem light on the pocket, but heavier in the long run due to interests rates which for a credit card can run anywhere from 3.25% to 30% (depending on how late or backed up you might be on the your payments). Here are the don't in borrowing!
* don't borrow to buy anything that depreciates
* don't borrow to pay back debt
* don't borrow at high interest
* don't borrow except to buy a house (which appreciates in value)
Thursday, April 13, 2006
What or where is the market going?
I think it would be nice to see the market crate in here, wring out
excessive fear, shoot confidence, create attractive valuations...
But I am afraid this may be wishful thinking. The reason the market
is so frustrating to both bulls and bears is because there aren't
really any events that can push it one way or the other.
Iran's nuclear ambitions are years away and they need money to
continue - oil is their only source of revenue...
High oil prices are inflationary and can slow the economy, but oil
is bid up on the expectation of continued demand - i.e. strong
economy, and each time there is a perception of slowing, oil prices
retreat from highs...
So the market continues its elaborate dance with oil and interest
rates in a narrowing range...
One area I am watching closely is oil services / related (ALJ, BAS,
NTG). If oil prices remain high, oil producers operating at
capacity may not be able to show explosive eps growth without new
discoveries or acqusitions. But they are likely to continue
drilling and pumping.
Though frustrating at times with the market. Just always remember
their is room for bears and bulls, but no room for pigs!!
excessive fear, shoot confidence, create attractive valuations...
But I am afraid this may be wishful thinking. The reason the market
is so frustrating to both bulls and bears is because there aren't
really any events that can push it one way or the other.
Iran's nuclear ambitions are years away and they need money to
continue - oil is their only source of revenue...
High oil prices are inflationary and can slow the economy, but oil
is bid up on the expectation of continued demand - i.e. strong
economy, and each time there is a perception of slowing, oil prices
retreat from highs...
So the market continues its elaborate dance with oil and interest
rates in a narrowing range...
One area I am watching closely is oil services / related (ALJ, BAS,
NTG). If oil prices remain high, oil producers operating at
capacity may not be able to show explosive eps growth without new
discoveries or acqusitions. But they are likely to continue
drilling and pumping.
Though frustrating at times with the market. Just always remember
their is room for bears and bulls, but no room for pigs!!
Ten Commandments Debt Free Life Style 3. Cut Credit Cards
Ten Commandments Debt Free Life Style
3. Cut Credit Cards - We know this sounds very very strict, but if your living debt this is probably a big problem! It's time to cut the credit cards that are leading or adding to the problem which is living in debt! Its time to buckle down and get rid of your credit cards!
3. Cut Credit Cards - We know this sounds very very strict, but if your living debt this is probably a big problem! It's time to cut the credit cards that are leading or adding to the problem which is living in debt! Its time to buckle down and get rid of your credit cards!
Ten Commandments Debt Free Life Style 2. Budget
Ten Commandments Debt Free Life Style
2. Budget - Yes, we know everyone sort of hates to hear that word budget. And you get that idea in you head of sitting down and number crunching. Budget does not always have to that boring. It's more of a simple record of what you are going to give yourself for different expenses per month. Some other important thoughts on budgeting is making some simple rules in budgeting and stick to them. Do not give in, if you set a goal or a budget for $50 a month on entertainment then stick to it! Trust me you will be better off for it in the long run. Make a record of all your expenses, have and stick with shopping lists, meaning don't buy anything that is not on the list, and lastly did we mention stick to your budget plans!
2. Budget - Yes, we know everyone sort of hates to hear that word budget. And you get that idea in you head of sitting down and number crunching. Budget does not always have to that boring. It's more of a simple record of what you are going to give yourself for different expenses per month. Some other important thoughts on budgeting is making some simple rules in budgeting and stick to them. Do not give in, if you set a goal or a budget for $50 a month on entertainment then stick to it! Trust me you will be better off for it in the long run. Make a record of all your expenses, have and stick with shopping lists, meaning don't buy anything that is not on the list, and lastly did we mention stick to your budget plans!
Ten Commandments Debt Free Life Style 1. Administrators
Ten Commandments - Debt Free Life Style
1. Administrators - We all must remember, acknowledge that fact that we are in living in a debt problem. Or that we do have some extra debt that we are needing to get out of. Also, the most important fact to remember is that God knows everything. We first and foremost have to be good stewards of the resourced that God has provided us for! A good reminder to keep thinking God owns all the cows in the world. With this thought in mind if He owns all the cows in the world then sure he will keep care of YOU!!
1. Administrators - We all must remember, acknowledge that fact that we are in living in a debt problem. Or that we do have some extra debt that we are needing to get out of. Also, the most important fact to remember is that God knows everything. We first and foremost have to be good stewards of the resourced that God has provided us for! A good reminder to keep thinking God owns all the cows in the world. With this thought in mind if He owns all the cows in the world then sure he will keep care of YOU!!
Debt Free Lifestyle, stressed about your taxes
Stressed about your taxes, looking at your taxes and can no figure out where you spent all your money that you have made. And then on top of that your still in debt, and you can not figure out why?
Ever thought of owe nothing to anyone, And you keep looking for real answers of how to do this in your lifestyle. Where or what can I do to get me out of debt. Well, I guess, there is not really easy steps to take, but we do want to try to offer some help. Though change is never easy, and especially money change, or habits dealing with money. Here are some tips or suggestions to relieve your stress, and start heading towards a debt ridden lifestyle!
So come back and check out our newest series of what we are calling!!!
The ten commandments for debt free lifestyle!
Ever thought of owe nothing to anyone, And you keep looking for real answers of how to do this in your lifestyle. Where or what can I do to get me out of debt. Well, I guess, there is not really easy steps to take, but we do want to try to offer some help. Though change is never easy, and especially money change, or habits dealing with money. Here are some tips or suggestions to relieve your stress, and start heading towards a debt ridden lifestyle!
So come back and check out our newest series of what we are calling!!!
The ten commandments for debt free lifestyle!
Did you know there are International ETF's
Q: Are there international ETFs?
There are many, including regional funds such as European or Pacific Rim funds, as well as individual country funds in relatively well-developed economies. In each of these countries there is an established index of reasonably large and liquid stocks that allows this to happen. As developing nations stabilize their stock markets, they will no doubt adopt ETFs.
Here are few that I think would be a research and look and invest at your own risk!
Check these out
BLDRS Asia 50 ADR Index (ADRA)
iShares FTSE/Xinhua China 25 Index (FXI)
iShares Nasdaq Biotechnology (IBB)
iShares Dow Jones Select Dividend Index (DVY)
iShares MSCI Germany Index (EWG)
iShares MSCI Japan Index (EWJ)
streetTRACKS Gold Shares (GLD)
PowerShares Gldn Dragon Halter USX China (PGJ)
PowerShares Dynamic Large Cap Value (PWV)
Vanguard Pacific Stock VIPERs (VPL)
There are many, including regional funds such as European or Pacific Rim funds, as well as individual country funds in relatively well-developed economies. In each of these countries there is an established index of reasonably large and liquid stocks that allows this to happen. As developing nations stabilize their stock markets, they will no doubt adopt ETFs.
Here are few that I think would be a research and look and invest at your own risk!
Check these out
BLDRS Asia 50 ADR Index (ADRA)
iShares FTSE/Xinhua China 25 Index (FXI)
iShares Nasdaq Biotechnology (IBB)
iShares Dow Jones Select Dividend Index (DVY)
iShares MSCI Germany Index (EWG)
iShares MSCI Japan Index (EWJ)
streetTRACKS Gold Shares (GLD)
PowerShares Gldn Dragon Halter USX China (PGJ)
PowerShares Dynamic Large Cap Value (PWV)
Vanguard Pacific Stock VIPERs (VPL)
Wednesday, April 12, 2006
Streicher Mobile (FUEL)
Streicher Mobile (FUEL) is in EXTREMELY high demand right now due to the fact that Ethanol can only be transported and distributed by trucks and rail...just read this, its from the EIA Department of Energy:
INTER-REGIONAL TRANSPORTATION ISSUES AND ASSOCIATED COSTS FOR RENEWABLE FUELS
Probably the largest issue associated with increased ethanol use is distribution. Since EIA has not performed detailed analysis of ethanol transportation issues, the EIA transportation paper largely summarizes recent work by Downstream Alternatives, Inc., (DAI) for the U.S. Department of Energy. The DAI analysis found that expanding the market for ethanol to 5.1 billion gallons per year results in an estimated average national cost of about 8 cents per gallon of ethanol to transport it to markets. This translates to a cost of about 1 cent per gallon of gasoline when 10 percent ethanol is used. Delivery infrastructure issues requiring attention before demand reaches this level include: rail terminals able to unload more than a few cars, constraints on the Inland Waterway System, and a possible shortage of Oil Pollution Act of 1990-compliant Jones Act vessels. However, our analysis concludes that the major transportation mode for ethanol will be rail. The number of entities needing to invest to make the needed infrastructure changes is large, and breakdowns in pieces of the chain could affect ultimate supply availability. This implies that the transitions beginning in 2004, particularly the large volumes of ethanol required to flow to California, could result in some initial supply dislocations and price volatility. Even after the transition periods, coastal RFG areas dependent on ethanol, which requires a separate distribution system from gasoline that includes railcar and water transport, could experience increased price volatility if distribution becomes hampered due to events such as flooding and winter storms, as has been the case with other fuel disruptions.
INTER-REGIONAL TRANSPORTATION ISSUES AND ASSOCIATED COSTS FOR RENEWABLE FUELS
Probably the largest issue associated with increased ethanol use is distribution. Since EIA has not performed detailed analysis of ethanol transportation issues, the EIA transportation paper largely summarizes recent work by Downstream Alternatives, Inc., (DAI) for the U.S. Department of Energy. The DAI analysis found that expanding the market for ethanol to 5.1 billion gallons per year results in an estimated average national cost of about 8 cents per gallon of ethanol to transport it to markets. This translates to a cost of about 1 cent per gallon of gasoline when 10 percent ethanol is used. Delivery infrastructure issues requiring attention before demand reaches this level include: rail terminals able to unload more than a few cars, constraints on the Inland Waterway System, and a possible shortage of Oil Pollution Act of 1990-compliant Jones Act vessels. However, our analysis concludes that the major transportation mode for ethanol will be rail. The number of entities needing to invest to make the needed infrastructure changes is large, and breakdowns in pieces of the chain could affect ultimate supply availability. This implies that the transitions beginning in 2004, particularly the large volumes of ethanol required to flow to California, could result in some initial supply dislocations and price volatility. Even after the transition periods, coastal RFG areas dependent on ethanol, which requires a separate distribution system from gasoline that includes railcar and water transport, could experience increased price volatility if distribution becomes hampered due to events such as flooding and winter storms, as has been the case with other fuel disruptions.
Two interesting stocks to watch for Thursday!!
Interesting raising stocks and volume:
These two stocks really struck me yesterday, and will be interesting to watch for today! Blue Dolphin Energy Co. (BDCO): shares of Houston, Texas based natural gas and oil exploration company jumped 40.12% or $2.03 to $7.09 as the company reported second consecutive profitable quarter. The stock is the leading gainer on Nasdaq today with 10.5 million shares traded, about 13 times average volumn.
This one was interesting too! Plug Power Inc.(PLUG): shares of Latham, NY based proton exchange membrance fuel cell technology company surged 22.54% or $1.1 to $5.98 on new investment from two Russian investment firm worth $217 million. The stock is the fifth leading advancer on Nasdaq today with 28.5 million shares traded, the twelveth most heaviest traded on Nasdaq.
These two stocks really struck me yesterday, and will be interesting to watch for today! Blue Dolphin Energy Co. (BDCO): shares of Houston, Texas based natural gas and oil exploration company jumped 40.12% or $2.03 to $7.09 as the company reported second consecutive profitable quarter. The stock is the leading gainer on Nasdaq today with 10.5 million shares traded, about 13 times average volumn.
This one was interesting too! Plug Power Inc.(PLUG): shares of Latham, NY based proton exchange membrance fuel cell technology company surged 22.54% or $1.1 to $5.98 on new investment from two Russian investment firm worth $217 million. The stock is the fifth leading advancer on Nasdaq today with 28.5 million shares traded, the twelveth most heaviest traded on Nasdaq.
Bausch & Lomb, bol, renu
Okay, so what's all this talk about Bausch & Lomb, and there product or lack of product called renu. These are the all the questions we are asking and wondering! Here is a little background info...the fungus, called Fusarium, is commonly found in plant material and soil in tropical and subtropical regions. Without eye-drop treatment, which can last two to three months, the infection can scar the cornea and blind its victims.
Symptoms can include blurry vision, pain or redness, increased sensitivity to light and excessive discharge from the eye. It is not transmitted from person to person.
In February, Bausch & Lomb stopped shipments of ReNu in Singapore and Hong Kong after a similar spike in infections was reported in contact-lens wearers there. It is partnering with health authorities and researchers to investigate the extent and cause of the outbreak, which also surfaced in Malaysia.
More than 30 million Americans wear contact lenses, and the ReNu brand generated $45 million in U.S. sales last year.
Well, so what's the word now...well everyone the street, and evening Kramer I think is saying SELL! It's up to you....what you want to do...but I would be jumping ship if I were a owner of stock in this one!
Symptoms can include blurry vision, pain or redness, increased sensitivity to light and excessive discharge from the eye. It is not transmitted from person to person.
In February, Bausch & Lomb stopped shipments of ReNu in Singapore and Hong Kong after a similar spike in infections was reported in contact-lens wearers there. It is partnering with health authorities and researchers to investigate the extent and cause of the outbreak, which also surfaced in Malaysia.
More than 30 million Americans wear contact lenses, and the ReNu brand generated $45 million in U.S. sales last year.
Well, so what's the word now...well everyone the street, and evening Kramer I think is saying SELL! It's up to you....what you want to do...but I would be jumping ship if I were a owner of stock in this one!
Monday, April 10, 2006
HIBB....looks to be good to us...but you do the research yourself!
HIBB
Let's take a little time to check this one out...so let's talk about Hibbett. Let's see if the stock still looks like it belongs or a buy.
First of all, their business. According to the Yahoo "Profile" on Hibbett, the company
"...operates sporting goods stores in small to mid-sized markets in the southeast, mid-atlantic, and midwest United States. The company, through its stores, offers athletic equipment, footwear, and apparel. As of February 2, 2006, it operated 549 Hibbett Sports stores, including smaller-format Sports Additions athletic shoe stores and larger format Sports & Co. superstores."
Let's check and see if there is any news of significance on the company.
The latest news appears to be the 4th quarter 2006 earnings report. Reported on March 9, 2006, the company reported:
"Net sales for the 13-week period ended January 28, 2006, increased 12.8% to $120.8 million compared with $107.1 million for the 13-week period ended January 29, 2005. Comparable store sales increased 2.5% in the fourth quarter of fiscal 2006. Net income for the fourth fiscal quarter increased 21.7% to $9.9 million compared with $8.1 million in the fourth fiscal quarter of last year. Earnings per diluted share increased 26.1% to $0.29 compared with $0.23 per diluted share in the prior year."
So from my perspective this was a satisfactory report. Revenue was up nicely, earnings were solid, but the same store sales gain of 2.5% is a bit anemic and I suspect that is why the stock price is currently consolidating instead of continuing to charge higher.
How about longer-term?
Looking at the Morningstar.com "5-Yr Restated" financials on HIBB is simply drop-dead gorgeous. This is a textbook example of what I am looking for in a stock. I mean talking about having all of your ducks in a row!
Revenue has steadily grown from $210 million in 2001 to $378 million in 2005 and $427 million in the trailing twelve months (TTM). Earnings have also been steadily growing from $.32/share in 2001 to $.71/share in 2005 and $.92/share in the TTM. Shares outstanding has also been fairly steady with 33 million in 2001, increasing to 35 million by 2005 and 36 million in the TTM.
Free cash flow? Also perfect imho. With $11 million in 2003, increasing to $33 million in 2005 and $35 million in the TTM.
What about the Morningstar.com reported balance sheet? Calculating the "current ratio", comparing the total current assets to the current liabilities, gives us a total of $155.2 million in current asets, balanced against $56.7 million in current liabilities--almost a current ratio of 3. The current assets can easily pay off the total combined liabilities of $70 million, more than two times over.
What about some valuation numbers on this stock?
Reviewing the Yahoo "Key Statistics" on Hibbett, we find that HIBB is a mid-cap stock with a market capitalization of $1.1 billion. The trailing p/e is a moderate 31.37, with a forward p/e (fye 28-Jan-08) of only 23.42. Calculating the PEG based on the 5 Yr Expected growth, gives us a PEG of only 1.19. Thus, valuation by this measure isn't bad at all.
According to the Fidelity.com eResearch website, Hibb is the 'priciest' of the stocks in the "Sporting Goods Stores" industrial group, with a Price/Sales ratio of 2.5. This is followed by Golf Galaxy (GGA) at 1.5, Dick's Sporting Goods (DKS) at 0.8, Big 5 Sporting Goods (BGFV) at 0.5, and Sports Authority (TSA) at 0.4. No bargain by this parameter!
Finishing up with Yahoo, we find that there are 35.71 million shares outstanding with 35.47 million of them that float. Currently there are 1.62 million shares out short (3/10/06) representing 4.60% of the float, or 7.2 trading days of volume. This number, if I use my arbitrary 3 day cut-off, looks significant to me and on any good news, the short-sellers could be subject to a bit of a squeeze as they scramble to cover. However, on the other hand, a heavy dose of short-sellers suggest investors who believe the stock should be trading lower.
Let's take a little time to check this one out...so let's talk about Hibbett. Let's see if the stock still looks like it belongs or a buy.
First of all, their business. According to the Yahoo "Profile" on Hibbett, the company
"...operates sporting goods stores in small to mid-sized markets in the southeast, mid-atlantic, and midwest United States. The company, through its stores, offers athletic equipment, footwear, and apparel. As of February 2, 2006, it operated 549 Hibbett Sports stores, including smaller-format Sports Additions athletic shoe stores and larger format Sports & Co. superstores."
Let's check and see if there is any news of significance on the company.
The latest news appears to be the 4th quarter 2006 earnings report. Reported on March 9, 2006, the company reported:
"Net sales for the 13-week period ended January 28, 2006, increased 12.8% to $120.8 million compared with $107.1 million for the 13-week period ended January 29, 2005. Comparable store sales increased 2.5% in the fourth quarter of fiscal 2006. Net income for the fourth fiscal quarter increased 21.7% to $9.9 million compared with $8.1 million in the fourth fiscal quarter of last year. Earnings per diluted share increased 26.1% to $0.29 compared with $0.23 per diluted share in the prior year."
So from my perspective this was a satisfactory report. Revenue was up nicely, earnings were solid, but the same store sales gain of 2.5% is a bit anemic and I suspect that is why the stock price is currently consolidating instead of continuing to charge higher.
How about longer-term?
Looking at the Morningstar.com "5-Yr Restated" financials on HIBB is simply drop-dead gorgeous. This is a textbook example of what I am looking for in a stock. I mean talking about having all of your ducks in a row!
Revenue has steadily grown from $210 million in 2001 to $378 million in 2005 and $427 million in the trailing twelve months (TTM). Earnings have also been steadily growing from $.32/share in 2001 to $.71/share in 2005 and $.92/share in the TTM. Shares outstanding has also been fairly steady with 33 million in 2001, increasing to 35 million by 2005 and 36 million in the TTM.
Free cash flow? Also perfect imho. With $11 million in 2003, increasing to $33 million in 2005 and $35 million in the TTM.
What about the Morningstar.com reported balance sheet? Calculating the "current ratio", comparing the total current assets to the current liabilities, gives us a total of $155.2 million in current asets, balanced against $56.7 million in current liabilities--almost a current ratio of 3. The current assets can easily pay off the total combined liabilities of $70 million, more than two times over.
What about some valuation numbers on this stock?
Reviewing the Yahoo "Key Statistics" on Hibbett, we find that HIBB is a mid-cap stock with a market capitalization of $1.1 billion. The trailing p/e is a moderate 31.37, with a forward p/e (fye 28-Jan-08) of only 23.42. Calculating the PEG based on the 5 Yr Expected growth, gives us a PEG of only 1.19. Thus, valuation by this measure isn't bad at all.
According to the Fidelity.com eResearch website, Hibb is the 'priciest' of the stocks in the "Sporting Goods Stores" industrial group, with a Price/Sales ratio of 2.5. This is followed by Golf Galaxy (GGA) at 1.5, Dick's Sporting Goods (DKS) at 0.8, Big 5 Sporting Goods (BGFV) at 0.5, and Sports Authority (TSA) at 0.4. No bargain by this parameter!
Finishing up with Yahoo, we find that there are 35.71 million shares outstanding with 35.47 million of them that float. Currently there are 1.62 million shares out short (3/10/06) representing 4.60% of the float, or 7.2 trading days of volume. This number, if I use my arbitrary 3 day cut-off, looks significant to me and on any good news, the short-sellers could be subject to a bit of a squeeze as they scramble to cover. However, on the other hand, a heavy dose of short-sellers suggest investors who believe the stock should be trading lower.
Tuesday, April 04, 2006
another example of free float
another example of free float
Majority of stocks(smallcaps) we cover have a market
cap under 1b, some 100m, 300m, microcaps sometimes dip
under 50m. The float can range from 1-10million, some
higher. The float is useless unless you have volume or
momentum come to the stock because of excellent
earnings, a good story etc. The smaller the float, the
greater chance of imbalances..the greater the
volatility in the stock, it can flow both
ways......"supply/demand"... big buyer(s) roll in and
momentum is born.
A stock like POSH will not get momentum just b/c of
its float, its EPS is in the red. MOMO traders want to
buy a bigger crib,not a baby crib. I'd even question
in the CEO buying a puny amount in anticipation of a
listing on the NASD, increase in volume was tiny and
was also in anticpation of the exchange switch. Looks
like someone wasn't wearing a bip since it listed on
NASD.
Majority of stocks(smallcaps) we cover have a market
cap under 1b, some 100m, 300m, microcaps sometimes dip
under 50m. The float can range from 1-10million, some
higher. The float is useless unless you have volume or
momentum come to the stock because of excellent
earnings, a good story etc. The smaller the float, the
greater chance of imbalances..the greater the
volatility in the stock, it can flow both
ways......"supply/demand"... big buyer(s) roll in and
momentum is born.
A stock like POSH will not get momentum just b/c of
its float, its EPS is in the red. MOMO traders want to
buy a bigger crib,not a baby crib. I'd even question
in the CEO buying a puny amount in anticipation of a
listing on the NASD, increase in volume was tiny and
was also in anticpation of the exchange switch. Looks
like someone wasn't wearing a bip since it listed on
NASD.
What is a float, definition of float, investing float
What exactly is a company's float?
The term "float" refers to the regular shares that a company has issued to the public that are available for investors to transact. This figure is derived by taking a company's outstanding shares and subtracting from it any restricted stock. (Restricted stock is stock that is under some sort of sales restriction: for example, stock that is held by insiders and cannot be traded because they are in a lock-up period following an initial public offering.)
A company's float is an important number for investors because it indicates how many shares are actually available to be bought and sold by the general investing public. The company is not responsible for how shares within the float are traded by the public - this is a function of the secondary market. Therefore, shares that are purchased, sold or even shorted by investors do not affect the float because these actions do not represent a change in the number of shares available for trade: they simply represent a redistribution of shares. Similarly, the creation and trading of options on a stock do not affect the float.
Still don't quite understand what a float is? Here's an example:
Say the SUNW Sun Micro Systems has 10,000,000 shares in total, but 3,000,000 shares are held by insiders who acquired these shares through some type of share distribution plan. Because the employees of SUNW are not allowed to trade these stocks for a certain period of time, they are considered to be restricted. Therefore, the company's float would be 7,000,000 (10,000,000 – 3,000,000 = 7,000,000). In other words, only 7,000,000 shares are available for trade by Joe and Jane America (or Canada, or China, or England, and so on).
It should also be noted that there is an inverse correlation between the size of a company's float and the volatility of the stock's price. This makes sense when you think about it: the greater the number of shares available for trade, the less volatility the stock will display because the harder it is for a smaller number of shares to move the price.
The term "float" refers to the regular shares that a company has issued to the public that are available for investors to transact. This figure is derived by taking a company's outstanding shares and subtracting from it any restricted stock. (Restricted stock is stock that is under some sort of sales restriction: for example, stock that is held by insiders and cannot be traded because they are in a lock-up period following an initial public offering.)
A company's float is an important number for investors because it indicates how many shares are actually available to be bought and sold by the general investing public. The company is not responsible for how shares within the float are traded by the public - this is a function of the secondary market. Therefore, shares that are purchased, sold or even shorted by investors do not affect the float because these actions do not represent a change in the number of shares available for trade: they simply represent a redistribution of shares. Similarly, the creation and trading of options on a stock do not affect the float.
Still don't quite understand what a float is? Here's an example:
Say the SUNW Sun Micro Systems has 10,000,000 shares in total, but 3,000,000 shares are held by insiders who acquired these shares through some type of share distribution plan. Because the employees of SUNW are not allowed to trade these stocks for a certain period of time, they are considered to be restricted. Therefore, the company's float would be 7,000,000 (10,000,000 – 3,000,000 = 7,000,000). In other words, only 7,000,000 shares are available for trade by Joe and Jane America (or Canada, or China, or England, and so on).
It should also be noted that there is an inverse correlation between the size of a company's float and the volatility of the stock's price. This makes sense when you think about it: the greater the number of shares available for trade, the less volatility the stock will display because the harder it is for a smaller number of shares to move the price.
Monday, April 03, 2006
some stocks, take them for what they are worth!
Here are 10 more stocks to be checking out and IBD backs these stocks up with there high rating on them! And I think they are very worth looking at. So check these stocks out and decide for yourself which one you want to take some investing in!
1. Netease.com (NTES) - Earnings Per Share Rating: 99.* The China-based Internet company has a three-year EPS growth rate of 97% and a three-year sales growth rate of 83%.
2. Hansen Natural (HANS) - EPS Rating: 99. On March 9, the beverage firm reported its ninth straight quarter of triple-digit profit growth.
3. F5 Networks (FFIV) - EPS Rating: 98. The maker of products used to manage Internet traffic has ridden its 50-day moving average higher since its Jan. 3 breakout.
4. Las Vegas Sands (LVS) - EPS Rating: 98. The casino operator is in the running with three other groups to build Singapore’s first casino resort. Annual return on equity at the end of 2005 was 25.9%.
5. OmniVision Technologies (OVTI) - EPS Rating: 97. Its image sensors were recently selected by a German automotive parts supplier for use in rearview cameras. Annual profit margin in 2005 hit a multi-year high of 27.3%.
6. Multi-Fineline Electronix (MFLX) - EPS Rating: 92. The maker of printed circuit boards used in cell phones, personal digital assistants and bar-code scanners recently announced plans to acquire Singapore-based MFS Technology for $500 million in cash and stock.
7. Hittite Microwave (HITT) - EPS Rating: 92. The recent new issue and maker of integrated circuits is just one of many emerging leaders in IBD’s Electronics-Semiconductor Mfg group. In mid-February, the chipmaker reported a 64% rise in Q4 profit of 23 cents a share, 4 cents above estimates.
8. Gilead Sciences (GILD) - EPS Rating: 99. Its bird flu vaccine – Tamiflu – has been selling well and two of its AIDS drugs continue show promise. The company has a three-year EPS growth rate of 75% and a three-year sales growth rate of 59%.
9. JLG Industries (JLG) - EPS Rating: 85. The maker of aerial work platforms has been a standout performer in IBD’s Machinery-Construction/Mining group. In the past 12 months, the stock has risen 196% compared to a 91% gain for its industry group.
10. Pike Electric (PEC) - EPS Rating: 84. The provider of outsourced electric distribution and transmission services went public in July 2005 at $14. In early February, the company said fiscal second-quarter profit surged 310% to 41 cents a share, well above views of 27 cents.
Out of some of more stock research on these stocks that were mentioned above. We would probably take NTES, GILD, OVIT, and PEC. We feel that these are the solid and very good ones to really check out more so!!
1. Netease.com (NTES) - Earnings Per Share Rating: 99.* The China-based Internet company has a three-year EPS growth rate of 97% and a three-year sales growth rate of 83%.
2. Hansen Natural (HANS) - EPS Rating: 99. On March 9, the beverage firm reported its ninth straight quarter of triple-digit profit growth.
3. F5 Networks (FFIV) - EPS Rating: 98. The maker of products used to manage Internet traffic has ridden its 50-day moving average higher since its Jan. 3 breakout.
4. Las Vegas Sands (LVS) - EPS Rating: 98. The casino operator is in the running with three other groups to build Singapore’s first casino resort. Annual return on equity at the end of 2005 was 25.9%.
5. OmniVision Technologies (OVTI) - EPS Rating: 97. Its image sensors were recently selected by a German automotive parts supplier for use in rearview cameras. Annual profit margin in 2005 hit a multi-year high of 27.3%.
6. Multi-Fineline Electronix (MFLX) - EPS Rating: 92. The maker of printed circuit boards used in cell phones, personal digital assistants and bar-code scanners recently announced plans to acquire Singapore-based MFS Technology for $500 million in cash and stock.
7. Hittite Microwave (HITT) - EPS Rating: 92. The recent new issue and maker of integrated circuits is just one of many emerging leaders in IBD’s Electronics-Semiconductor Mfg group. In mid-February, the chipmaker reported a 64% rise in Q4 profit of 23 cents a share, 4 cents above estimates.
8. Gilead Sciences (GILD) - EPS Rating: 99. Its bird flu vaccine – Tamiflu – has been selling well and two of its AIDS drugs continue show promise. The company has a three-year EPS growth rate of 75% and a three-year sales growth rate of 59%.
9. JLG Industries (JLG) - EPS Rating: 85. The maker of aerial work platforms has been a standout performer in IBD’s Machinery-Construction/Mining group. In the past 12 months, the stock has risen 196% compared to a 91% gain for its industry group.
10. Pike Electric (PEC) - EPS Rating: 84. The provider of outsourced electric distribution and transmission services went public in July 2005 at $14. In early February, the company said fiscal second-quarter profit surged 310% to 41 cents a share, well above views of 27 cents.
Out of some of more stock research on these stocks that were mentioned above. We would probably take NTES, GILD, OVIT, and PEC. We feel that these are the solid and very good ones to really check out more so!!
7 stocks worth looking to trade or worth researching for yourself
7 stocks worth looking to trade or worth researching for yourself
Raytheon (NYSE:RTN - News) raised its dividend by 9% and will increased its stock buyback program by $750 million. The fundamentals look on on this one, but only getting a 5 out of 10 for the long term side!
Cognos (NasdaqNM:COGN - News) beat earnings by $.10, announcing $0.48 EPS. We give this one a 6 out of 10 so it's on the positive, but just something to let you know about and maybe look into more. Research is the key!
Merix (NasdaqNM:MERX - News) beat earnings, announcing $0.14 EPS versus expected $.02.
Home Solutions (AMEX:HOM - News) missed by a penny, announcing $.09 versus expected $.10 EPS. This one is an interesting to keep an eye on!
Tom Online (NasdaqNM:TOMO - News) looks like a buy to strong buy and initiated with a buy at Brean Murray.
Blockbuster (NYSE:BBI - News) was raised to Peer Perform from Underperform at Bear Stearns. Beware, but this could be a good one...I mean really look around the block how many Blockbusters do you have around your neighborhood!
Bank of America downgraded Asyst (NasdaqNM:ASYT - News) to neutral from Buy. Long term, long term moving average, short term, and short term moving average are on looking like a go on this one!!
Raytheon (NYSE:RTN - News) raised its dividend by 9% and will increased its stock buyback program by $750 million. The fundamentals look on on this one, but only getting a 5 out of 10 for the long term side!
Cognos (NasdaqNM:COGN - News) beat earnings by $.10, announcing $0.48 EPS. We give this one a 6 out of 10 so it's on the positive, but just something to let you know about and maybe look into more. Research is the key!
Merix (NasdaqNM:MERX - News) beat earnings, announcing $0.14 EPS versus expected $.02.
Home Solutions (AMEX:HOM - News) missed by a penny, announcing $.09 versus expected $.10 EPS. This one is an interesting to keep an eye on!
Tom Online (NasdaqNM:TOMO - News) looks like a buy to strong buy and initiated with a buy at Brean Murray.
Blockbuster (NYSE:BBI - News) was raised to Peer Perform from Underperform at Bear Stearns. Beware, but this could be a good one...I mean really look around the block how many Blockbusters do you have around your neighborhood!
Bank of America downgraded Asyst (NasdaqNM:ASYT - News) to neutral from Buy. Long term, long term moving average, short term, and short term moving average are on looking like a go on this one!!
high yield stocks!
Here are some high yield stocks to be looking for. Remember it's important to check the volume and not only volume, but also daily volume. And you will note that all of these following high yield stocks have an daily average of over 500,000 volume. Also, all of thise high yield stocks have at least high yield of 4% or more!
Check these out, and keep your eye on those high yield stocks today!
Citigroup (NYSE:C) 47.23- 1.96 (4.10%)
AT & T (NYSE:T) 27.04 - 1.33 (4.90%)
Southern Copper (NYSE:PCU) 84.48 - 11.00 (13.00%)
Cedar Fair LP (NYSE:FUN) 29.25 - 1.88 (6.40%)
New Century Financial (NYSE:NEW) 46.02 - 7.00 (15.20%)
Lear Corp. (NYSE:LEA) 17.73 - 1.00 (5.60%)
Citizen Communications (NYSE:CZN) 13.27 - 1.00 (7.40%)
General Motors (NYSE:GM) 21.27 - 1.00 (4.70%)
Others to note that have high yield dividend
KNightsbridge Tankers (NasdaqNM:VLCCF) 25.06 - 3.20 (12.80%)
You take your pick on these great high yield dividend stocks
Check these out, and keep your eye on those high yield stocks today!
Citigroup (NYSE:C) 47.23- 1.96 (4.10%)
AT & T (NYSE:T) 27.04 - 1.33 (4.90%)
Southern Copper (NYSE:PCU) 84.48 - 11.00 (13.00%)
Cedar Fair LP (NYSE:FUN) 29.25 - 1.88 (6.40%)
New Century Financial (NYSE:NEW) 46.02 - 7.00 (15.20%)
Lear Corp. (NYSE:LEA) 17.73 - 1.00 (5.60%)
Citizen Communications (NYSE:CZN) 13.27 - 1.00 (7.40%)
General Motors (NYSE:GM) 21.27 - 1.00 (4.70%)
Others to note that have high yield dividend
KNightsbridge Tankers (NasdaqNM:VLCCF) 25.06 - 3.20 (12.80%)
You take your pick on these great high yield dividend stocks
Is wireless where it's at these days or what?
Wireless stocks, is this where it's at or not. After last Thursday we were beginning to wonder. Thursday the wireless stocks rallied pretty big, with Nokia leading the way with a strong forecast in cell phon growth globally this year.
Though you can not leave out Texas Instruments (up $1.01 to $33.00), TI is the number one maker of cell phone chips that counts Nokia as its biggest customer, saw its stock rise about 3 percent, and chipmaker RF Micro (up $0.37 to $8.69, Research), another large Nokia customer, gained about 4.5 percent.
Nokia (up $0.83 to $21.05)'s U.S. shares rallied nearly 4 percent, while rival Motorola (up $0.44 to $23.21) gained about 2 percent.
Nokia also launched three new phone models, unveiling the handsets in China as it targets new clients in fast-growing emerging markets, Reuters reported.
When talking wirelss you can never talk that without mentioning this one. Qualcomm (up $0.42 to $51.14), which makes integrated circuits and software for wireless products. Its shares rose as well.
We are thinking this one looks suprisely strong as well. Check this out for yourself, but it might be one to watch for little while and see for yourself. Skyworks (up $0.11 to $6.94, SWKS), which makes chips and integrated circuits for mobile phones.
A pair of analyst upgrades this week helped boost shares of the company, which had a difficult 2005 thanks to lost market share. Analysts think the company is poised to gain share from its rivals this year. Skyworks currently trades at around 30 times expected 2006 earnings.
In the small-cap front, you could look into this one Anadigics (up $0.11 to $7.46, ANAD), which makes integrated circuits.
Though you can not leave out Texas Instruments (up $1.01 to $33.00), TI is the number one maker of cell phone chips that counts Nokia as its biggest customer, saw its stock rise about 3 percent, and chipmaker RF Micro (up $0.37 to $8.69, Research), another large Nokia customer, gained about 4.5 percent.
Nokia (up $0.83 to $21.05)'s U.S. shares rallied nearly 4 percent, while rival Motorola (up $0.44 to $23.21) gained about 2 percent.
Nokia also launched three new phone models, unveiling the handsets in China as it targets new clients in fast-growing emerging markets, Reuters reported.
When talking wirelss you can never talk that without mentioning this one. Qualcomm (up $0.42 to $51.14), which makes integrated circuits and software for wireless products. Its shares rose as well.
We are thinking this one looks suprisely strong as well. Check this out for yourself, but it might be one to watch for little while and see for yourself. Skyworks (up $0.11 to $6.94, SWKS), which makes chips and integrated circuits for mobile phones.
A pair of analyst upgrades this week helped boost shares of the company, which had a difficult 2005 thanks to lost market share. Analysts think the company is poised to gain share from its rivals this year. Skyworks currently trades at around 30 times expected 2006 earnings.
In the small-cap front, you could look into this one Anadigics (up $0.11 to $7.46, ANAD), which makes integrated circuits.
Saturday, April 01, 2006
Limit Price Tip
Limit Price Tip
Here?s another term that we heard regularly during the stock market bubble of the 1990s but not much since the millennium. It?s an artificial ?circuit breaker? designed to prevent a spark of buying or selling from exploding into a full-blown panic.
The various futures markets set a ?limit? price before each session based on the settlement price at the end of the previous day?s trading. If the price of a particular futures contract hits the limit price, trading is suspended for a specific period of time. When trading resumes, the limit price is as far as the action can go. There is a ?limit up? for buying sprees and a ?limit down? for major sell-offs. If the contract is limit up or limit down for more than one day it is now ?lock limit.?
Future contracts cover a large number of commodities. Stock traders in particular watch the DOW futures and the NASDAQ 100 futures. The action in those futures pits, especially before the opening bell for a new session at the NYSE or NASDAQ, helps traders determine whether the open for the cash market will be strong or weak or going nowhere. If the DOW futures are soaring, traders tend to go long; if they?re collapsing, traders tend to go short.
Limits are set in place to prevent the buyers or sellers from taking the index too far, too quickly.
For example, the NASDAQ 100 has an initial limit at 20 points above or below the previous day?s settlement price. The limit is in effect for two minutes. When trading resumes, the next limit is at 30 points, and it is in effect for 15 minutes. Then comes 60 points for 30 minutes and 85 points for one hour. When the change is 100 index points up or down, it is at lock limit.
The limits are tested in most cases by news events. A horrible headline can send the futures to their limit in a flash. The last time we remember that occurring was in the aftermath of the 9-11 attack. The markets were closed from the start of the assault until the following Monday. The futures were at limit down before the start of trading, as we recall.
The goal is to allow people some time to catch their breath and digest the information that initiated the rash of buying or selling. Cooler heads usually prevail. After the limit is lifted, trading may still be frantic but not out of control. This is especially important during a sell-off. The last thing the exchanges want is a panic-induced rush to the exits that sends prices into an irreversible tailspin.
How should you, the individual investor, respond if you flip on CNBC one morning and see the DOW or NASDAQ futures at limit up or limit down? Not much, in most cases. Trying to buy shares in a run-up or dump shares in a major decline will probably result in a poor fill or no fill and a nasty case of whiplash from a whipsawing market.
However, if you have good day trading tools you can attempt to play the inevitable reversals. The market always overreacts; when the DOW drops 100 or 200 points in short order, it will come back before resuming its decline. Buying and then quickly selling an index-tracking Exchange Traded Fund, or ETF, could net some nice profits.
The same goes when the DOW or NASDAQ blast higher. The indexes will likely pause and decline for a spell as individual stock traders take their profits. At that point, short selling an ETF like the DOW ?Diamonds? (DIA) or NASDAQ ?Qubes? (QQQ) should work. ETFs, unlike stocks, have a special advantage because they don?t require waiting for an ?uptick,? or rise in price, before filling a short sale.
Here?s another term that we heard regularly during the stock market bubble of the 1990s but not much since the millennium. It?s an artificial ?circuit breaker? designed to prevent a spark of buying or selling from exploding into a full-blown panic.
The various futures markets set a ?limit? price before each session based on the settlement price at the end of the previous day?s trading. If the price of a particular futures contract hits the limit price, trading is suspended for a specific period of time. When trading resumes, the limit price is as far as the action can go. There is a ?limit up? for buying sprees and a ?limit down? for major sell-offs. If the contract is limit up or limit down for more than one day it is now ?lock limit.?
Future contracts cover a large number of commodities. Stock traders in particular watch the DOW futures and the NASDAQ 100 futures. The action in those futures pits, especially before the opening bell for a new session at the NYSE or NASDAQ, helps traders determine whether the open for the cash market will be strong or weak or going nowhere. If the DOW futures are soaring, traders tend to go long; if they?re collapsing, traders tend to go short.
Limits are set in place to prevent the buyers or sellers from taking the index too far, too quickly.
For example, the NASDAQ 100 has an initial limit at 20 points above or below the previous day?s settlement price. The limit is in effect for two minutes. When trading resumes, the next limit is at 30 points, and it is in effect for 15 minutes. Then comes 60 points for 30 minutes and 85 points for one hour. When the change is 100 index points up or down, it is at lock limit.
The limits are tested in most cases by news events. A horrible headline can send the futures to their limit in a flash. The last time we remember that occurring was in the aftermath of the 9-11 attack. The markets were closed from the start of the assault until the following Monday. The futures were at limit down before the start of trading, as we recall.
The goal is to allow people some time to catch their breath and digest the information that initiated the rash of buying or selling. Cooler heads usually prevail. After the limit is lifted, trading may still be frantic but not out of control. This is especially important during a sell-off. The last thing the exchanges want is a panic-induced rush to the exits that sends prices into an irreversible tailspin.
How should you, the individual investor, respond if you flip on CNBC one morning and see the DOW or NASDAQ futures at limit up or limit down? Not much, in most cases. Trying to buy shares in a run-up or dump shares in a major decline will probably result in a poor fill or no fill and a nasty case of whiplash from a whipsawing market.
However, if you have good day trading tools you can attempt to play the inevitable reversals. The market always overreacts; when the DOW drops 100 or 200 points in short order, it will come back before resuming its decline. Buying and then quickly selling an index-tracking Exchange Traded Fund, or ETF, could net some nice profits.
The same goes when the DOW or NASDAQ blast higher. The indexes will likely pause and decline for a spell as individual stock traders take their profits. At that point, short selling an ETF like the DOW ?Diamonds? (DIA) or NASDAQ ?Qubes? (QQQ) should work. ETFs, unlike stocks, have a special advantage because they don?t require waiting for an ?uptick,? or rise in price, before filling a short sale.
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