Category Archive: Finance
Post-Draghi Panic Leads To Bidding Scramble For 30 Year Paper
And so things are back to normal: following yesterday’s unexpectedly poor 10 Year auction, which tailed notably while the bid to cover dipped despite it trading at the -3.00% fails rate in repo, moments ago the Treasury sold $12 billion in a 30Y reopening of Cusip RQ3, at a yield of 2.72%, stopping through the […]
SPX, Mind Your Gap
I have allowed for the S&P 500 to rise to 2030 (bounce target: 2000-2030) before starting to even think about a revision of the ongoing intermediate bearish analysis. Today’s post-Draghi roll over is not a positive but it does not preclude the market from getting up to the SMA 200. Either way, there is a […]
Outside-The-Box Value
I love Value investing, but it’s not always so easy to execute. The ratios are all well known and easy to calculate, so the low hanging fruit tends to get quickly arbitraged out of existence as everybody and anybody pounces, often leaving behind stocks that have modest ratios because the companies are dogs whose stocks […]
Expedia Advances After Analyst Upgrades Shares On HomeAway Potential
The shares of online travel agency Expedia (EXPE) are rallying after Piper Jaffray analyst Michael Olson upgraded his rating on the stock to Overweight from Neutral. The company should benefit from its acquisition of HomeAway ,while its core website is “performing well,” the analyst stated. WHAT’S NEW: HomeAway’s EBITDA contribution to Expedia should exceed Expedia’s guidance […]
Looking For Value Among Dow Jones Stocks
If you are looking for value stocks in the Dow Jones, the following chart may help. Management teams don’t usually target dividend yields significantly higher than their peers, and a high dividend yield could be an indication that management expects the stock price to go higher. (Theoretically, management has more [inside] information than you). Boeing, […]
What Buffett And Seth Klarman Say About EBITDA
Written by Hurricane Capital What Adjustments to Reported Earnings Do You Make? Here’s what Buffett and Munger had to say about EBITDA in the 2003 shareholder meeting. [When goodwill was required to be amortized,] we ignored amortization of goodwill and told our owners to ignore it, even though it was in GAAP [Generally Accepted Accounting Principles]. […]
McDonald’s To Take All-Day Breakfast To The Next Level
Suffice it to say McDonald’s all-day breakfast was a hit. The fast food chain, which struggled mightily from the end of 2013 through mid-2015, got a huge boost when it introduced an all-day breakfast menu last September, helping push a 5.7% same-store sales growth in the U.S. during the fourth quarter of 2015. Surprising as it is, customers weren’t […]
Draghi’s “Shock And Awe” Campaign Morphs Into “Shock And Aw Shucks”
In a series of stunning market reversals, ECB president Mario Draghi’s “Shock and Awe” campaign quickly morphed into “Shock and Aw Shucks”. Earlier this morning, Draghi pulled out a Bazooka Package that was supposed to sink the Euro and save the eurozone from the alleged evils of deflation. Draghi’s plan worked for all of 15 minutes. The market […]
Apple Vs. FBI – Why You Need To Care
Discussion about Apple vs. FBI and what it means to you on Fox 5 with Ben Simmoneau and Juliet Huddy. Video Length: 00:03:28
Mario Draghi’s Feeble-Minded Policies
As our heavenly father has smiled upon his servant Timothy Knight, the world is offering a complete and utter repudiation of Mario Draghi and his feeble-minded policies. Draghi wanted to crush the Euro (and precious metals), and his success lasted about 30 minutes. In turn, equities – – in which I have ONE HUNDRED AND FORTY THREE different […]
