Archive for March, 2010

I Need My Starbucks (SBUX)

Thursday, March 25th, 2010
Facebooktwittergoogle_plusredditpinterestlinkedinmail

I totally missed this last year. While tempted, I was thinking like everyone else, which is that people won’t be spending so much on high end coffee, no matter how good Starbucks is (I wasn’t). The price more the doubled without me, and now they are going to start offering a dividend. I also found out they own my slightly cheaper favorite, Seattle’s Best.

So now I’m the look out for the right entry price (again).

Nabi Biopharmaceuticals (NABI)

Wednesday, March 24th, 2010
Facebooktwittergoogle_plusredditpinterestlinkedinmail

They’re eating their own dog food, the Foolish CAPs are set in their direction, and even stockGuru has a fairly close re-entry point today. But NABI’s sudden climb to a new level in November 2009 has me concerned. Still, it has potential, so setting a paranoid limit buy at 5.04

Cherokee Inc. (CHKE)

Monday, March 22nd, 2010
Facebooktwittergoogle_plusredditpinterestlinkedinmail

Evaluating my holdings of CHKE, I saw a Fool article in the Headlines section and decided to keep riding for awhile.

Tutor Perini Corporation (TPC)

Monday, March 22nd, 2010
Facebooktwittergoogle_plusredditpinterestlinkedinmail

Fools CAPs love it and TPC is buying their own stock back in a big way, so keeping an eye on this one.

APWR to the People(‘s Republic)

Wednesday, March 17th, 2010
Facebooktwittergoogle_plusredditpinterestlinkedinmail

Finally getting to reviewing my holdings for setting my out limits and was thinking about dumping A-Power Energy Generation Systems, Ltd. (APWR) at a loss to move the money elsewhere. But the Motley Fool CAPs have it as a 5 star, though all the comments point to long term. I’m not that deep in, so will set a high limit sell now and re-evaluate later.

APWR

Sequenom Inc. (SQNM)

Tuesday, March 16th, 2010
Facebooktwittergoogle_plusredditpinterestlinkedinmail

Today dropped some 20% today. IMO, this is market paranoia on top of an adjustment. I’m making a limit buy at 4.53 in hopes of selling off at $7 and keeping some for free.

Pop Dividends from Pepsi

Tuesday, March 16th, 2010
Facebooktwittergoogle_plusredditpinterestlinkedinmail

After seeing this in my in-box from one of my news searches:

PepsiCo Boosts Annual Dividend by 7%, Authorizes Stock Buyback

I set a limit buy for Pepsico, Inc. (PEP) at $61, while askStockGuru had them today at 62.3 for the conservative buy.

Good Technical Analysis Article

Friday, March 12th, 2010
Facebooktwittergoogle_plusredditpinterestlinkedinmail

The Basics of Technical Analysis

Looking at DF Again

Friday, March 12th, 2010
Facebooktwittergoogle_plusredditpinterestlinkedinmail

Last August I blogged here about Dean Foods. My numbers in that post were obviously wrong in hindsight, and I’m down about 7% today on that investment. But…Today I was looking at my WallStreetSurvivor portfolio where I bought earlier, and am doing worse. So I started looking into selling when I ran across one article making a buy recommendation, and askStockGuru had this to say today:

Retracement Trade: Consider buying when the price retraces around 14.6. Consider selling/shorting when the price approaches 17.83.

I notice that intraday trading fluctuates widely,  So I am looking to buy at 14.3 and sell at 17.6 to recoup my losses and have something to hold onto afterward. Let’s see how this one works out.

Taking the Joke Seriously

Thursday, March 11th, 2010
Facebooktwittergoogle_plusredditpinterestlinkedinmail

I recently received an email I believe was intended for my joke blog, but I took it up seriously. Below is the thread with names removed:

I’m not good at calculating these high numbers….but sure makes ya scratch your head!

Oilfield Math;

Working in the oilfield with others such as myself and a wealth of combined experience we understand the accuracy of the following.

Think of it this way:

A clunker that travels 12,000 miles a year at 15 mpg uses 800 gallons of gas a year.

A vehicle that travels 12,000 miles a year at 25 mpg uses 480 gallons a year.

So, the average Cash for Clunkers transaction will reduce US gasoline

consumption by 320 gallons per year.

They claim 700,000 vehicles so that’s 224 million gallons saved per year.

That equates to a bit over 5 million barrels of oil.

5 million barrels is about 5 hours worth of US consumption.

More importantly, 5 million barrels of oil at $70 per barrel costs about $350 million dollars

So, the government paid $3 billion of our tax dollars to save $350 million.

We spent $8.57 for every dollar we saved.

I’m pretty sure they will do a great job with our health care though.

Yup, those numbers are about right. Only thing is, saving spending on oil had nothing to do with the program. The program had to do with stimulating the economy by propping up an industry that was almost bankrupt, making the politicians look good by showing improved consumer spending and a rise in the stock market based on false recovery numbers and reduction in unemployment growth by employing those auto workers a few weeks longer.

The real number to look at is what the consumer that got cash for the clunker got out of it. Saving 320 gallons per year at 2.89 cents per gallon = $896 per year. A crappy car after the rebate is still about $10k financed. With an average credit rating, you will get it at about 7% and being the average desperate person you go for 6 year financing. That is $170.49 per month, or $2045.88 per year. The first 2 years are almost pure interest, so for the first two years you throw away $1149.88 per year for the privilege of improving the lifestyle of someone who owns Ford stock (do you?).

Of course, for those who were going to buy a car anyway, it was a great boon, however since sales increased by ~70%, that is darn few. The funniest part is that the cash for clunkers rebates were smaller than the manufacturer’s rebates that were suspended during the program and cost the dealers more, resulting in laying folks off locally instead of just in the car building states.

See today’s Non Sequitor for a perfect illustration of the whole concept 🙂

Cheers!

I’m not good at calculating these high numbers….but sure makes ya scratch your head!

Oilfield Math;

Working in the oilfield with others such as myself and a wealth of combined experience we understand the accuracy of the following.

Think of it this way:

A clunker that travels 12,000 miles a year at 15 mpg uses 800 gallons of gas a year.

A vehicle that travels 12,000 miles a year at 25 mpg uses 480 gallons a year.

So, the average Cash for Clunkers transaction will reduce US gasoline

consumption by 320 gallons per year.

They claim 700,000 vehicles so that’s 224 million gallons saved per year.

That equates to a bit over 5 million barrels of oil.

5 million barrels is about 5 hours worth of US consumption.

More importantly, 5 million barrels of oil at $70 per barrel costs about $350 million dollars

So, the government paid $3 billion of our tax dollars to save $350 million.

We spent $8.57 for every dollar we saved.

I’m pretty sure they will do a great job with our health care though.