CircleW is right about IBM, and I have included IBM in my new "long-term" portfolio that I have just recenlty assembled. I had a little IBM last week, and this morning I added a little more, thankfully, along with the addition of AAPL shares, which also turned out to be a very good thing. My total investment in IBM is only 130 shares, but I intend to keep them for a very long time, and I will add to them a little at a time when there are big dips that have nothing to actually do with IBM itself, such as general market jitters.
CircleW, I wished I listened to you a long time ago about IBM. You were soooo right about it!!
I'll tell you what. When I started to buy AAPL again after selling it at about $334, I was a little scared since I was now buying it $14-20 higher than where I made that horrible decision. I was telling mysel that this time, I was not going to screw around by getting scared out after it goes against me $5 or more. I am in it all the way this time. Perhaps, I will sell some of my shares after it rallies to above $400.
Wynn CEO Goes On Epic Anti-Obama Rant On Company Conference Call
I believe in Las Vegas. I think its best days are ahead of it. But I'm afraid to do anything in the current political environment in the United States. You watch television and see what's going on on this debt ceiling issue. And what I consider to be a total lack of leadership from the President and nothing's going to get fixed until the President himself steps up and wrangles both parties in Congress. But everybody is so political, so focused on holding their job for the next year that the discussion in Washington is nauseating.
And I'm saying it bluntly, that this administration is the greatest wet blanket to business, and progress and job creation in my lifetime. And I can prove it and I could spend the next 3 hours giving you examples of all of us in this market place that are frightened to death about all the new regulations, our healthcare costs escalate, regulations coming from left and right. A President that seems, that keeps using that word redistribution. Well, my customers and the companies that provide the vitality for the hospitality and restaurant industry, in the United States of America, they are frightened of this administration.And it makes you slow down and not invest your money. Everybody complains about how much money is on the side in America.
Enjoy! I keep track of it as we have a decent position in the stock. After their huge transformation a while back, they have good management and a strong tech plan for the future. There are questions regarding IBM's ability to meet earnings targets, however. Got to keep it balanced!
I should have invested $100G's in Ford in 2009 like you said! GM....NEVER!
I also agree with Len regarding the banks...look like a great move if you have the nerves of steel. The are in such a mess (covered up quite nicely from the uninformed masses) and the smaller regional/local banks are still failing every week, one by one.
Hey OW... I actually added to my IBM position, and I'm glad I did! Also added to my AAPL position at the same time... also glad I did.
Regarding the financials... it looks like C is actually starting to show me a profit, but I only own 375 shares of C.
As far as Ford goes, I'd still be a long-term buyer right about here. Don't miss your chance. Just don't buy too much at a time, and then add more shares a little at a time when/if it dips significantly.
Perfect timing. The market liked the report on beemer. I will consider your advice closely.
You are most resilient! Now stick with the good guys for a while. You can always devise a trading strategy around the fast movers. AAPL and IBM are good for a long time, afaic.
Banks are very tempting right now. As soon as the idiots raise the ceiling, I'll wager the financials move up.
You are most resilient! Now stick with the good guys for a while. You can always devise a trading strategy around the fast movers. AAPL and IBM are good for a long time, afaic.
That's the plan. I hope to have the best of both worlds. I have dedicated a portion of my account to long-term, thanks to your and Len's recent posts... and another portion of the account to day-trading, which I am taking a breather from for a little while, unless something comes along that begs to be day-traded.
Banks are very tempting right now. As soon as the idiots raise the ceiling, I'll wager the financials move up.
They are certainly still risky (especially BAC), but how often do we look back at some stocks that were previously crushed and wish we had bought them when their share prices were sooo far down?
That's why I bought a small number (500) of C shares. Citi's recent report (also Wells Fargo) wasn't too bad, but BAC might be riskier, IMO.
I will consider your advice closely.
I assume you are referring to Ford. I don't think the stock will soar, but years from now, I think it's possible that you could look back and wish you had bought it at this price point. Ford is extremely likely to be very successful on an international basis, IMO. But, that said, I'd go easy on it... I personally own only 1000 shares of F, so far.
Fun rant, but it rings a little hollow to me. First off, how have Wynn's finances fared over the past year? Looks like his stock is way up. Then, what are his suggestions for improvement? We can't emulate Ireland or Canton Zug nor Switzerland itself - what we piss away on direct and indirect aid to jerkwaters Israel and Pakistan alone probably equals a huge amount of their entire yearly outlay inclusive. And then, he's of course a Reid supporter, which means he did support Barry - does he believe the alternative would be faring better? And what about the illegal labor issue which is huge in the Vegas area? Huge drain on public funds there. Sounds like more sour grapes from someone born on second base.
Financiers own politicos, not the other way around.
CNBC had charts for the major banks on the right side of the screen earlier today daiplaying returns after a day a month etc on up to 20 years. BAC over 20 yeras has now had a ROI of 2.16%. That's not per year, that's the total return after 20 years. Citi was something like 42% and the leaders were GS and Chase. Clearly unless you are thinking either C or BAC goes bankrupt than both have nowhere to go but up.
BTW every bank is negative on ROI in the last 10 years.
You had asked me about some stocks for LT investing that I own or like.
My favorites are MCD, IBM, BBBY, AAPL (of course),PG, XOM. I'm not sold on Google yet. I've never mentioned this before but I own BBBY forever and it is a hell of a stock. I actually do not own MCD or IBM except thru mutuals. All of the above IMO will constantly reach new all time highs as fast as anything else (other than hot IPO's), will bounce right back from a fall back and are ultimate staples.
Have always thought AAPL reaches $450 by year end. The shame is it'll stilll be seriously undervalued at that price as Wall Street wants it for fear of great earnings more than anything else. It's the one stock that you look like a fool if you are controlling money and are underweighted at earnings report day. Clearly mutuals and others have been buying a lot recently as we get on top of earnings data later today. AAPL is now the biggest percentage holding of Fidelity Growth company (FDGRX). A month ago it wasn't in their top 5.
Sounds like more sour grapes from someone born on second base.
I know you like to think anyone that does well was born with a silver spoon. I don't think having your dad die as you finish college and leaving you in debt would fit that criteria.
Wynn's father ran a string of bingo parlors in eastern United States. In 1963, his father died of complications from open heart surgery in Minneapolis, leaving $350,000 of gaming debts, shortly before Wynn graduated from Penn with a Bachelor of Arts degree in English Literature.
Wynn took over running the family's bingo operation in Maryland. He did well enough at it to accumulate the money to buy a small stake in the Frontier Hotel and Casino in Las Vegas, where he and his wife Elaine moved in 1967.wiki
Sounds like he was able to run a gambling business. From $350k in debt to a current fortune of $2.3billion. Isn't that what the American dream is all about.
I think what he is saying is this country is poised to take off again. Obama is holding it back with his constant meddling with HC, EPA, ATF, etc etc. Nothing Obama does creates an atmosphere conducive to hiring people. That is what you are seeing in the stock market with the volatility.
Yes, you have been to wikipedia, where fans can edit pages. 350K in debts, and what kind of assets? The business was intact. What kind of lines of credit and what kind of industry connections? Again, this isn't really a self-made fortune here. You don't build a corporate empire with an english degree, you must have other means at your disposal. Takes money to make money. Reminds me of The Donald, but without the flamboyant [non-permissible content removed] image.
The country is poised to take off? How? Huge unemployment (much greater than the propagandists will admit), low job creation, stagnant real incomes, lethargic housing market, low consumer confidence, huge everyday living commodity prices, no worthy economic or social solutions from either side of the political aisle. This is no recession or mini depression, it is a new reality. Obama can't do anything about it, no politico can.
Mind you, I don't think poorly of Wynn - from what I know he has a rep of being a good employer and I have enjoyed visiting some of his properties in Vegas. I just think his rant is kind of weak. No suggestions, no solutions.
Nothing Obama does creates an atmosphere conducive to hiring people. That is what you are seeing in the stock market with the volatility.
Agree. And those big government expanses that created all new filings and requirements are the very cuts Reps want and Obama would have to make a direct turn around and capitulate. All Obama has to do is look in the mirror to find the main cause of his jobs problem.
Thanks Len! Looks like we have some of the same stocks. However, you have owned some of those shares for a long time, and you have made some awesome returns. I am envious.
Currently, I also own IBM... and of course I am glad. I own only 175 shares and paid close to $30K. As of today, it is up around 5.5% . Not huge, but I'll take it.
I also own a little AAPL, but only 173 shares to be exact. I also own MCD, but only 59 shares. I also own BIDU, but only 100 shares.
I do own a very little bit of GOOG... only $9K worth.
And 15 others... including Amazon, John Deere, Citi, Caterpillar, Ford, GLD, HAL, and more... Not too heavy in any of them, because this long-term account is only a recent event for me. Long-term total so far is almost exactly a quarter million bucks. Now, I will wait for any big dips, do some occasional weeding and/or pruning, and go from there.
As soon as Obama is out, the United States financial picture will improve. I am not talking about the stock market... I am talking about the housing situation, the jobs situation, the credit situation, the business situation, the volatility and anxiety... all these and much more will improve when he is gone.
If business growth is like a beautiful garden, Obama is like a powerful herbacide. He is a challenge to development and growth, but once he is gone, the remaining garden (business) that he hasn't already killed, can then flourish.
Revenue up another 82% and beats EPS by $1.94 a share. WOW!
And this was trading toward $300 a few weeks ago? Stock frozen at current moment, reopens at 4:45. You need an earnings multiple adjustment on AAPL as Street has it way undervalued with this level of growth. This puts AMZN to shame on growth and that thing has a 100X PE.
How about $400 at the opening tomorrow morning? I would not bet against it this time. The earnings even beat Cramer's estimate from yesterday when he said $7 per share. I wish I had a 1000 shares, but I can't complain at this time considering I had zero shares when I sold out at $334.
If I could see details behind that (and I don't deny it is in the realm of possibility), I would have my mind made up now. But until next fall, I don't know. If someone like Palin or Bachmann was to get a pres or VP nod, I can't see that helping the opposition or more importantly the economy should they be able to win. Want to see global faith in the US shrink? Put an idiot in office.
I don't believe Obama knows enough about business or economics to have his own ideas. He just does what he is told, like every president. Just not seeing any concrete economic details from the opposition. We can't mimic Ireland.
I can't even tell you my reaction to the CFO's language in the earnings report because I've never heard a CFO use words like staggering to describe results. It simply is not in our nature and goes against training. So I can imagine that this CFO already knows what's coming for the next quarter and that he also pushed any revenue he can out of the current quarter, emptied the Balance Sheet of anything questionable and accelerated any normal expense he deemed he could. Lost in the earnings is that Apple's cah grew $10bln in the current quarter. That's Exxon like cash flow but with sky high oil prices.
Well, their products are hotter than ever and this is the result. Hope they keep innovating.
I love your perspective given the CFO insights. I learn so much from your experiences on this board. The valuation of Apple alone based on your analysis is what allows us to believe there is so much upside going forward.
I don't see Barry as an idiot - he's just a nothing. He has his own views of course, some of them harmless, some of them nutty, but I don't think he has the ability to make anything happen. Anything he does, economic damage included, can be repealed easily should the opposition be able to come up with a worthy candidate. He doesn't scare me, he just bores me. He was the lesser evil, and that's still panning out. In a two party system where both sides are slightly different flavors of the same corporate controlled recipe, you aren't going to get much.
I don't think he has the ability to make anything happen.
He doesn't? What about pushing his HC program through before anyone in Congress was allowed to read it? That is a big one. How about authorizing our war against Libya without Congressional approval? I agree he is controlled by the same people. He has done more harm with his tongue than McCain would have done to our economy. People think he is in charge. So when he starts talking about redistribution of wealth and raising taxes. Those that are making business decisions become nervous. If he got that crazy Obamacare passed, what is next? UNCERTAINTY is why Obama is bad for this country. I am not a fan of RINO McCain. He is just so much less innocuous than Obama.
What healthcare program is actually taking place? Election is next year and anything can easily be changed. War against Libya? When did we declare war? We've been involved in another war based on lies and false pretenses for eons, and this is now irksome? It's all a machination of the military-industrial complex.
What would McCain and Dingbat have done about the economy? What could they have done?
He isn't in charge of any economic policy. He's a representative, nothing more. Those making business decisions, like the ones who act as cowards and run to unsustainable tax havens and export jobs to criminal states? Yes, we must bend over for them. When we finally have capital punishment for financial crimes, wake me up.
Only those who don't want to admit that we are in a corporatist oligarchy masquerading as some kind of republican/democratic meritocracy are uncertain.
Re-Apple - I'm sure the advanced orders for iPad2 and iPhone5 are thru the roof which is why he was so bold. I'm telling you when a CFO uses the word staggering (plus he used another word that was telling in a separate part of the discussion but I forgot it) to describe results I am speechless. So forget any earnings guidance as the use of those words are 10X the value of guidance. No one is going to be out of this stock 3 months from now and it's up to Wall Street to understand the growth of the earnings vs the low multiple valuation. I've been stressing this for awhile. The valuation is just too low. Even pros on CNBC are not looking at the valuation issue. A few pointed it out today but too many others are simply trading the stock. The high price also pushes out small investors. Apple should split 3 or 4X. No matter what, most small investors have no understanding of valuation, publicly traded vs authorized shares etc. They simply think more stock X a profit per share they hope for is what it's all about.
BTW - note this from the CFO in the Reuters link further below:
Oppenheimer hinted at an upcoming product launch, saying it would impact the September quarter, but he gave no details.
IMO you are greatly positioned with these holdings. I'd look at BIDU as a great opporunity. China is so closed door it offers great protection against competition. I look for steady returns that are great over the long-term but always look for 1 or 2 great assets that can appreciate quickly. BIDU is one of those stocks for me right now.
I saw that you bought BIDU a week or so ago and I was thinking that I should follow suit. But I didn't. I'm sure it's not too late. Maybe I will pull the trigger tomorrow.
Did you see how the shorts were again trying to push AAPL down after the initial flurry in afterhours trading? If it only opens at about $394-395 tomorrow, I think I am going to buy some additional shares tomorrow morning.
from Apple...but, does anyone besides me see gold at $2000 and silver at $50 anytime soon???...used to be the old adage about precious metals was "sell in May and go away for the summer", but that does not seem true this time...
I have some gold jewelry I want to sell, but I would much rather sell at $2000 oz instead of $1600 oz...sell now or wait a month???
Most of the time jewelry is worth more as jewelry than scrap gold. 14k gold rings, bracelets and necklaces will only bring at today's price about $788 per oz. I would take it to a reputable jeweler and see what they offer. May only offer scrap price for melt.
Houdini mentioned BIDU last week as one of his top favorites, and Len and I both bought some. I had previously owned quite a bit of BIDU before I dismantled my entire portfolio after leaving my broker.
But Houdini's recomendation rekindled my interest in the stock. I only own 100 shares, however. Next big dip and I might buy a little more.
You should do the same (buy at a dip, if possible). Buy this stock and you won't regret it, but don't buy too much at once.
This is amazing. How many fake Apple stores in the USA? How would you know, they are all made in China? How would the store people know when they get a shipment?
BEIJING — Walk by the Apple shop in Beijing’s Sanlitun neighborhood any day and you begin to have an inkling of how popular this brand has become in China in just a couple of years.
Roughly 40,000 visitors a day enter Apple’s shops in Beijing and Shanghai — four times as many as in any of the Apple shops in the United States.
But such popularity can attract imitation that Apple might not view as the sincerest form of flattery.
An American living in Kunming, the capital of Yunnan Province in China’s remote southwest corner, came across a fake Apple shop.
That’s right.
An entire fake Apple shop.
“They looked like Apple products. It looked like an Apple store. It had the classic Apple store winding staircase and weird upstairs sitting area. The employees were even wearing those blue t-shirts with the chunky Apple name tags around their necks,” writes the blogger.
But upon closer inspection, our intrepid fellow American realized, “A beautiful ripoff — a brilliant one — the best ripoff store we had ever seen (and we see them every day). But some things were just not right: the stairs were poorly made. The walls hadn’t been painted properly. Apple never writes “Apple Store” on its signs — it just puts up the glowing, iconic fruit.”
Now it wasn’t clear to the blogger whether the products were fake, too, but they looked real enough.
But here’s the real kicker: Some of the staff appeared to believe they were really working for Apple
You can call me a "nut" if you wish, but I bought 50 more shares of AAPL right near the low so far at $387.50. There is obviously tremendous amount of profit taking right off the bat this morning. I believe that traders are concerned that history will repeat itself after earnings report. If you recall, AAPL took a dive after the previous report (from $356 all the way to the ultimate low down around $310). I very much doubt the same thing will happen this time. Apple is and will continue to release amazing products that the general population will scoop up immediately. Btw, I have not bought the iPad2. Since I found out there will be an upgrade this fall, I will wait until then.
EDIT: I joined the party and bought 50 shares of BIDU at $152.91.
I bought an additional 250 shares of AAPL at the same price! Then I flipped 125 of them @ $390, because I want to see how the day progresses. But, I still own 125 more shares... My total is only 300 shares so far.
Also added a little more IBM this morning at the dip.
EDIT: I think Apple's earnings report after Christmas will be even BETTER! EDIT2: I think AAPL share price will go even lower than our purchase price, and I will buy some more when/if it does.
Some of your trading mania is rubbing off on me. I sold my 500 shares of BIDU a couple of days ago and made a nice profit since I was in at $119.
Then I put it all into more AAPL, betting on the earnings report. I am intent on keeping the Scottrade account under $500K so if I wanted to buy more AAPL the cash had to come from somewhere...and I wanted more AAPL.
I still like BIDU and will probably buy it again in the future.
Fake Apple store...hilarious. What a Pandora's Box we've opened. I am surprised the economic impacts haven't been stronger...free marketeers are choosing to ignore it, I guess.
Wow, looks like Cramer might be right about tech. His explanation regarding seasonality makes sense... I guess my modest gains from IBM and Google could be washed away by September if he is correct. I didn't sell "out" today, and am planning to hold on to my foundation no matter what... as CircleW suggested.
I think Apple's performance today was PITIFUL considering their earning's report. The stock should have jumped to over $400, AFAIAC. Next few trading days will be interesting. If it dips significantly, I will buy more.
Those hedge fund guys are a real wrench in the market's gears. Or is it the options traders? I'm not sure, but something stinks.
Curious... in your opinion, how much do you think this stock will be worth in the latter part of January, when earnings are reported after the holiday season?
Curious... in your opinion, how much do you think this stock will be worth in the latter part of January, when earnings are reported after the holiday season?
450. But I wish I could tell you what happens in between. The stock is now more undervalued than it was when it hit an all time high months ago when it was in the 360's. It's only up about 20% for the year while showing earnings and revenue growth thru the roof so I'd project up another 20%. Plus the CFO stated September may be impacted from a new product. Seems no one is paying attention to that either. Initially I thought he may mean on an expense basis. But any new product Apple comes out with will have it's development costs capitalized into the Balance Sheet as an asset. No auditor would even think about questioning that capitalization with their track record. So it probably means some potential late revenue. I am pondering what that product might be.
Apple's cash flow this past quarter was $10bln. If Wall street doesn't lift the value greater we're going to start reaching points where the valuation increase isn't a lot more than the cash flow in a high growth situation. Amazing. I expected the stock to close in the $400 range today. Usually it comes back to near peak of the after hours, which was $404. Tomorrow we'll see if the traders taking profits are less of a selling force. If so it should spike a few more percentage points. On Tv all you hear is how great the company is and how great the stock performance is. IMO the stock is greatly disrespected from a valuation standpoint and is trading at lower and lower multiples while growing very rapidly. Makes no sense.
Cash now at $76bln. They have to do something with that cash. How about buying Netflix? Apple could put weight on the studios for much earlier streaming releases.
$450/share sounds about right, but it would not surprise me to see it lower than that... if Cramer is actually right about those guys trading AAPL down... which, for the life of me, I don't understand.
Frankly, the stock hardly ever seems to trade at it's value, and I have been troubled by that in the past, which caused me to consider all the things "wrong" with Apple as a company, and "wrong" with Apple products... and I recall being hesitant to owning too many shares of AAPL.
Today, I was with my son for a while in Century City, so we stopped by the Westfield Shopping Complex located between Avenue of the Stars and Santa Monica Boulevard... it's quite a place. They have a MICROSOFT STORE there, a SONY STORE there, and an APPLE STORE there, all practically next to each other!! We went in all three.
I was pleasantly surprised how very nice the Microsoft store was. Great selection and a cool sales rep who knew a whole lot about the products and even some upcoming products. I suspect that Windows 8 is perhaps the one that's going to kick butt for Microsoft, as it sounds really great, but probably won't be out until next Spring.
The Sony store was cool, but only because I've always had a thing for Sony products... there's just something about them. However, the Sony store didn't do their products justice, IMO.
Then there was the Apple store. I've been in several Apple stores, and they all share the similar layout... which is deliberate, of course. But what is striking to me is that the products are just plain awesome by comparison to most everything else. They look and feel better. Soooo cool. So smart. They are seductive and hard to resist. I want one of everything... and now the little MacBook Air is finally upgraded to be the fantastic little device that I've been waiting for. So... I will wait just a little longer until this Fall and look at the new iPad 3, and compare them. Who knows? Maybe I'll actually buy one.
Anyway, there's no doubt that Apple has its act together and everyone is copying and chasing them. Their financials are the final and ultimate proof. Apple stock should go to $500/share by the end of 2012... and there is NO reason it shouldn't do that, IMO. Heck, it's probably worth that now.
Here is what USA Today Reported. Kinda telles you to be very careful of what you read.
Some of the mounting cash piles are impressive. Below is a list of the non-financial companies in the Standard & Poor's 500 that have the largest cash balances. The list tallies the companies' cash, but also cash equivalents, which are financial instruments that can be turned into cash very quickly.
450/share sounds about right, but it would not surprise me to see it lower than that... if Cramer is actually right about those guys trading AAPL down... which, for the life of me, I don't understand.
Tag,
What did Cramer say about guys trading Apple down? I missed it.
Comments
CircleW is right about IBM, and I have included IBM in my new "long-term" portfolio that I have just recenlty assembled. I had a little IBM last week, and this morning I added a little more, thankfully, along with the addition of AAPL shares, which also turned out to be a very good thing. My total investment in IBM is only 130 shares, but I intend to keep them for a very long time, and I will add to them a little at a time when there are big dips that have nothing to actually do with IBM itself, such as general market jitters.
CircleW, I wished I listened to you a long time ago about IBM. You were soooo right about it!!
TM
It should be very interesting the next few days.
I believe in Las Vegas. I think its best days are ahead of it. But I'm afraid to do anything in the current political environment in the United States. You watch television and see what's going on on this debt ceiling issue. And what I consider to be a total lack of leadership from the President and nothing's going to get fixed until the President himself steps up and wrangles both parties in Congress. But everybody is so political, so focused on holding their job for the next year that the discussion in Washington is nauseating.
And I'm saying it bluntly, that this administration is the greatest wet blanket to business, and progress and job creation in my lifetime. And I can prove it and I could spend the next 3 hours giving you examples of all of us in this market place that are frightened to death about all the new regulations, our healthcare costs escalate, regulations coming from left and right. A President that seems, that keeps using that word redistribution. Well, my customers and the companies that provide the vitality for the hospitality and restaurant industry, in the United States of America, they are frightened of this administration.And it makes you slow down and not invest your money. Everybody complains about how much money is on the side in America.
http://www.businessinsider.com/wynn-ceo-steve-wynn-conference-call-transcript-ob- ama-2011-7
Obama is the reason the Market is unstable. Right now your money is safer in a jar buried in your back yard.
Guidance vs. Expectations
I should have invested $100G's in Ford in 2009 like you said! GM....NEVER!
I also agree with Len regarding the banks...look like a great move if you have the nerves of steel. The are in such a mess (covered up quite nicely from the uninformed masses) and the smaller regional/local banks are still failing every week, one by one.
Regards,
OW
Regarding the financials... it looks like C is actually starting to show me a profit, but I only own 375 shares of C.
As far as Ford goes, I'd still be a long-term buyer right about here. Don't miss your chance. Just don't buy too much at a time, and then add more shares a little at a time when/if it dips significantly.
TM
You are most resilient! Now stick with the good guys for a while. You can always devise a trading strategy around the fast movers. AAPL and IBM are good for a long time, afaic.
Banks are very tempting right now. As soon as the idiots raise the ceiling, I'll wager the financials move up.
Regards,
OW
You are most resilient! Now stick with the good guys for a while. You can always devise a trading strategy around the fast movers. AAPL and IBM are good for a long time, afaic.
That's the plan. I hope to have the best of both worlds. I have dedicated a portion of my account to long-term, thanks to your and Len's recent posts... and another portion of the account to day-trading, which I am taking a breather from for a little while, unless something comes along that begs to be day-traded.
Banks are very tempting right now. As soon as the idiots raise the ceiling, I'll wager the financials move up.
They are certainly still risky (especially BAC), but how often do we look back at some stocks that were previously crushed and wish we had bought them when their share prices were sooo far down?
That's why I bought a small number (500) of C shares. Citi's recent report (also Wells Fargo) wasn't too bad, but BAC might be riskier, IMO.
I will consider your advice closely.
I assume you are referring to Ford. I don't think the stock will soar, but years from now, I think it's possible that you could look back and wish you had bought it at this price point. Ford is extremely likely to be very successful on an international basis, IMO. But, that said, I'd go easy on it... I personally own only 1000 shares of F, so far.
TM
Financiers own politicos, not the other way around.
BTW every bank is negative on ROI in the last 10 years.
You had asked me about some stocks for LT investing that I own or like.
My favorites are MCD, IBM, BBBY, AAPL (of course),PG, XOM. I'm not sold on Google yet. I've never mentioned this before but I own BBBY forever and it is a hell of a stock. I actually do not own MCD or IBM except thru mutuals. All of the above IMO will constantly reach new all time highs as fast as anything else (other than hot IPO's), will bounce right back from a fall back and are ultimate staples.
My most recent purchase is BIDU.
I know you like to think anyone that does well was born with a silver spoon. I don't think having your dad die as you finish college and leaving you in debt would fit that criteria.
Wynn's father ran a string of bingo parlors in eastern United States. In 1963, his father died of complications from open heart surgery in Minneapolis, leaving $350,000 of gaming debts, shortly before Wynn graduated from Penn with a Bachelor of Arts degree in English Literature.
Wynn took over running the family's bingo operation in Maryland. He did well enough at it to accumulate the money to buy a small stake in the Frontier Hotel and Casino in Las Vegas, where he and his wife Elaine moved in 1967.wiki
Sounds like he was able to run a gambling business. From $350k in debt to a current fortune of $2.3billion. Isn't that what the American dream is all about.
I think what he is saying is this country is poised to take off again. Obama is holding it back with his constant meddling with HC, EPA, ATF, etc etc. Nothing Obama does creates an atmosphere conducive to hiring people. That is what you are seeing in the stock market with the volatility.
The country is poised to take off? How? Huge unemployment (much greater than the propagandists will admit), low job creation, stagnant real incomes, lethargic housing market, low consumer confidence, huge everyday living commodity prices, no worthy economic or social solutions from either side of the political aisle. This is no recession or mini depression, it is a new reality. Obama can't do anything about it, no politico can.
Mind you, I don't think poorly of Wynn - from what I know he has a rep of being a good employer and I have enjoyed visiting some of his properties in Vegas. I just think his rant is kind of weak. No suggestions, no solutions.
Agree. And those big government expanses that created all new filings and requirements are the very cuts Reps want and Obama would have to make a direct turn around and capitulate. All Obama has to do is look in the mirror to find the main cause of his jobs problem.
Currently, I also own IBM... and of course I am glad. I own only 175 shares and paid close to $30K. As of today, it is up around 5.5% . Not huge, but I'll take it.
I also own a little AAPL, but only 173 shares to be exact.
I also own MCD, but only 59 shares.
I also own BIDU, but only 100 shares.
I do own a very little bit of GOOG... only $9K worth.
And 15 others... including Amazon, John Deere, Citi, Caterpillar, Ford, GLD, HAL, and more... Not too heavy in any of them, because this long-term account is only a recent event for me. Long-term total so far is almost exactly a quarter million bucks. Now, I will wait for any big dips, do some occasional weeding and/or pruning, and go from there.
No day-trading... yet.
TM
If business growth is like a beautiful garden, Obama is like a powerful herbacide. He is a challenge to development and growth, but once he is gone, the remaining garden (business) that he hasn't already killed, can then flourish.
TM
TM
And this was trading toward $300 a few weeks ago? Stock frozen at current moment, reopens at 4:45. You need an earnings multiple adjustment on AAPL as Street has it way undervalued with this level of growth. This puts AMZN to shame on growth and that thing has a 100X PE.
However, I want to be very careful not to get caught up in a potential trading vortex, and then crash as it dissipates.
BTW, I own AMZN shares, and I think the company has terrific potential, but I do have some concerns.
TM
TM
I don't believe Obama knows enough about business or economics to have his own ideas. He just does what he is told, like every president. Just not seeing any concrete economic details from the opposition. We can't mimic Ireland.
Uh, I think we are enjoying that scenario with Obama.
2013 LX 570 2016 LS 460
I guess he hates Google, IBM, and Apple because they are tech?
Yet, is it good advise to sell tomorrow?
:confuse:
TM
Regards,
OW
I love your perspective given the CFO insights. I learn so much from your experiences on this board. The valuation of Apple alone based on your analysis is what allows us to believe there is so much upside going forward.
Regards,
OW
He doesn't? What about pushing his HC program through before anyone in Congress was allowed to read it? That is a big one. How about authorizing our war against Libya without Congressional approval? I agree he is controlled by the same people. He has done more harm with his tongue than McCain would have done to our economy. People think he is in charge. So when he starts talking about redistribution of wealth and raising taxes. Those that are making business decisions become nervous. If he got that crazy Obamacare passed, what is next? UNCERTAINTY is why Obama is bad for this country. I am not a fan of RINO McCain. He is just so much less innocuous than Obama.
What would McCain and Dingbat have done about the economy? What could they have done?
He isn't in charge of any economic policy. He's a representative, nothing more. Those making business decisions, like the ones who act as cowards and run to unsustainable tax havens and export jobs to criminal states? Yes, we must bend over for them. When we finally have capital punishment for financial crimes, wake me up.
Only those who don't want to admit that we are in a corporatist oligarchy masquerading as some kind of republican/democratic meritocracy are uncertain.
Re-Apple - I'm sure the advanced orders for iPad2 and iPhone5 are thru the roof which is why he was so bold. I'm telling you when a CFO uses the word staggering (plus he used another word that was telling in a separate part of the discussion but I forgot it) to describe results I am speechless. So forget any earnings guidance as the use of those words are 10X the value of guidance. No one is going to be out of this stock 3 months from now and it's up to Wall Street to understand the growth of the earnings vs the low multiple valuation. I've been stressing this for awhile. The valuation is just too low. Even pros on CNBC are not looking at the valuation issue. A few pointed it out today but too many others are simply trading the stock. The high price also pushes out small investors. Apple should split 3 or 4X. No matter what, most small investors have no understanding of valuation, publicly traded vs authorized shares etc. They simply think more stock X a profit per share they hope for is what it's all about.
BTW - note this from the CFO in the Reuters link further below:
Oppenheimer hinted at an upcoming product launch, saying it would impact the September quarter, but he gave no details.
http://www.reuters.com/article/2011/07/20/us-apple-idUSTRE76I0KW20110720?feedTyp- e=RSS&feedName=globalMarketsNews&rpc=43
IMO you are greatly positioned with these holdings. I'd look at BIDU as a great opporunity. China is so closed door it offers great protection against competition. I look for steady returns that are great over the long-term but always look for 1 or 2 great assets that can appreciate quickly. BIDU is one of those stocks for me right now.
Did you see how the shorts were again trying to push AAPL down after the initial flurry in afterhours trading? If it only opens at about $394-395 tomorrow, I think I am going to buy some additional shares tomorrow morning.
I have some gold jewelry I want to sell, but I would much rather sell at $2000 oz instead of $1600 oz...sell now or wait a month???
But Houdini's recomendation rekindled my interest in the stock. I only own 100 shares, however. Next big dip and I might buy a little more.
You should do the same (buy at a dip, if possible). Buy this stock and you won't regret it, but don't buy too much at once.
TM
BEIJING — Walk by the Apple shop in Beijing’s Sanlitun neighborhood any day and you begin to have an inkling of how popular this brand has become in China in just a couple of years.
Roughly 40,000 visitors a day enter Apple’s shops in Beijing and Shanghai — four times as many as in any of the Apple shops in the United States.
But such popularity can attract imitation that Apple might not view as the sincerest form of flattery.
An American living in Kunming, the capital of Yunnan Province in China’s remote southwest corner, came across a fake Apple shop.
That’s right.
An entire fake Apple shop.
“They looked like Apple products. It looked like an Apple store. It had the classic Apple store winding staircase and weird upstairs sitting area. The employees were even wearing those blue t-shirts with the chunky Apple name tags around their necks,” writes the blogger.
But upon closer inspection, our intrepid fellow American realized, “A beautiful ripoff — a brilliant one — the best ripoff store we had ever seen (and we see them every day). But some things were just not right: the stairs were poorly made. The walls hadn’t been painted properly. Apple never writes “Apple Store” on its signs — it just puts up the glowing, iconic fruit.”
Now it wasn’t clear to the blogger whether the products were fake, too, but they looked real enough.
But here’s the real kicker: Some of the staff appeared to believe they were really working for Apple
http://behindthewall.msnbc.msn.com/_news/2011/07/20/7116890-china-takes-a-bite-o- f-apple
EDIT: I joined the party and bought 50 shares of BIDU at $152.91.
Also added a little more IBM this morning at the dip.
EDIT: I think Apple's earnings report after Christmas will be even BETTER!
EDIT2: I think AAPL share price will go even lower than our purchase price, and I will buy some more when/if it does.
TM
Then I put it all into more AAPL, betting on the earnings report. I am intent on keeping the Scottrade account under $500K so if I wanted to buy more AAPL the cash had to come from somewhere...and I wanted more AAPL.
I still like BIDU and will probably buy it again in the future.
2013 LX 570 2016 LS 460
Great job! Wow.
TM
BTW - Apple's closing price today is an embarrassment to that earnings report.
http://seekingalpha.com/article/280567-jim-cramer-s-latest-stock-picks
I think Apple's performance today was PITIFUL considering their earning's report. The stock should have jumped to over $400, AFAIAC. Next few trading days will be interesting. If it dips significantly, I will buy more.
Those hedge fund guys are a real wrench in the market's gears. Or is it the options traders? I'm not sure, but something stinks.
Curious... in your opinion, how much do you think this stock will be worth in the latter part of January, when earnings are reported after the holiday season?
TM
450. But I wish I could tell you what happens in between. The stock is now more undervalued than it was when it hit an all time high months ago when it was in the 360's. It's only up about 20% for the year while showing earnings and revenue growth thru the roof so I'd project up another 20%. Plus the CFO stated September may be impacted from a new product. Seems no one is paying attention to that either. Initially I thought he may mean on an expense basis. But any new product Apple comes out with will have it's development costs capitalized into the Balance Sheet as an asset. No auditor would even think about questioning that capitalization with their track record. So it probably means some potential late revenue. I am pondering what that product might be.
Apple's cash flow this past quarter was $10bln. If Wall street doesn't lift the value greater we're going to start reaching points where the valuation increase isn't a lot more than the cash flow in a high growth situation. Amazing. I expected the stock to close in the $400 range today. Usually it comes back to near peak of the after hours, which was $404. Tomorrow we'll see if the traders taking profits are less of a selling force. If so it should spike a few more percentage points. On Tv all you hear is how great the company is and how great the stock performance is. IMO the stock is greatly disrespected from a valuation standpoint and is trading at lower and lower multiples while growing very rapidly. Makes no sense.
Cash now at $76bln. They have to do something with that cash. How about buying Netflix? Apple could put weight on the studios for much earlier streaming releases.
BTW - BIDU reports Monday.
Frankly, the stock hardly ever seems to trade at it's value, and I have been troubled by that in the past, which caused me to consider all the things "wrong" with Apple as a company, and "wrong" with Apple products... and I recall being hesitant to owning too many shares of AAPL.
Today, I was with my son for a while in Century City, so we stopped by the Westfield Shopping Complex located between Avenue of the Stars and Santa Monica Boulevard... it's quite a place. They have a MICROSOFT STORE there, a SONY STORE there, and an APPLE STORE there, all practically next to each other!! We went in all three.
I was pleasantly surprised how very nice the Microsoft store was. Great selection and a cool sales rep who knew a whole lot about the products and even some upcoming products. I suspect that Windows 8 is perhaps the one that's going to kick butt for Microsoft, as it sounds really great, but probably won't be out until next Spring.
The Sony store was cool, but only because I've always had a thing for Sony products... there's just something about them. However, the Sony store didn't do their products justice, IMO.
Then there was the Apple store. I've been in several Apple stores, and they all share the similar layout... which is deliberate, of course. But what is striking to me is that the products are just plain awesome by comparison to most everything else. They look and feel better. Soooo cool. So smart. They are seductive and hard to resist. I want one of everything... and now the little MacBook Air is finally upgraded to be the fantastic little device that I've been waiting for. So... I will wait just a little longer until this Fall and look at the new iPad 3, and compare them. Who knows? Maybe I'll actually buy one.
Anyway, there's no doubt that Apple has its act together and everyone is copying and chasing them. Their financials are the final and ultimate proof. Apple stock should go to $500/share by the end of 2012... and there is NO reason it shouldn't do that, IMO. Heck, it's probably worth that now.
TM
Some of the mounting cash piles are impressive. Below is a list of the non-financial companies in the Standard & Poor's 500 that have the largest cash balances. The list tallies the companies' cash, but also cash equivalents, which are financial instruments that can be turned into cash very quickly.
• General Electric (GE): $82.2 million
• Johnson & Johnson (JNJ): $22.4 million
• Oracle (ORCL): $16.2 million
• Apple (AAPL): $16.0 million
• Dell (DELL): $14.1 million
Highest Cash Reserves
Shoulda been a B.
Regards,
OW
Great catch, and the author already read your post this morning.
IT'S BEEN FIXED!!
TM
So... I bought more shares at $384. And, I have a limit order in place to buy even more if it dips to $384.01.
Heck, it's crazy, but I'm going to take advantage of it. The lower this stock goes, the more I'm going to buy.
TM
Tag,
What did Cramer say about guys trading Apple down? I missed it.