A lot of earning reports , some misses and disappointments. Texas Instruments, DuPont Co. and Countrywide were some of the big misses. Lockheed Martin was one of the bright spots from with great earnings due high demand for fighter jets, missile defense and information technology. McDonalds swung to a 2Q loss due to a one time charge. American Express failed to impress as increased delinquencies has investors worried. AT&T posted a 61% profit increase though investors which also failed impress.
Earnings
Economic Calendar
Apple has been downgraded this morning and shares are under pressure. Many analysts have $200+ price targets on AAPL.
Netflix got beaten over its earnings and lowered outlook. I think NFLX is a decent buy under $17. There is a good chance it will be bought out.
Stocks I am keeping a close watch on include GOOG AAPL RIMM GRMN AMZN MSFT CSCO C GS BAC XOM GE IBM . How these stocks fare has a huge impact on the overall market.
Showing posts with label NFLX. Show all posts
Showing posts with label NFLX. Show all posts
Tuesday, July 24, 2007
Wednesday, June 13, 2007
Recap
The bulls came out to play and the bears ran away. -
The bulls put on quite a show today and from the get go pretty much wrecked any chance the bears had of gaining control. Strong retail sales and a Beige Book reading signaling growth revitalised the bulls. The Dow up 187 , S&P 22+ and the Nasdaq 32+ was the final count. Mining,Oil, construction, utilities, banking and transports led the way while airlines and healthcare lagged.
Chipmakers are suffering the effects of declining prices. Prices have been effecting chips for quite a while and I believe a bottom is in.
Blockbuster low price subscription strategy is validated by Wallstreet and the stock price is soaring. Netflix though continues to lose ground. NFLX though might actually be a good buy based on constant buyout rumors. The stock price is only a few percentage points above 52 week lows.
Semel of Yahoo continues to defend himself and his lofty $71 million pay package against irate shareholders. A smart hedge fund or private equity outfit may consider buying into YHOO forcing Semel out and getting the company turned around. YHOO suffers from poor leadership and this Semel guy is a Silicon Valley boob. He doesn't know jack about tech and his leading style is the kind you learn from the back of cereal boxes.
Oil prices are up and thus the oil sector outperformed as gasoline inventories fell. Oil needs to break decisively in a single direction. This $61 to $67 dance is getting annoying.
A nice clip showing what happened to market bears. Or in this case a solitary bear cruising the streets of LA in his Monte Carlo.
The bulls put on quite a show today and from the get go pretty much wrecked any chance the bears had of gaining control. Strong retail sales and a Beige Book reading signaling growth revitalised the bulls. The Dow up 187 , S&P 22+ and the Nasdaq 32+ was the final count. Mining,Oil, construction, utilities, banking and transports led the way while airlines and healthcare lagged.
Chipmakers are suffering the effects of declining prices. Prices have been effecting chips for quite a while and I believe a bottom is in.
Blockbuster low price subscription strategy is validated by Wallstreet and the stock price is soaring. Netflix though continues to lose ground. NFLX though might actually be a good buy based on constant buyout rumors. The stock price is only a few percentage points above 52 week lows.
Semel of Yahoo continues to defend himself and his lofty $71 million pay package against irate shareholders. A smart hedge fund or private equity outfit may consider buying into YHOO forcing Semel out and getting the company turned around. YHOO suffers from poor leadership and this Semel guy is a Silicon Valley boob. He doesn't know jack about tech and his leading style is the kind you learn from the back of cereal boxes.
Oil prices are up and thus the oil sector outperformed as gasoline inventories fell. Oil needs to break decisively in a single direction. This $61 to $67 dance is getting annoying.
A nice clip showing what happened to market bears. Or in this case a solitary bear cruising the streets of LA in his Monte Carlo.
Tuesday, June 12, 2007
RECAP
The bulls got beaten up today. Murdered would be a better word. The worst part is that the indices recovered from big losses and went green at 2pm ET with the Dow erasing a 100 point loss and going up 25. Than part II of the massacre took place with a more than 150 point Dow loss in the final two hours of trading. Dow down 129, Nasdaq 22 and the S&P 16. The S&P in particular is facing heavy resistance at the 1515 level. Transports, utilities , housing and oil were beaten up today. The Qs and tech in general were better relative performers.
Netflix shares took a drubbing as Blockbuster introduces lower priced subscription to its online rental service. Was it not too long ago when NFLX was rumored to be an AMZN buyout target ? Hmmm how things changes in a short span of time.
Blackstones bottom line financial hocus pocus ? Like anyone cares. They will all buy the IPO and race to the exists. When money is cheap and plentiful, you do not ask questions.
Surging bond yields are being blamed for the market drop. As the cost to borrow becomes more expensive there will be a drop off in buyouts. I would not be surprised to see a few current deals get quashed as financing issues arise.
Mortgage defaults surged 90% last month according to RealtyTrac. Where are all those clowns that were on the financial networks proclaiming an end to housing and subprime woes ? They should all be brought on national television and flogged. Good thing they do not live under a totalitarian regime or else they would be executed for their bullshit ANALysis.
Congress is being urged to double tax rates on hedge fund managers and private equity managers. If this bill passes I would buy up a lot of luxury real estate in tax free havens like the Caymans. Hedge funders and Private equity will be migrating in hordes.
Well after today crazy market action lets see what the next 24 hours brings.
Netflix shares took a drubbing as Blockbuster introduces lower priced subscription to its online rental service. Was it not too long ago when NFLX was rumored to be an AMZN buyout target ? Hmmm how things changes in a short span of time.
Blackstones bottom line financial hocus pocus ? Like anyone cares. They will all buy the IPO and race to the exists. When money is cheap and plentiful, you do not ask questions.
Surging bond yields are being blamed for the market drop. As the cost to borrow becomes more expensive there will be a drop off in buyouts. I would not be surprised to see a few current deals get quashed as financing issues arise.
Mortgage defaults surged 90% last month according to RealtyTrac. Where are all those clowns that were on the financial networks proclaiming an end to housing and subprime woes ? They should all be brought on national television and flogged. Good thing they do not live under a totalitarian regime or else they would be executed for their bullshit ANALysis.
Congress is being urged to double tax rates on hedge fund managers and private equity managers. If this bill passes I would buy up a lot of luxury real estate in tax free havens like the Caymans. Hedge funders and Private equity will be migrating in hordes.
Well after today crazy market action lets see what the next 24 hours brings.
Sunday, April 22, 2007
PAIR TRADES
I was thinking of a few pair trade ideas. First one on my mind is Blockbuster and Netflix. I would want to go long Blockbuster and short Netflix. I know Blockbuster has been eating Netflix lunch the last few quarters and that should continue until Netflix makes some change to its business model such as acquiring Movie Gallery.
Pair Trade #1 - Long BBI $6.21 , Short NFLX 22.10
I am looking at a one year chart of General Motors versus Toyota and it looks like GM has outperformed by quite a bit. GM is up around 50% while TM is virtually unchanged. I do not expect this to continue. I would like to be long TM and short GM. Infact if one wants to make it more interesting, they can bring Ford in the mix to and short it. Long TM and short GM and F.
Pair Trade #2 - Long TM $125.93 , Short GM $31.68 (Short F $7.75).
Hewlett-Packard has done remarkebly well over the last year while Dell has been beaten up. With Michael Dell back at the helm I expect things to change. I would like to be long DELL and short HPQ here. With HPQ up over 100% in 2 years and Dell down 30% I expect things to change.
Pair Trade #3 - Long DELL $24.99 , Short HPQ $41.37
Pair Trade #1 - Long BBI $6.21 , Short NFLX 22.10
I am looking at a one year chart of General Motors versus Toyota and it looks like GM has outperformed by quite a bit. GM is up around 50% while TM is virtually unchanged. I do not expect this to continue. I would like to be long TM and short GM. Infact if one wants to make it more interesting, they can bring Ford in the mix to and short it. Long TM and short GM and F.
Pair Trade #2 - Long TM $125.93 , Short GM $31.68 (Short F $7.75).
Hewlett-Packard has done remarkebly well over the last year while Dell has been beaten up. With Michael Dell back at the helm I expect things to change. I would like to be long DELL and short HPQ here. With HPQ up over 100% in 2 years and Dell down 30% I expect things to change.
Pair Trade #3 - Long DELL $24.99 , Short HPQ $41.37
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