Daily Archives: November 17, 2008

Paulson To Leave New Administration $410 Billion In Dry Powder

TreasuryIt is nice of him. Very nice.

Henry Paulson intends to leave $410 billion of his bailout fund to be used by the new administration, unless some emergency arises over the next few weeks. He may write a note and drop it in his desk for the incoming Treasury Secretary, but that will be about all.

Paulson is giving those who will have to handle the extraordinary problems in the economy and business sector a head start. There will be no need for Obama’s people to head back to Congress for another installment while there is still dry powder in the keg.

Read More »

Posted on: November 17, 2008 – 5:38 pm in Politics

Cedar Shopping Centers Raising Up To $1 Billion (CDR)

Money_stack_picCedar Shopping Centers, Inc. (NYSE CDR) has filed to sell up to $1 billion in mixed securities via a public offering of securities.  It can sell any combination of common stock, preferred stock, depositary shares, warrants, stock purchase contracts and units.

Read More »

Posted on: November 17, 2008 – 4:42 pm in REIT, Secondary Offering,

Another 24/7 Wall St. Target CEO Bows Out (SYMC)

Symantec_logo_2Back in late 2007, we listed John Thompson of Symantec Corporation (NASDAQ: SYMC) as one of our 10 CEO’s which need to leave in 2008.  This was with some mixed emotion because we have heard such great things about him and believed him to be a high-caliber person.  Because we thought well of him, despite his company’s share performance, we said:

  • It isn’t too late for Thompson and we think there is a real shot that he’s be more valuable to keep as Chairman  with a new CEO rather than an outright revolution.  We’d think Wall Street would also like him to remain on as Chairman for some oversight, contacts, and knowledge.

After today’s close came the announcement from the company.

Read More »

Posted on: November 17, 2008 – 4:24 pm in Management Change, Software,

The 52-Week Low Club (BIDU)(CAR)(MRT)(UTHR)

Sad_clownBaidu (BIDU) Looks like a little run-in with the Chinese government. Down to $130.51 from 52-week high of $418.22.

Avis Budget  (CAR) Downgraded by Barclays on debt concerns. Off to $.88 from 52-week high of $18.

MetLife (MET) Concerns about capital crisis spreading to insurance companies. Hits $22.48 down from 52-week high of $67.21.

United Therapeutics (UTHR) Disappointing drug trial. Falls to $56.29 from 52-week high of $117.82.

Douglas A. McIntyre

Posted on: November 17, 2008 – 3:58 pm in HI/LOW, , , ,

The 52-week Low Club (BIDU)(CAR)(MRT)(UTHR)

Sad_clownBaidu (BIDU) Looks like a little run-in with the Chinese government. Down to $130.51 from 52-week high of $418.22.

Avis Budget  (CAR) Downgraded by Barclays on debt concerns. Off to $.88 from 52-week high of $18.

MetLife (MET) Concerns about capital crisis spreading to insurance companies. Hits $22.48 down from 52-week high of $67.21.

United Therapeutics (UTHR) Disappointing drug trial. Falls to $56.29 from 52-week high of $117.82.

Douglas A. McIntyre

Posted on: November 17, 2008 – 3:58 pm in HI/LOW, , , ,

How Hot Is Hot Topic? (HOTT)

Hot Topic Inc. (NASDAQ: HOTT) is worth a visit now that the dust has settled from its better-than-expected sales numbers.  This stock has been holding its own when you consider the market over the last two weeks.  The company sells apparel and accessories in stores  We featured Hot Topic in this weekend’s weekly "10 Stocks Under $10" subscriber letter and below is a brief synopsis of what we covered:

Read More »

Posted on: November 17, 2008 – 3:24 pm in Apparel, Retail,

Value In Fuqi (FUQI)

Fuqi International, Inc. (NASDAQ: FUQI) posted a much stronger quarter than expected and traded up at the end of last week.  Fuqi designs, develops, promotes, and sells precious metal jewelry in the Peoples Republic of China.  By the look of the company and with what may be coming in China, this is one which traders and investors may want to take a closer look.  We covered this last night in our weekly "10 Stocks Under $10" subscriber letter which was sent out to subscribers via email:

Read More »

Posted on: November 17, 2008 – 3:16 pm in China, Earnings, Luxury,

Revisiting Rick’s After Results (RICK)

Ricks_logoRick’s Cabaret International Inc. (NASDAQ: RICK) for the most part is as controversial of a stock as you can get.  It owns and operates "gentleman’s clubs" and is still growing organically and via acquisitions.  We featured this stock last night for our subscribers of our weekly "10 Stocks Under $10" newsletter.  Below is part of the synopsis sent out:

Read More »

Posted on: November 17, 2008 – 3:04 pm in Entertainment,

Starbucks Still Outside of Value-Land (SBUX)

Starbucks_logoStarbucks Corp. (NASDAQ: SBUX) is a stock which we get asked about constantly by our readers.  Now that the price is at a certain point, we have finally been able to cover this stock in our weekly stock newsletter called "10 Stocks Under $10" which was sent to subscribers via email last night.  Below is a partial synopsis:

Read More »

Posted on: November 17, 2008 – 2:49 pm in Food, Retail, Trading Alert,

No Love For Sun Microsystems (JAVA)

Sun_micro_logoSun Microsystems Inc. (NASDAQ: JAVA) is a stock we have featured negatively in our weekly newsletter for "10 Stocks Under $10" on many occasions.  We even started covering it long before it was under $10.00 in its share price because we believed it was destined to go there.  We criticized the company again over the weekend and below is a synopsis from the weekly newsletter based upon the $4.12 close on Friday:

Read More »

Posted on: November 17, 2008 – 2:42 pm in Technology Companies, Trading Alert,

The Worst May Not Be Over For MedCath (MDTH)

MedCath Corp. (NASDAQ: MDTH) took a particularly brutal beating at the end of last week after posting disappointing results. The stock fell nearly 50% on Friday to $7.55, a 52-week low against a period high of $27.  We covered this stock this weekend in our weekly "Under $10 Stocks" newsletter that went out Sunday night, and a brief synopsis has been provided below:

Read More »

Posted on: November 17, 2008 – 2:29 pm in Medical, Trading Alert,

Will Dell Hold $10 After Earnings? (DELL)

Dell Inc. (NASDAQ: DELL) is set to report earnings this Thursday.  The stock broke under the $10.00 barrier on Thursday before recovering handily.  In fact, as it briefly went under $9.00 Thursday and rose to as high as $11.00 on Friday, that is a 27% rally.  The company was a feature of our weekly "Stocks Under $10" newsletter this weekendlong before we ever knew about the downgrade this morning.  Technically, this is not under $10.00, but there is a reason we featured it there.  Here was the brief synopsis from the newsletter:

Read More »

Posted on: November 17, 2008 – 2:13 pm in Earnings, PC Companies, Technology Companies, ,

Can Home Depot Follow Lowe’s Up On Earnings? (HD, LOW)

Home_depot_logoThe Home Depot, Inc. (NYSE: HD) is set to report earnings on Tuesday morning before the open.  This comes on the heels of its smaller rival Lowe’s Companies Inc. (NYSE: LOW), which is trading up after beating lowered earnings targets.  While earnings did drop and while it followed suit of other retailers with lower guidance, the focus today seems to revolve around the fact that the company managed to beat the lowered expectations.  Lowe’s estimates over the last quarter had been cut from $0.33 EPS down to $0.28 EPS. 

Read More »

Posted on: November 17, 2008 – 1:56 pm in Earnings, Housing, Retail, ,

Mark Cuban Is Innocent, According To Him

R218533_855025_2Mark Cuban claims he in innocent of insider trading of shares in Mamma.com

He short defence from his own website:

I wish I could say more, but I will have to leave it to this, and let the judicial process do its job.
November 17, 2008

RE: SEC Civil Action in the United States District

for the Northern District of Texas, Dallas Division

Mark Cuban today responded to a civil complaint filed by the United States Securities and Exchange Commission in the United States District for the Northern District of Texas, Dallas Division. In its complaint, the Commission charges that Mr. Cuban engaged in violations of the federal securities laws in connection with transactions in the securities of Mamma.com Inc.

This matter, which has been pending before the Commission for nearly two years, has no merit and is a product of gross abuse of prosecutorial discretion. Mr. Cuban intends to contest the allegations and to demonstrate that the Commission’s claims are infected by the misconduct of the staff of its Enforcement Division.

Mr. Cuban stated, “I am disappointed that the Commission chose to bring this case based upon its Enforcement staff’s win-at-any-cost ambitions. The staff’s process was result-oriented, facts be damned. The government’s claims are false and they will be proven to be so.”
——————————

——————————

Ralph C. Ferrara, Esq.

Dewey & LeBoeuf LLP

1101 New York Avenue, N.W., Suite 1100

Washington, D.C. 20005

Posted on: November 17, 2008 – 1:46 pm in Law

IPO Withdrawal: ChemoCentryx (GSK)

BurningmoneyOn Friday, ChemoCentryx Inc. filed to withdraw its pending registration for an IPO of up to $57.5 million. The market conditions of today are cited as the reasoning.  The Mountain View, California-based company said in its filing, "At this time, due to current public market conditions, the Company has determined not to proceed with the initial public offering contemplated…"

Read More »

Posted on: November 17, 2008 – 1:23 pm in Biotech, IPOs,

It Couldn’t Happen To Nicer Guy: Mark Cuban Charged With Insider Trading

HouseAccording to The Wall Street Journal, monumentally wealthy Mark Cuban, has been charged with insider trading in shares of Mamma.com aka Copernic (CNIC).

If things go badly, maybe Cuban will have to sell The Dallas Mavericks. At least then he would not be allowed to spit on the referees.

Douglas A. McIntyre

Posted on: November 17, 2008 – 11:30 am in Law,

Are Bear Market Rallies The Best Case For Now?

BurningmoneyEveryone keeps asking why the stock market selling persists, yet they are the same reasons that were there in the weeks and months before the election.  The difference today is that now the election result is known we are in a price stability environment rather than an inflationary environment.  We at 24/7 Wall St. have maintained that we have been in a recession since basically the end of Q1-2008.  Sure, there was still official growth because we had a mini stimulus package and the pain ahead was being masked by the belief "a sound system" was still a safe one. 

Bull_and_bear_imageWhat we all unfortunately have to get used to now is horrible economic numbers followed by horrible earnings reports.  Not a month.  Not a quarter.  The visibility is horrible, the holidays will stink, more job cuts are coming after the holidays, earnings are looking bad, and you know the rest.  You will see this outlined below, but it seems that for the time being our best bullish hopes may only come in the form of bear market rallies.

Read More »

Posted on: November 17, 2008 – 10:53 am in Economy, Housing, Index, Labor & Unions

Memo From Eliot Spitzer To Obama Via The Washington Post

Uncle_samEliot Spitzer has a few choice words for Obama about what to expect when the new president begins his repair and reclamation work on the financial markets. The Washington Post ran the piece as an Op Ed post:

"President-elect Barack Obama will soon face the extraordinary task of saving capitalism from its own excesses, much as Franklin D. Roosevelt had to do 76 years ago."

Read more…

Posted on: November 17, 2008 – 10:38 am in Economy

Gold Miners Digging a Deeper Hole (ABX, GG, NEM)

Gold_picGold mining stocks have a real challenge in the current environment.  The top companies like Barrick (NYSE:ABX), Goldcorp (NYSE:GG), and Newmont (NYSE:NEM) are doing all they can to reduce costs in the face of falling demand and even faster-falling prices. They’ve got a ways to go yet.

Read More »

Posted on: November 17, 2008 – 9:53 am in Commodities, Metals, , ,

Pirates Grab Saudi Oil Tanker

Pirate_flagThe US Navy reports this morning that a Saudi-owned tanker, the Sirius Star along with its crew of 25, has been hijacked about 450 miles southeast of Mombasa, Kenya. This attack is just the most recent of the more than 200 piracy incidents reported in 2008. At 318,000 deadweight tons, the Sirius Star is the largest ship ever to be attacked by pirates off the east coast of Africa.

Read More »

Posted on: November 17, 2008 – 9:45 am in Law, Oil & Gas