Jacob Wolinsky

Jacob Wolinsky
Contributor since: 2009
Company: ValueWalk
One of Muddy Waters’ allegations that has generated the most hype is NQ Mobile sorting cash and cash equivalents as Level 2 assets on its balance sheet. Allen Huang, an accounting professor at Hong Kong University of Science And Technology, said that classifying cash as level 2 is not wrong in essence but there is usually some cash at level 1. NQ Mobile has nothing. In response to Barrons’ Shuli Ren, Huang said,
“The fact that all their cash and cash equivalent is in level 2 means they have no cash at all, only short term debt security, and those securities has no trading in active market. So I would seriously worry if a firm doesn’t have any cash on hand and no active market to sell their so-called cash equivalents. If you can’t even trust the cash, what can you trust?” http://bit.ly/184T0DE
Thats not even a value trap that just is a suckers bet!
I was very transparent in my disclosure and SA allows sponsored posts. I did my best job to prevent the long side. I am not recommending anything.
Banking assets are 90% of GDP according to a really good hf manager i know. In France its over 400, same with Sweden and Denmark.
Maybe Congress can also learn a lesson and resign for their insider trading....
They do PR for them. If you want more info ask JSDC, I honestly do not know more.
Bio I disclose everything. Not interested in committing fraud. I follow their guidelines exactly and SA's.
Elections have nothing to do with market returns, sorry to burst your bubble. I can show you tons of articles on the topic if you want.
It will fluctuate
Thanks Paul,
Doug and I collaborate on the series. He is very busy with his new role, but I am trying to get shadowstats CAPE numbers. My wickedly smart analyst friend put the shiller PE using shadowstat data at 12-13. I think in general Shiller's regular method is a bit too bearish, but it overall one of the best market valuation tools.
Very good summary. I do something similar every month with CAPE, Tobins Q, Dividend Yield, P/B etc. I am just curious I heard if you used older inflation numbers the Shiller PE would actually be closer to 12 or 13, do you have any information on this?
If anyone wants to check it out here is my monthly article for December-http://bit.ly/syP1fn
Good write-up! Here is an interview from last week with the CEO if anyone wants to check it out-http://bit.ly/skAy32
Thanks. I dont know all the amounts but this is reliable and it was backed by two different sources. If you need info on Tepper let me know and I might be able to get it.
I have inside scoop on Tepper here-http://bit.ly/shGqjL
Also CNBC picked it up and confirmed it-http://bit.ly/uHZouF
Here is some more on European stock market valuations-http://bit.ly/vHyfaK
gr8 write up, did one myself a few months ago about Aussie bonds-http://bit.ly/pVVfaI/. Although there is little credit risk, I do see large currency risk if Australian housing bubble or China bursts. Hedging costs are enormous.
Nice article Nick. any concerns about management of AMED for previous medicaid "fraud"
Tom Russo doesnt "trade", in fact he is the epitome of a buy and hold investor. He holds stocks for decades including; Heineken (22 years), Berkshire (29 years), Nestle (24 years) etc.
I like that but I was 100% equities in early 09 and had to sell some very cheap stocks like Coke at !38 to buy cheaper stocks CAT at ~24, so that is why I like holding some cash, I just had run out of it by then since there were so many bargains.
"Markets can remain irrational a lot longer than you and I can remain solvent." John Maynard Keynes
Neither it is the bottom line not the top. Its mostly cost cutting not increase in revenue driving earnings to my knowledge.
Nice article Doug. Another reason why I think we might see earnings decline or slow is because margins are at above average levels, I am a strong believer in reversion to the mean. In addition, many of these earnings cannot be sustained since they were only due to temporary cost cutting and other short term methods of boosting profits.
UPDATE: I closed this position at ~32 a share on February 23rd 2011
Thanks for your response, please let me know if you make changes in the future.
UPDATE: ONE YEAR LATER: Egypt and Yemen fall. I never predicted this whole uprising but looks like I was right
I would love to ask questions but live in NY. Is there any way to call in questions?
I just wrote an article on this topic! I calculated that most pension funds will earn less than 3% REAL returns over the next decade. caLPERS will have a $180 billion shortfall using this formula. Check it out-www.valuewalk.com/?p=6828