Ron Myers

Ron Myers
Contributor since: 2013
I read and enjoyed the entire article and wish there was more quality content like this on SA.
This is actually very shareholder friendly. The strategy is to have fewer senior staff and more junior staff at slightly higher pay. The cuts to senior staff have already been made. Comp will be flat overall.
In addition, these days the top top talent with engineering/math skills (which are who most banks really want to hire) tend to be more attracted to tech and data analytics work, which often pays better, particularly on an hourly basis. And while the overall job market is mediocre, the job market for these folks is not. In fact it is blazing hot right now.
Why would they get rid of the brand? Does anyone think apple the company could not have made better headphones without buying them? The brand was the entire point.
The app is awesome, stock will probably be several hundred percent overvalued but who knows.
I will have to take another look at this one, my gut tells me there is probably some value at these levels but I haven't followed the stock for several months. The dividend cut should have taken place a while ago as the company could have put the cash to better uses elsewhere, but as for what happened to the stock, wow. I guess there really were that many people buying on yield alone.
Personally I would rather wait and hear what management is planning to do and research current market developments before taking a position as there is usually more to a move like this than what meets the eye.
"One of the project's goals is to kickstart the development of a U.K. genomics industry and introduce the technology into its mainstream health system."
While here in the US the same work from the project will be used by healthcare insurers to raise premiums on those expected to develop a rare disease.
I have been following this one for a couple of years but never liked what I saw. If I were to buy it certainly would be now. They have made some nice moves thus far and did what they had to do with Portamedic.
A couple years ago when there was more easy value out there in other micro cap stocks I might have waited another earnings call or two knowing I could still get in cheap but it might be better to just roll the dice on this one now.
The irony of all this was that enterprises only moved to Good and some of these others because employees demanded to be able to use e-mail on iphones, which were demanded because blackberries sucked. If blackberry had offered an iphone solution two years ago, or offered a phone four years ago that was anywhere near as good as an iphone, they would still be an untouched market leader in this area, as Good is bad.
If revs were really 1.3 B this was a great deal for Apple, wow.
I hear a new Sailor Moon show is supposedly coming out this summer, that should be enough to offset the trade imbalance by at least .3% of GDP.
Totally agree I am looking to sell shares for the same reasons you and the insiders have (sadly I do not own 1% of the company)...still love the stock but have to lighten up a little after the big gains. And it is still a volatile stock with considerable risks despite the upside.
"A correction should be welcome"...you have got to be kidding me why would losing close to one year's returns be welcome to anyone? And now fixed income is even less attractive as well. Welcome would be for monetary policy to be somewhere near historical norms, so that investors could choose investments based on their risk tolerance, rather than being forced into stocks/high yield by the Fed because everything else returns 0.
I think flat revenues in the bear case is way too optimistic...they are closing stores and the trend has been consistently down. Not saying that I have a view which way revenues are going to go (I don't) but it seems like such a scenario should be considered.
For the haters here, it took me 30 seconds to find his post titled 2013 Outlook: Stock Bulls May Have Room To Run, Bond Vigilantes Lurk. And the stock market bubble articles pretty much all predicted the runup to continue as well, they were more around the distortion fed policy would have on the overall economy. The biggest miss was probably on LINE but sometimes the single stock stories take time to work out.
I had a nice year positioned much like the suggestions in the 2013 outlook, except for emerging markets which were terrible. So I guess the proof is in the account balances for me which is all I really care about in the end. Looking forward to the 2014 outlook.
This is the future of Japan. They had to make a number of price increases due to the weakening of the Yen. What hasn't increased is wages of their customers meaning McD's is no longer an insanely cheap option like it once was over there. And oh by the way, consumption tax increase next year.
Shorting any Japanese company with even modest domestic exposure is probably the way to go. I give them three years for it to blow up.
Great piece I dumped this for the various related party issues a while back. I didn't really expect something this brazen though.
$6.75 might be too conservative...
I looked into this company about a year ago, very interesting for a lot of the reasons noted in this article although there are some new catalysts since then.
Unfortunately I tried the actual beers and decided they were simply not as good as the local/regional craft offerings usually available on the same shelf. I say unfortunate because I missed out on a ~100% gain and this really wasn't a great rationale when I think about it...SAM has been wildly successful and they are more in the "good enough" category although their marketing and product strategy is outstanding.
Anyway really enjoyed the article.
Isn't the cost to borrow these shares really high?
This is a nice introduction to graphene. I worked on the material for a couple years back in my physics career but haven't followed it much since then. I guess not much has really changed in a few years unless you are missing a bunch of really recent papers. The challenge with the material is finding a way to open up a bandgap so you can make a transistor out of it. People still seem to be trying everything.
I'm pretty sure INTC is heavily into graphene but they aren't talking about it as much. Unfortunately I don't think there's an obvious pure play investment on the material and it probably wouldn't be great if it existed.
China should just modify their inflation statistics by excluding everything going up in price more than the target rate. Then they could print infinite money like everyone else and not have these silly problems like competition for funds.
Really enjoyed the article this is a really interesting sector of REIT. Personally I think before I'd invest I'd want to really do DD in the markets and schools each of those properties is in - and I understand why you wouldn't want to do that in a SA article, that's just my view. If I were calling the market we might be at a top or close for student enrollment (and at the least enrollment growth) for the near future and I don't know if that has ever happened. This is just based on changing views/awarness on student loans, possible rising rates, general increased awareness about the lower value prop of college, etc. These seem like your fairly typical state schools which are not the value they once were but still should hold up pretty well in that type of scenario compared to lesser schools but again, would want to do more DD and I haven't spent a ton of time here.
Just taking a stab since I sort of know the market, Penn State had major housing shortages for several years which led to a ton of building of extra capacity, usually in the form of The Grove-style units in pretty mediocre locations far from campus. This property is definitely nice as housing goes in State College and seems priced competitively but would not be a first choice location at all (you are 100% reliant on buses to go to school and the location is otherwise terrible with not much nearby) and I have to think it would sell off in a flat or falling enrollment scenario. Again, could be way off here, and the valuation might still cover this type of concern, more of a theory.
One of the things I'd like to see are company estimates around unit levels and other cost / manufacturing improvements it would take to get to various price points. I don't think the situation is anywhere as bearish as this article.
My view on the stock is still that it's a sell and probably an outright short but not because they will never get the price down or sell more cars as I see many years of robust growth and margin expansion. I just think the current valuation bakes in absolutely no competition when in reality better-funded competitors who could produce similar products already exist.
Really enjoyed the article. Disagree with some of the points which I think some other commenters above posted on, but honestly not a big deal as either side is reasonable.
Long XIN since last year but based mostly on the idea that it's either a $15 company or worth 0 and I think $15 is a favorite. I went through the filings, the calls a few public sites on their RE portfolio, and mostly liked what I saw. I will leave the China bubble argument to experts on that country and macro issues as I don't speak Chinese and have no time to follow everything there. But just from a sentiment standpoint I think it's a little too obvious/consensus among everyone to be the next "asymmetric trade" or anything like that meaning some middle ground of slower growth and flat housing prices is more likely.
Yeah I agree...although a couple of the competitors are already relatively large manufacturers and I think they could scale up quickly, distribution and sales will take longer. But even the knowledge these are in the pipeline should push margins down (which I think is great, not because I want to see any company fail, but because it allows more people to have access to the product).
Outstanding article. As cheap as the stock is it will probably always trade cheap for the reasons you laid out.
Still when I look at the financials all I see is growth, strong free cash flow, and improving operating leverage. The interest expense is extremely manageable. The company isn't even covering 20% of the US so there is plenty of room for further growth. They are probably the largest operator of these things anywhere so they likely have scale advantages as well. Reading the reviews of the actual operation, most are fairly highly rated and sound professionally managed. I guess I don't see what's not to like here as this is not a business that is ever going away. If this company sold fake organic burritos it would trade at $40 a share.
Absolutely agree 100% and am positioned accordingly. Hope to see more articles from you in the future.
If the reason Obuster is coming down so hard on coal is so that we can somehow stop EMs from getting the benefits of coal-fueled economic growth, allowing us to stay in the lead for a few more years, that would at least make some strategic sense except that I don't think there's any way it will work.
EME really has a great history with deals like these. Very good allocators of capital for shareholders.
One thing to note, most of the scams position themselves around real technology (for example the product discussed here) and/or industries which truly do have strong growth prospects. It's just that the company being promoted has no actual business related to the industry with the growth prospects. Recent examples include the marijuana stocks and LEXG, obviously there are hundreds of others.
Thanks all for the positive comments - once again I don't hate the stock in the near term but recommend investors keep a close eye on margin numbers and competitive developments.
I wonder if Obuster will also roll out his jobs strategy tomorrow - to remove every competitive advantage the US has or will ever have and eliminate all private sector jobs, such that the country has 75% UE with the other 25% working for the government.
Great article and always unfortunate to see the retail investor get hit with campaigns like this one.