ValueHuntr

Madoff's Investors Don't Deserve Compensation or Sympathy

I think the logic implied in the article is flawed. The free market has nothing to do with whether or not Madoff investors get their funds back. They did not know Madoff was doing anything illegal. If you were one of those who lost a lifetime's savings, your article would have a slightly different sentiment.

Screening for Ben Graham Bargains

Actually, Net value refers to net cash which means total cash minus total liabilities. The coefficients of the equation that you write about come from estimating a company's value at liquidation, which is what gurufocus is referring to as the "Graham Equation".

The Ten Most Promising Net Cash Stocks

k, thanks trackxyj

The Ten Most Promising Net Cash Stocks

trackxyj,

I see your point. Where can I find the latest info?


On Mar 25 04:02 PM trackxyj wrote:

> You didn't get Elliot's point. You did the analysis based on 12/31/08
> financial statement at the best, while GSI spent all their cash on
> 2/6/09 and even incurred a debt.
>
> GSIG may still be a great stock, but it was no longer a net-casher.
> Many net-cashers, excluding biotech ones, usually have a major ongoing
> litigation. My bet is on HLYS.

The Ten Most Promising Net Cash Stocks

ok, thanks Davis, I see your point.


On Mar 25 02:52 PM Davis Q wrote:

> Research123 is on the right track. ATHX is a pharma company in Phase
> I trials, meaning that it has to not only finish this round of trials
> but make it through two more before it can start generating revenue.
> This process could take years, which at an operating cash burn of
> $15mm a year and $28mm of cash equivalents (2008 10K) it doesn't
> have. The stock trades at such a discount because of the risk that
> the company will run out of money before the drug gets to market,
> the drug fails trials, and/or additional capital raising is not successful.
>
>
> From an investment standpoint, I'd want the company to either liquidate
> and distribute the cash or get to market quickly/license the drug.
> For my taste, the probability of either happening is just too low.
> If they get into trouble, instead of liquidating, they might just
> offer more stock, debt, or attract private investors. These possibilities
> would effectively if not actually wipe out common.

Stocks Ben Graham Would Like Today

By definition, book value does not include intangibles. If you are taking intangibles into your P/B ratio then you do Price/Shareholder Equity.

Contemplating Benjamin Graham's Relevance Today

Great post David

What's Really Wrong with Wall Street

Henarl,

Exactly. As Warren Buffett has said before: "If you've been playing poker for half an hour and you still don't know who the patsy is, you're the patsy"


On Mar 23 03:34 PM henarl wrote:

> If you have the opportunity to bet someone else's money on a 100
> to 1 long shot at the horse track and collect a ten percent fee (bonus)
> if that horse wins but break even if he loses, you are going to bet
> every long shot on every race. That describes the way Wall St. was
> working. The only idiot in this scenario is the person whose money
> you are betting and he probably didn't even know the game was on.

What's Really Wrong with Wall Street

What's convoluted? That is precisely what I meant. It is more likely that the supply and demand balance for stocks is near 7500 than 3500.

On Mar 22 09:38 AM blkmtnbear wrote:

> Convoluted Logic
> 14,000-7,000 = 50% Loss
> & 7,000 - 3,500 = 50% Loss

The Ten Most Promising Net Cash Stocks

Research123,

You are right, without a catalyst, ATHX is toast, but we think Ormibed Advisors is precisely that catalyst. ATHX has no long-term liabilities, and has a tremendous cash excess, so it is very unlikely that the company will go into C11. C11 is meant for companies to restructure in a way they can meet their long-term commitments, but notice ATHX has 0 liabilities. Chances are that because the value of the company's cash is greater than its market cap, ATHX will end up in liquidation/dissolution before going into C11, in which case liquidating value is NOT zero. Its value will be at least the the cash available minus any long term liabilities (zero). In the case of ATHX, this value is nearly 100% higher than the company's market cap at the moment.

For more see valuehuntr.com

On Mar 21 02:44 AM Research123 wrote:

> ATHX has almost no revenue and lost more than $4M per quarter during
> 2008. Unless magic happens pretty quickly, the chances seem pretty
> good that they will R&D themselves into C11, in which case equity
> will be zero..

The Ten Most Promising Net Cash Stocks

longtermstocks,

optt might have a great idea, but the product is far from efficient. If the company can come up with ways to generate more energy from lighter buoys resistant to corrosion then we would be glad to take another look at it.

The Ten Most Promising Net Cash Stocks

zhybrids,

Some say the market is efficient. But if it is, then you wouldn't be asking your question. I'm not sure I know the answer, but I bet it has to do with market fears and an over-reliance on future earnings. Most of these companies have poor earnings expectations, but they are trading as if the balance sheet does not exist.

Regarding other opportunities to purchase a dollar for fifty cents see our #1 pick.

For more info see valuehuntr.com

The Ten Most Promising Net Cash Stocks

Elliot,

As I mentioned above, though the company seems cheap on the books, we are not interested in ANY of the financial statements reported by the company because it has often found itself in accounting irregularities, and we just cannot tell truth from lie. However, Stephen W. Bershad, the CEO of Axsys Technologies, has been in the business for decades and has met with GSIG CEO multiple times. After meeting with GSIG CEO several times and having inside access to the company's books he then decided to purchase 3 million shares with his own money. If you think you have better information than Stephen W. Bershad please let us know and we will make the corection, but I highly doubt you do.

The Ten Most Promising Net Cash Stocks

notsosmart,

In that case I disagree with your username. Maybe change to yessosmart?


On Mar 19 12:58 PM notsosmart wrote:

> i bought more GE @ 7.67.so far so good.

GE: Worst Case Scenario Ain't So Bad

longram,

I believe GE management does not do this because GE Capital needs the cash that the GE Infrastructure segment generates.I'm not too fond of spinoffs, but as you point out there would certainly be some benefits.

On Mar 19 12:14 PM longram wrote:

> GE should spin off its financial unit and the industrial portion
> of its business will soar. If mgmt. does not do this then they believe
> the financial unit is viable in the long term.