bishk1301

Legg Mason: Quintessential Bear Market Value Play

Active money management is in secular decline. With time even last fools will notice that etfs outperform 75% of actively managed funds. The whole will inevitably gravitate towards the lowest cost structure possible. It may not happen tomorrow but still investing in LM is like investing in printed press right now. Looks cheap for very good reason

Credit Card Breakdown: AmEx Disappoints, as Predicted

They are making a lot of money from merchant fees. They are serving affluent consumers. They are charging killer rates. The use of plastic is going to grow compared to cash. This company is being valued as if it were a business which is going to disappear. If the defaults continue rising they will raise rates and fees. V and MA are in a better condition now but they are fully priced and might come under additional pressure for monopolistic practices. Defaulting on credit card is harder than walking away from the home with negative equity, cause you have to continue to buy everyday's stuff. Doomsday sayers will know the wrath of rising markets one day. Excellent companies like AXP will blow short sellers away

Numbers Check on Sears Holdings - It's Cheap

Trust your gut, if the store is empty, retail space is liability not an asset. Life could be drained out of this company even if its assets exceed its liabilities. When people are hungry they stop caring about brand names. The genius capital allocator bought Citigroup at the peak last year and then sold all the way down to 20. This is a kind of trade I'd expect myself to make, not someone who is supposed to know what he is doing

Reading Ben Graham's 'Security Analysis': Care to Join Me?

Interesting

Oil at $140/Barrel: Justified or a Bubble?

USA must open its oil reserves or it will soon become third world

What Mohnish Pabrai Didn't Know Hurt Him Badly

Pabrai will have to look for a job soon if this crisis goes on. It is hard not to look silly in this situation but it is especially hard if you hold airlines and Sears

Value Investing in Sears: Avoid Current Perceptions & Look Forward

A real bad retailer just being talked up by Morningstar inspired Tod. I wish there was a second Warren Buffet I could piggyback for the next decade but it does not seem to be Lambert. Wasted the precious cash buybacks of going to burn a lot of cash operator.The value of commercial real estate which is supposedly 300$ a share is going to come down to Earth sooner or later and what do you have then? Cash burning machine and Dzen investor Eddie Lambert who bought Citigroup for 50$ a share when every school boy knew there was a financial bubble going on!!! If he did that how do I know he has any idea about what Sears is really worth? I could buy some Costco stockwhich looks a little pricey but I would be buying there as well so in couple of yeas their shareprice could look pretty reasonable. Who is buying at Sears? Aliens? Skulls & Bones members?
Must be some elite for sure cause I know no one going there.

Buy and Hold Is Dead

These "revelations" are shared by millions of other gamblers who think they are smarter than the rest and stay poor forever. I wish someone hammered me on the head 15 years ago as I was telling the same b.s. with just 2 years experience of a bull market.

Is Warren Buffett Missing Something?

The natural resources energy companies are endangered species at high oil prices. All around the world they are being milked for taxes.What about 90% tax rate for oil above, let's say 100$ a barrel. That will not happen to consumer companies

American Express: False Sense of Security?

This is just another buy high sell low guy. Where were the doomsday sayers when the financials were at their peaks? Even if more writedowns are coming the whole world is out there to capture for plastic. Brandname like Amex can not hurt.