rogerlig

Cramer's Stop Trading - Peabody Is in Freefall (3/2/09)

Cramer has to come up with SOMETHING every day, so he generally goes with the flow and makes up rationales (often with some good justification) as he goes along. Yes, he changes his mind frequently (he wanted to buy GM at 25, as it was going to 50, as I recall, HOG at 60, WB at 40, all in the last year or two).

The truth is that we're kind of in uncharted territory here. In forty years, neither I nor Cramer has experienced the kind of free fall that we've seen in the past six months, so we're all kind of playing it by ear at the moment.

Preferreds Get Crushed Again

A lot of the preferreds in the index funds are bank issues. There's a strong fear that, as part of the TARP, the gov't will restrict dividends, including those on preferred stock. Hence, the big decline.


On Jan 25 08:41 AM dealjunkie wrote:

> These charts are interesting, b ut they do not demonstrate that preferreds
> have been hurt more than any other asset class. IF this is true,
> is there a plausible explanation?

Harley Davidson Tightens Credit Distribution

As a recently retired Boomer, I've noticed another demographic: new retirees who are just now embarking on their motorcycle careers. If HOG would target this group, instead of the egregiously overweight and deep in debt constituency, they might find a whole new market segment.

But I agree that, on the whole, an expensive consumer extravagance justs isn't the right product to be selling today.

Is the dividend safe of HOG? They seem to be earning well in excess of it. It may become an income play at this point.

rogerlig