Big K

Cramer's Mad Money - Unhealthy Interest in AIG (5/14/09)

Motley Fool says NAT raises dividend money by selling stock. Cash flow from operations doesn't cover the dividend. I've also heard this from other reliable sources such as Value Line. Cramer seems to disagree. Cramer needs to explain the discrepancy here, not simply deny it. Give us the numbers in a sober detailed analysis of the balance sheets. Yes, NAT has no debt and is not a failing company, but I don't understand how they can pay out dividends that are bigger than their cash flow and/or earnings. Apparently, dilution is the solution to dividend contribution.

The Bull Run Begins This Week

I can see many people have a negative view of the future of our economy and stock market. With the vast majority of people so bearish, I can think there is a possibility of a bull run coming soon. When everybody is bearish, all who are going to sell have already done so, and big money is sitting on the sideline. At this point only long-term investors remain, so there are few people to sell on the bad news, hence apparent support. The bearish sentiments have been priced in the market. Possibly, many of the above bears have put in short positions, which is even more bullish. The market usually moves in the direction opposite to what the majority expect. This makes perfect sense. Everyone has already positioned themselves for the anticipated direction. Why would all these chicken littles saying armageddon is coming still be invested in the market? Of course they are not, because once armageddon comes, it's already too late. Therefore, I think there is a higher probability the market will go up rather than down.

S&P 500 and Apple Playing Out Bearish Patterns

The Market Club showed technical data a month ago that said AAPL could go back to its prebubble value of 50 (last seen in July 2006) once this dead cat bounce is over. So, this is old news. I am also concerned about this market, because AAPL is one of the best stocks, and strongest companies, on the NASDAQ. If it can collapse like this, what is everything going to do? We will soon live an S&P < 400 world if this happens. Analysts like this follow-the-crowd-later (after it already happened) guy seem to give little hope for investors. Apparently to get a job writing for Seeking Alpha, you have to have a bleak outlook with no hope for stocks or the dollar. Unfortunately, they offer little in the way of solutions for the rest of us. All the depressionistas here, on CNBC, Marketwatch, etc, seem to be cheering the death of equities. Don't they realize they are putting themselves out of work? Once everyone loses interest in stocks, thousands of talking heads and poison pens will have no audience. My outlook for their advertising revenue and survival prospects is therefore, bearish.


On Dec 24 07:50 AM Mr. Awesome wrote:

> This guy is an imposter. He has no special expertise in markets or
> investing. He is merely using Seeking Alpha to push his short position.