Long-Short Guy

Apple at $135: Low Hanging Fruit

It's amazing to see the difference between apple fans who bought the stock and seasoned traders or investors.

Apple is a momentum stock; and you don't own momentum stocks in the short term when they lower their guidance and there's a recession. Maybe it will turn out to be a good 5 year investment, but there's no way you want to own a momentum stock with broken momentum in the short term.

It really is that simple.

Staying Calm and Re-Entering a Double Short ETF

Roger, question for you on the UltraShort ETFs. Have you read this:
etf.seekingalpha.com/a...

Given the arguments here, do you think it might make more sense to be short the leveraged long ETFs instead of going long the leveraged short ETFs?

Give a Warm Welcome to the Currency ETFs

Roger, any view on WisdomTree as a stock?

Jim Cramer's 10 Predictions for 2008

The apple prediction isn't looking so good.

Under The Radar News - Thursday

This is great. Can you fix the BusinessWeek link?

Societe Generale Trader Causes $7.1 Billion Loss in “Exceptional Fraud”

More:

"Société Générale reported today that it had sustained a €4.9 billion ($7.2 billion) loss unwinding massive stock index futures positions of a rogue trader. The bank learned of the positions on Saturday, and only informed regulators once the positions had been unwound. If the bulk of that unwinding occurred Monday, it could help explain the violence of that day's stock selloff which had no particular news trigger.

That, in turn, has prompted some analysts to ask whether Mr. Bernanke acted in response to a false alarm."

Societe Generale Trader Causes $7.1 Billion Loss in “Exceptional Fraud”

The really interesting issue is whether the Fed cut rates by mistake. WSJ: "The U.S. Federal Reserve remains comfortable with its decision to cut interest rates in spite of news today that the preceding stock selloff may have been related to SocGen's unwinding of trades."

eBay Inc. Q4 2007 Earnings Call Transcript

"we utilized $312 million to repurchase approximately 9.2 billion eBay shares."

Wow; didn't know the stock had got THAT cheap.

Have Bank Stocks Hit Bottom?

Interesting juxtaposition with the headline above this one on your home page:
Jeremy Grantham: Credit Crisis Will Last Until 2010
seekingalpha.com/artic...

WisdomTree Launches Broad-Based India Earnings ETF

It's fascinating that an ETN is trading at a premium. How's the Indian CEF doing -- isn't it IFN?

Cramer's 'Four Horsemen' Crumble

The "four horsemen" are momentum stocks; you don't own momentum stocks in a slowing economy and declining market. It's that simple.

eBay Inc. Q4 2007 Earnings Call Transcript

"Working at eBay has exceeded all of my expectations and it is with great pride and a strong sense of accomplishment that I turn over the leadership of the company."

Look at what's happened to the stock in that time.

Nice Quarter for Netflix

Great results. What produced all the EPS leverage?

Wall Street Breakfast: Must-Know News

So the day ends with stocks up, oil down. What a contradiction: oil is down because we're entering a recession so demand for oil (and its price) will fall. But stocks are up...

Comparing Internet Companies' Productivity

Interesting table, but revenue per employee might not be the right metric as it boosts Amazon and Expedia which have far higher cost of goods sold. Better metric might be gross margin dollars per employee or even net margin dollars. Yahoo would look much better on that metric, as it has virtually no cost of goods sold.