Research in Motion is going to report atrocious numbers after the bell tomorrow. If there’s capitulation I will sell some puts.
As a reversalist, I like buying stocks that everybody hates. The more controversial, the better. If people hate a stock, then by definition there must be a lot of short sellers. And short covering is what makes stocks go up fast. Sometimes I’m the one doing the covering, which really sucks and I realize how … Read more
Digital Garage: a puzzle from Japan
You all know the “Asian asset value” thesis for Yahoo: buy the stock of a questionable American company to own a piece of some great Chinese and Japanese companies. Well I found a similar situation, but it’s more of a puzzle. Digital Garage (4819) owns 11,672,000 shares of Kakaku.com (2371) worth about $350M. It has … Read more
Update On Apple: It’s A Myth That Apple’s OS Is “Closed” While Android Is “Open”: Evidence From Jailbreaking
The Apple Meme Is Still Strong This is self evident unless you live in a cave. Even among people not remotely interested in technology, Apple comes up in conversation. I hear Apple mentioned on random commercials. Whenever a computer is depicted, it tends to be a Mac. This weekend I saw John Oliver’s standup routine. … Read more
BankRegData.com: The fundamentals are improving for MGIC; That’s why I’m long.
This week BankRegData.com reviews the Banking Industry 3rd Quarter 2011 performance for Asset Quality, Loans, Restructures and REO. Using the Texas Ratio as a measure of risk we see that (collectively) banks continue to improve: A review by Asset Size shows some risk in the largest banks (where GAAP issues mitigate some of the concerns) … Read more
RIMM at tangible book value… Wow, that was fast. Short RIMM Jan $13 and $14 puts. Taking advantage of tax loss selling. What about Android on Blackberries? I talk to an Apple app developer.
“Many value investors eschew investing in technology companies because the products are complicated and the field changes rapidly. We take the view that technology companies that are not losing money, are trading at book value, and appear to have a viable product are good investments.” -David Einhorn I think Research in Motion is a “Larry … Read more
MGIC (ticker: MTG): A stock pick from the über-bear Kyle Bass
DISCLOSURE: I hold a long position in MTG. So Kyle Bass doesn’t think house prices can go much lower from here. He studied every housing bubble in the past 100 years and realized that it takes about 7 years after prices peak for there to be a recovery. Since house prices peaked in 2006, he … Read more
