ONE-TWENTY TWO: Trading Financial Markets
Exploring the poetry in financial markets for students of money and economy since the year 2000.
Between an accelerated share buyback program and executives using their own money to buy shares, Chegg, Inc (CHGG) finally looks ready for a price bottom. On November 29th, Chegg made the following proclamation in concert with the $300M acceleration of share repurchases: “The accelerated share repurchase demonstrates the strength of our balance sheet, and it … Read more
“So I think, in hindsight, even though we’re getting all these encouraging signs, just dealing with the complexity of various kinds of national governments, their processes are more, I would say, kind of persnickety, time wise, and from a procurement point of view. So it’s just frankly, just taken longer than we anticipated. But the … Read more
Despite the seasonal trends working against PulteGroup (PHM), the company last week announced a major reload on its buyback program. PulteGroup increased its authorization from $262M to $762M. The quote in the press release emphasized how this action, along with other investments, expresses the company’s solid confidence in the business and the housing market: “Driven … Read more
(This is an excerpt from an article I originally published on Seeking Alpha on December 19, 2012. Click here to read the entire piece.) For over two years, Marvell Technology Group Ltd (MRVL) has repurchased a LOT of shares. {snip} Indeed, even after spending $2.1B repurchasing shares, MRVL still has $2B sitting on the balance … Read more
(This is an excerpt from an article I originally published on Seeking Alpha on March 29, 2012. Click here to read the entire piece.) {snip} This is the change in “guidance practices” and outlook that beleaguered mobile company Research In Motion (RIMM) announced in its latest earnings report today. It has all the trappings of … Read more
(This is an excerpt from an article I originally published on Seeking Alpha. Click here to read the entire piece.) {snip} Tonight, RIMM disappointed traders and investors once again with its latest earnings report. This time, it was not an outright miss on overall earnings or revenue guidance. {snip} Alas, RIMM built up enough expectations … Read more
Finally, Research In Motion (RIMM) is performing better than the general market. For the last two weeks, RIMM has trended upward relative to the QQQ (PowerShares QQQTrust for big-cap technology stocks). This has not happened all year. More importantly, the stock has finally jumped above the 50-day moving average (DMA). Granted, such a breakout has … Read more
(This is an excerpt from an article I originally published on Seeking Alpha. Click here to read the entire piece.) ReneSola (SOL) went from a tremendous 2010 – gaining 84% and as much as 206% – to a complete collapse in 2011. On the heels of several disappointing earnings reports this year, SOL has dropped … Read more
(This is an excerpt from an article I originally published on Seeking Alpha. Click here to read the entire piece.) In July, I used ideas from Jeremy Grantham to lay out a case for taking advantage of a coming “commodities crash” to invest in and prepare for a future resource-constrained world: “Preparing for Profits in … Read more
(Click here for archived articles on RIMM) Research in Motion (RIMM) has been able to buy back its shares under the current repurchase authority since July 11. The stock opened up that day and proceeded to close down 3.2%. The stock has drifted down 16.6% since then. During this time, I identified a technical pattern … Read more