Bulking Up On Two Names, One New Core Position Added

In light of the reemergence of the cocaine locomotive, I’ve made arrangements to reserve myself a 1st class ticket, fitted with extra straws.

I added size to EZPW and started a new position in SPLK.

Luckily I sold ANGI near $19 a few weeks ago. I sold it because of my aversion to earnings and how they tend to murder people who trust them. Looking at these numbers, I am shocked at how bad this company is being managed. They are in a sweet spot and should be killing it. I call into question their decision to spend inordinate sums of money on marketing, and poorly to boot. If you’re gonna spend $20 million per quarter on marketing, you better grow your damned business.

Frankly, there isn’t any excuse for this abysmal execution. Management should be changed, ASAP.

On the plus side, even at the lowest end of 2014 revenue projections, ANGI is trading 4x sales. It shouldn’t get much lower than 3x, or $11 per share. If ANGI gets down to $11, I will be buying with both hands.

Eventually, this works big. Once they figure out how to scale the business and stop wasting money on idiotic teevee commercials, I think ANGI will trade up to 10x sales, maybe even higher. No one trusts the stock because management has proven to be inept.

But there is value to the enterprise and the stock will not stay down for long.

Check this story out.

This sums it up:

In July 2013, Galena paid $50,000 to a subsidiary of The DreamTeam Group for 240 days of “advertising, branding, marketing, investor relations and social media services,” according to a disclaimer on The DreamTeam Group’s Web site.

I’ve been telling you Seeking Alpha was nothing more than a modern day bucket shop; and now you have proof. I don’t know if the owners of SA facilitate this or not. However, they certainly turn a blind eye to it. If any of that stuff happened here, at iBC, the blogger would be fired on spot. On Seeking Alpha, they merely take down the article, permitting the felon to commit future crimes.

Why am I paying so much attention to SA?

They are one of the biggest finance site’s in the world. I bet you didn’t know that. Their reach is huge and their reckless editorial standards have hurt me, vis a vis idiotic short raiding articles of pure trash. You can say that I have a vendetta out for them–because they deserve it. I suspect the owners and VC’s who back them are greedy upright walking pigs, the worst sort of people in the world.

I spit on the house of Seeking Alpha and their clueless staff of criminal bloggers.

I started a position in SALE, despite watching it rout short sellers for the past 15 points. I am doing the opposite of what I’d normally do, a la Costanza trade; because ultimately, SALE will trade to $100.

NOTE: My cash levels are now 45%.

…they pull me back in.

Naturally, the idea that as soon as I capitulated and bought stocks, the market would top and I’d run upstairs to cry under the blankets. But only suckers think like that and “The Fly” isn’t a sucker; I’ll have you know. Should my positions trade lower, I will buy more.

The two that I’ve initiated, thus far, aren’t earnings risks and are undervalued. In the case of EZPW, once people start sniffing around the balance sheet, I suspect they are going to like what they see, AND MORE. It is ripe for activist shareholders, someone with a very sharp ax to grind.

I was going to buy WPRT; but my conviction level isn’t there yet. I was also interested in EGO; but then I was quickly reminded that EZPW is an ancillary play off gold, rendering it redeundant.

SALE is a high conviction play for me and I loathe the fact that I didn’t buy during yesterday’s temporary dip.  I have a lot of money to invest and will be quick about getting started,  regardless of whether we’re overdue a pullback or not.

I started a position in CRTO, taking it slow, hoping for a pullback to add bulk.

This is a terrific play on online advertising.

I am reentering the market today, buying EZPW on the dip. I will be initiating 5 new “core positions” within the coming days.

I know the negativity is taxing, especially for those of you who think I am dead serious. Lighten up. I am simply stirring the cauldron, while practicing black magic.

Here are some interesting debt/GDP stats.

United Steaks: 101%

Jamaica: 145%

Italy: 127%

Ireland: 117%

Belgium: 98% (almost!, getting there!)

Greece: 156%

Portugal: 124%

Japan: 212%

Lebanon: 139%

Singapore: 98% (close call!)

In addition to the growing mountains of debt, about a dozen countries have seen their currencies drop double digits versus the dollar, as well as see their sovereign yields shoot higher, appreciably.  What does it all mean? ARMAGEDDON?!!

Not quite. It means that the primary goal of central banks will be to keep rates down, no matter the cost. If it means throwing the stock market into the garbage, in order to scare money into bonds, so be it. In order to sustain our lifestyle of grandiose entitlements, it’s important that we borrow money, cheaply, and spend as much as we like. Theoretically, this should be a race to the bottom, causing massive inflation, bullish for gold and bit coins–but NOT maxcoins. However, since 2011, the only asset that has been appreciating is stocks, worldwide.

Gold, silver, oil, natty, coal, wheat, cotton, sugar, corn, uranium: ALL BEARISH.

Let’s be frank with one another, shall we? Without the world central banks flooding the markets with liquidity, we’re all toast. But they are flooding the markets with liquidity and there isn’t a better place to make money, other than stocks. There are pitfalls, especially when looking at some of these earnings debacles. But, ultimately, the only game in town is stocks and the only balls on the table, strong arm, guarantee is that central banks will smash your equity holdings to pieces–in order to preserve this wonderful status quo.

What did you expect? I’m retired after all.

I’ll leave the cat and rat game to the lot of you, scrounging around for marijuana money. We’ve had the biggest rally in 13 months, yet all of the stocks that I sold, mind you, are BELOW where I sold them. How do you like that? However, there have been many, many, stocks that I should’ve bought and profited from, as this rally presented itself.

People are now obsessed with Yellen’s heavy Brooklyn drawl. They’re also pointing towards the shape of her face, jaw line and curvature of her mouth, for reasons that escape me at the moment. Let me add, there is nothing more blissful than missing out on an epic rally and not caring one bit about it. I don’t need the money, after all. See, I’ve made my money when the cards were down, when men were men and the lot of you were scrawling graffiti grawlix on the walls of your housing tenements.

I’ve given you plenty of stocks to play over the past week, have I not? Do not concern yourselves with me, as I’ve been waltzing to a different tune ever since I’ve been capable of killing a man. There is nothing you could say, or do for that matter, that will somehow get me to thinking the way you do, drones–pre-programmed– to think with the collective.

You’re not men, but babies playing with toys.

As for me, I will choose the battlefield of my liking when I am good and ready. I’ve come to the conclusion that all of this worrisome concern by the lot of you is nothing more than hatred, spewed out from the depths of your black, cavernous, murderous hearts.

71% of stocks are higher today, led by gold and silver.

Let me repeat that last point again. The market is being led by gold and silver. Year to date, gold and silver stocks are up around 35%. Now, knowing what you know about how awful gold and silver truly is, do you think it’s wise to chase them here? As good as they look now, God knows they are 1-2 days removed from 5-10% declines.

Moving on, scouring the market, many high beta names are down, like YELP, FEYE and SFUN.

Copper, steel and coal are doing good too. It’s like the market hopped into a time machine and went all the way back to 2009. I am very sorry to tell you, but I still don’t feel like buying anything. Maybe I’m the one who’s insane!?

Meh, I am sort of used to being retired now, an old cranky spectator, waiving his cane at the whipper-snappers buying the market–predicting doom and throwing mashed potatoes at the television.

I am going to walk away now, especially since I have no business here.