Fly Buys: $AREX, $PRAN, $AFOP

AFOP is rumored to be building out Google’s secret fiber optic network.

AREX is a play on natural gas.

And PRAN is a play on the brain, with phase II clinical results due in March for their Alzheimer’s drug.

I added all three stocks to my holdings.

Lots of Dow components are getting splattered, which is causing the market to stall and fall. I’ve been busy looking for fresh ideas and found 3 or 4 worth my efforts; but put the buys on hold, considering this sell off. I am also having second thoughts about investing my cash altogether, due to market uncertainty.

We are long overdue a correction. Let’s be frank with one another, shall we? The whole premise on this bull market is based around lies, deceit and corruption. We’ve accepted market manipulation as being “part of the game”, no longer fighting it because we’re greedy pigs. I do admire those who’ve been able to withstand the bull market and stay short or on the sidelines. They are stronger men than you and I. These people are convinced of an inevitable and fantastically catastrophic disaster.

With that in mind, it’s time for some food. I might eat some canned tuna, like a gato. Or, maybe I’ll eat a few greek yogurts and some grilled chicken. I’m cutting again and need to trim 6 lbs, after gaining 16lbs. It’s a process. Don’t bother thinking about what I just said.

I am reporting to you live, but, unfortunately, not from Davos. I report to you from confines of Princeton, NJ, in front of a television that is in fact reporting to me me– live from Davos! Don’t get me wrong, I envy those who have a purpose to travel to and attend Davos, spending hundreds of thousands of dollars for the privilege. Why, if I was in the business of selling nuclear reactors, I’d throw lavish parties for prospective middle eastern businessmen, in the hopes of procuring some contracts. However, I am just a mere manager of money, a person moving square pegs into square holes–a financial day laborer of sorts.

Also, I find nothing wrong with the price tag of Davos. One cannot put a price tag on exclusivity and it’s important to keep out the “riffraff” when conducting business. Without the steep price tag, miscreants might infect the ceremony, forever tainting it and ruining a perfectly legitimate meeting amongst “equals.” To quote animal farm, “some are more equal than others” of course.

Early going, the market looks solid and I am making money. I want to toss a few dollars in the market today, bored looking at the cash just sit there doing nothing.

On my day off tomorrow I intend to take full advantage of the time by getting a blood test and heading out to a funeral. Normal stuff.

My singular conflict is whether or not to wear a suit for the funeral, when in fact I really don’t feel like wearing one. Don’t get me wrong: I don’t intend to wear a Hawaiian bathing suit or a Magnum PI costume. I suppose, at the end of the day, anything less than a suit lacks decorum, given the somber mood.

Here are some stocks that I found this weekend, that look interesting to me.

VICL
CMRX
NNVC
AGEN
PRAN

As you can see, I’ve been focused on biotech. I may or may not buy more biotech. In fact, I might ditch the idea all together, content with just RPTP, and buy some AFOP or maybe come oil. Everyone hates oil now and CLR and CXO are cheap. Or, if BALT trades down again, I’ll buy more. Fact of the matter is, frankly, the bulkers aren’t as interesting today as they were two weeks ago. Capesize rates are down 65% since Xmas and the BDI is off to its worst start for a new year in 40 years. To simply ignore that would be juvenile.

I was looking at CZZ, interested because of the share decline. Then I researched it and figured our Brazil is going through a major energy change, discarding the retarded sugar ethanol in exchange for “pre-salt oil.” Apparently, gasoline is cheaper than ethanol at the pump and government subsidies isn’t making a difference anymore. Brazil is awash with oil and the country is moving away from sugar ethanol. So much for Brazil being “the model” for alternative fuel.

Just a few random thoughts on a slow Sunday evening, ahead of a most eventful monday.

By the way, I find the Martin Luther King Jr. holiday to be a melancholy one, considering that such a great man existed so many years ago, who was supremely interested in the betterment of his people, a harsh and bitter contrast compared to the sophists who infect the “African-America” community today. Nothing has been accomplished. As a matter of fact, one might say King’s efforts have gone in vain, as the black community have been plagued by a culture in dire need of a remix (pun intended). Also, I find the term “African-American” to be a ridiculous one, especially since most black people in America have ancestry dating back hundreds of years, and have no more a connection to Africa than I do to the beer laden streets of Dublin.

The market is selling off as many Chinese burrito and biotech bombshells apex. The last phase of any bull run is marked by the frothy surge in the offal of the market, the companies who promote their stocks to pump their share prices, so they can do secondaries. When you see those stocks run on their own, without the help of your local denizen of free steak lunches, you know the end is near.

Relax, don’t get too confuddled. The market will only disappoint for a short period of time, at which point you may reenter and celebrate decadence, once again. But before that happens, the tree of prosperity must be nourished with the blood and guts of the uninformed. The easy and new money must be stripped from its holder and tossed into the bonfires of agony.

In other words, go raise some cash.

What about oil? It’s out of favor and no one is thinking about it, with oil sub $100. Perhaps it’s a good time to buy now, before the driving season begins, just prior to the beginning of mind numbing inflation? Of course the latter part of that statement was meant in jest; but truth be told, many a good oil stock has been driven down lately.

I like FANG, CXO and CLR. KOG has been battered too and might be worth a shot. But don’t expect miracles, at least not right away.

I want AFOP to sell off today. While it’s true that China might be slowing for them and their CEO can hardly speak a lick of english, it’s rumored that GOOG is a 40% client of theirs, building out a massive fiber optic network with the aim to control the internet. If they executed correctly, earnings could be much better than expected this quarter.

Other stocks on my long term wish list include: FEYE, YELP and TWTR.

I have a bunch of biotechs on the front burner, such as CLDX, PRAN, RGLS, RMTI and CEMP.

I have about 20% of my assets in cash and would love to see a big pullback; but I’m probably gonna have to buy into the rally, as the catalysts for a pullback lack teeth. The market is running because it is the path of least resistance. Sometimes it’s easier to place your emotions aside and simply go with the flow, until it stops working.

NOTE: Capesize rates rebounded sharply today to over $15,000 per day. However, they are down from $42,000 since XMAS and is certain to have a negative affect on earnings. Just an FYI for those of you holding bulkers into earnings.

Yesterday, some bozo from The Seeking Alpha cesspool posted a series of posts, claiming that VEEV lost Genetech, as a client, to CRM. The result was an immediate gap lower, with the stock sinking 15%–just because some clown from “Suhail Capital” was given a platform to incite fear.

Read the article and notice his frantic writing style, purposely manipulated to cause alarm in readers, hoping they’d sell.

My only question is, why is this ‘gent’ doing such a thing?

As you can plainly see, he is making the Genetech ‘loss” to be a rather big deal. A layman reading this would believe it was VEEV’s largest client. However, the truth is a tad less dire and certainly not wrought with deceit.

According to the companies 8-k, released after the close of trade yesterday, VEEV had this to say about Seeking Alpha’s wild accusations:

Veeva Systems: In 8-K, company says that subscription agreement between VEEV & Genentech expired during 2Q13; Already reflected in previously provided guidance

In an 8-K released after the close, VEEV provides the following information: The subscription agreement between Veeva and Genentech, for use of the Veeva CRM product by Genentech users in the United States, expired during VEEV’s fiscal second quarter, which ended July 31, 2013. The financial impact of the expiration of the Genentech Agreement is reflected in Veeva’s previously provided financial results and guidance. At no time in the last eight completed fiscal quarters was Genentech one of Veeva’s top 20 customers, as measured by revenue in the quarter. VEEV does not believe the circumstances that led to the expiration of the Genentech Agreement are indicative of any trend among its customer base generally and are specific to the relationship between Genentech and Veeva.

In summary, Genetech HASN’T BEEN A TOP 20 CLIENT IN OVER TWO YEARS. I repeat, and this time with a bit more elegance, the stuff allowed to be posted by Seeking Alpha that rocked VEEV for 5 points yesterday, resulting in massive losses for investors, was nothing more or less than a complete and utter fabrication.

The ‘gent’ from Suhail came out with a rebuttal piece this morning. But, quite frankly, I couldn’t read it, as it has the grammatical structure and cadence of being written by an 8 year old.

I’d like to know how much they made by trading ahead of this news and why this modern day bucket shop, called Seeking Alpha, is permitted to continue to cause great harm to investors, without anyone on CNBC or the mass media mentioning their complicity in these crimes against the spartan investor.

I didn’t want to make money today, but made it nonetheless. I was a net buyer today, starting a position in BMRN. I like this one longer term, as a possible takeover candidate for big and lazy pharma. AFOP ran hard today. Every time I mention a new pick, you people run it up. I’ve come to the conclusion that many of you are incapable of thinking for yourselves.

In short, I am expecting RPTP to explode to the upside and soon. I can see myself selling it north of $20, punching faces, laughing merrily, all the way to the bank.

It’s my top pick, bozo.

I added BMRN to the ranks.

Takeover candidate.

Life outside of the market is going swimmingly, might I add. As I type this, I am drinking a cup of scalding hot hot coffee, loaded up with some chocolate whey protein, accompanied by a protein bar. I will soon head over to the gym, where I will partake in squats, and attempt to do irreversible damage to my knees and hips. While some of you go through great lengths to avoid injury, I drive the truck straight towards the nuclear power plant.

I have 4 meaningful positions left: BALT, RPTP, GOGO and ANGI. They’re all up, so this correction isn’t affecting me in the least.

As you know, speculation is still running hot, with many stocks up 10%_ today, for no reason at all. This will soon come to an end, a watery grave type of end, so enjoy it while it lasts.