Fly Buy: $GIMO, $SOL

I started positions, in bulk, in GIMO and SOL.

This company is ripe for activism.

I started a position under $27.5.

In the filing, BALT intends to use the proceeds from their secondary to buy 2 Ultramax vessels with an option to buy another 2, to be delivered in the 2nd half of 2014. One has to ask oneself: do they know something we don’t know? Or, are they gluttonous bastard pigs?

Here’s the thing: this sucks for traders of the stock. But, as an investor, this is welcomed news.

On a rising tide, you want as much leverage as possible. BALT just went from being a small player with 10 vessels to a player with up to 17 by June of next year. If we’re right about shipping rates, BALT’s upside leverage just went through the roof.

Quick note: the previous two capital raises (9/20, 5/22) marked the bottom for the shares. In other words, today’s a good day to go hunting.

Quicker note: For those of you confused as to what the hell an ‘Ultramax’ is, consider it a supersized Supramax, falling into the Panamax category of 60,000+ dwt. BALT is mimicking the BDI.
http://www.youtube.com/watch?v=-N_NG96-eh0

This quarter, like every quarter, has been brutal to companies who didn’t commit accounting fraud to exceed analyst expectations. Although the market is near the highs, many people are -20% in recent weeks thanks to shortfalls.

As always, some of these sell offs are exaggerated and should be considered for a “buy the blood” opportunity. The stocks in bold indicate they’re currently rated “buy” or better, using The PPT algos. Members can find this screen here.

1 Week Losses

SRPT -65%
NES -39%
INWK -35%
QUAD -33%
PWE -24%
NSM -24%
EZPW -23%
FSYS -22%
NXTM -22%
TSLA -21%

(none of the above stocks are ranked buy. In fact, only one -10% stocks (weekly) is rated “buy” and that is TRNX)

1 Month Losses (no duplicates)

NIHD -46%
ONTX -45%
RPRX -40%
PVG -36%
TNGO -35%
SNTA -34% (not a buy, but highest rated)
MCP -32%
IMMU -30%
OMER -30%
AVG -30%

Notable buys off i month loser list are: RNF, FUEL, VOLC, RATE, OSIR)

2 Week Losses

BSFT -28%
IRG -27%
CARB -27%
LAYN -23%
STRA -23%
NXTM -23%
BYD -23%
AAWW -23%
AVP -22%
GTLS -22%

Notable buys off 2 week loser list are: BCRX, NPSP, WRLD and QCOR.

What did we learn? The biggest losers still suck. But there are some awful stocks upticking worth a gander.

These maniacs are intent on dilution.

They don’t need more vessels, unless of course they have crystal balls up their asses. What they should be doing is sitting tight, waiting for rates to increase, while sporting a pristine balance sheet. Instead, shareholders like me get caught holding the bag.

Knowing they are Greek, they probably just have ordinary balls–up their asses.

I was going to do some “chart art” for ALJ’s recent SURGE upwards. But, quite frankly, the narrative is too tragic for me to endure. I sold the stock, mind you, at the precise lows, only to watch it, pornographically, erect itself off the backs of idiots like me. The other day, when I penned the blog about not looking back, that was at lower prices–friendo. But when it surges, naturally, those opinions no longer apply.

No worries. As soon as the time machine is out from the shoppe, I will go back to Friday and buy more, instead of selling it. You stupid idiots won’t know any better because I’ll erase this post and you’ll never know that I sold, since the future will be altered. Maybe while I’m at it, I’ll short SRPT too.

MU looks “dreamy”, as one of my ambiguously gay friends used to say. I’m actually making money today because NSTG and RBCN are higher. Of course if I would’ve held onto ALJ, I’d be bowling on you bozos right now, drinking O positive from a diamond encrusted chalice.

I’ve moved past brewing coffee, by the way. I find eating the coffee beans straight out from the bag “desirable”. Be careful not to eat more than 8, however, else you’ll get the jitters like a cat on a hot in roof.

US corporations have never been richer, a true dichotomy when compared to the general population. Due to productivity gains, corporations do not need to ramp up on employment in order to maximize profits. As such, employment in the US remains stagnant, while cash on hand for our best corporations reaches new heights.

The poster child for cash on hand is AAPL, with their absurd $150 billion in reserves. However, there are many names out there with fantastic balance sheets that are often overlooked.

Using a net cash per share/price ratio inside The PPT, cross referenced with a bunch of other stuff, here are a few that caught my attention.

NTAP
NVDA
MRVL
APOL
KLIC
TIVO
UTEK
AVX
VSH
QLGC
PKE
SWIR
CRAY

Usually stocks with huge cash positions are bogged down, impaired somehow, like MODN. Most of the names above haven’t performed very well, but present an interesting opportunity for activist shareholders or leverage buyout firms. Naturally, they’d want to get their hands on the cash in the form of a special dividend.

Food for thought.

The market looks weak and I am simply a spectator today.

We started iBankCoin, after tricking people into believing I was “retiring” from the field of blogging (I started blogging here), on 11/12/07. Myself, Woodshedder and Danny were the original bloggers on the site, shortly followed by Ragin Cajun. At the time, traffic was about 3-5k views per day, a mere trifling compared to what we receive now.

Over the years, we’ve had many “looks” to iBC. Many a blogger have come and gone, some on their own fruition, others fired. Behind the scenes, there have been frantic fights and cordiality. At the end of the day we’re dedicated to one thing and one thing alone: providing “The Fly” with adequate amounts of funding to complete his dream project called: The Orbital Space Cannon (OSC), to be used for offensive purposes only, in order to usher in a new world order.

Other sites, like Business Insider, StocksTwits, Zerohedge and others, possess agendas, mostly surrounded around self-aggrandizement or Armageddon. My only wish is to liquidate whole swaths of people from outer space.

Thank you for your incessant support and god bless “The Fly”, his bloggers and partners, and the scientists working 24 hours per day on The Orbital Space Cannon.

This was the video, made by Danny, introducing iBC to the world.

Watch iBankCoin.Com in Entertainment  |  View More Free Videos Online at Veoh.com

And here are some of our looks over the years.

I’m looking at the winners, mainly in the healthcare and 3-d space and it’s awe inspiring. I was in these stocks, like ONVO, DDD, SSYS, 50-60% ago, when the homosexuals from Seeking Alpha were penning hit pieces on a daily basis. Oh, don’t think I forgot about that. Just two weeks ago XONE was getting mauled, now it’s loved.

What’s changed?

Absolutely nothing.

Stocks are ripping based purely on momentum. You can try to trade ahead by screening for low float/high short interest names with improving technicals; but it’s all a crap shot. The one constant has been solar. Everyone loves solar. I remember when the investment community mocked them as part of Obama’s green revolution.

Soclal media stocks are definitely in the penally box and lo and behold steel and iron stocks are in play.

Was there any way one could’ve predicted the moves in X, AKS and MT?

Yes!

The Dry Bulkers were bragging about chinese iron ore demand for months. Well, you need iron ore in order to make steel. To properly heat the iron ore, you need coking coal. Stocks like WLT and CLF are responding in kind.

The only piece to the puzzle that is left to fulfill is the shippers. Hell, we have a full fledged rebound in steel demand, apparently. Coking coal companies are reliving the Carnegie era and yet the shippers are down 50% for the year. Might I add, if you want to mine for that ore, you’re gonna need JOY, which is also depressed.

One of two things is accurate here. Either chinese iron ore demand is real because steel is being used at factories. Or, this is all smoke and mirrors. Based upon the 52 week high list, I am going with the former and that’s why I am heavily long BALT. It’s my largest position.

FYI: During this past quarter, most dry bulkers sported 50%+ yoy revenue growth, yet they’re still treated like biofuel stocks.

Of course ALJ had its best day in months, one day removed from “The Fly” booking a 12% loss. Nevermind that, for we are forging on, fixed on better ideas with less uncertainty.

On Jupiter’s Stone, BALT will trade $7 and RBCN $15. Just like GOGO, I know these things will happen. The only question is: will I get in my own way?

I am working on a few new ideas. However, I am hesitant to initiate positions ahead of earnings. I’d rather own names that have reported, this way the potential for disaster is mitigated.

I was up 3% for the day, wiping out Friday’s decline. Nonetheless, I have another 17% to go, in order to get back to my annual highs.

I’ll post some of my top new ideas later on tonight.