I'm a former smoker and nowadays really don't like being around smokers. Quite frankly it stinks and I find the odor repulsive. However, not as repulsive as the taxation being heaped upon smokes in New York State. The most incompetent governor in the history of the state has taken to raising the tax on cigarettes again in order to close the budget gap, which of course has been brought on by out of control government spending. Now, a pack of smokes in NYC will cost $13!!! When I first started smoking in 1965 a pack of cigarettes cost $0.25. Really, this is ridiculous. Why not just make cigarettes illegal? But the creeps who run things won't allow that. They just keep taxing.
For as long as I worked on the Street there have been those that have adhered to the summer rally theory. Supposedly stocks can do really well during the summer. Maybe it's wishful thinking but many believe that thin volume, while many traders are on vacation, can lead to higher prices. For my part, I really never bought this theory, but with summer officially beginning on June 21 I do believe that this year may feature a pop in stock prices during the hot days to come. Basically, this position is based on valuation analysis suggesting that many big name stocks are very moderately priced and should be commanding higher multiples. Will it happen? Who knows? Unexpected things happen that can influence the market negatively. However, on "fundamentals" I believe that on a short term basis stock prices with trend higher.
I am becoming even more comfortable with my position in Mariner's Choice (Pinks-MCII). During the week the company has issued two very encouraging PR's. The first involved financial matters in which MCII reported a big increase in fiscal 2010 sales, and the second perhaps more significant development was the association with Wyndam Media Group, which in my opinion will assist the company substantially in its marketing efforts. Still pending is any news on the participation of MCII products in the Gulf oil spill clean up which could really send the shares soaring. This company has the right products at the right time and could be a real winner!
In perusing the Yahoo message board for EEE there are actually some touting morons (and you have to wonder if the company is behind these posts) that are saying EEE can be bought out!! Really, this is a hoot. Just who would buy this bogus company that has no workable products? Needed a laugh and I got one. Desperation reigns.
Amid the general gloom of recent weeks I have been posting some of the most dire of forecasts. In the interest of balance I thought I would post a bullish sentiment. Actually, this article makes lots of sense citing the fact that stock valuations are very moderate right now at about 11 times earnings versus an average of about 15.
While the market soars today EEE is tanking again and likely headed below 10 cents. To all long suffering shareholders I recommend voting NO on any reverse split and against all nominees for directors. Won't get my money back but at least it's a small protest against these creeps who have the nerve to continue to take a salary while we all get hosed!!
Seems that the Federal Reserve is contemplating steps to prop up the economy if necessary. This is welcome news and could instill some confidence into the market. Let's see if there is any follow through today to yesterday's rally. If not, it could of been just a flash in the pan.
This is great analysis about the disaster which is EEE. Unlike most message board posts this one is informative and educated. Could not have said it any better!!
I have been very critical of EEE's management and I think with good reason. However, today I will offer a word of advice that could change my thinking about their competence. Specifically, the company should call off this reverse split nonsense and allow the shares to be delisted. By reversing the stock management will play right into the hands of shorts who have had a field day with this stock as long as I have owned it. After the reverse shorts will once again be aggressive and will be the only ones to make money. The theory for staying on NYSE Arca is completely bogus and stupid. If Stoner is serious about saving the company he should also get rid of all the dead wood that helped bring about the current disastrous state of affairs. Trying to be constructive here since I would like to recoup some of my losses, but by reversing the stock price management will assure that I have no chance of that.
There are those that are harping that Obama has not done enough in the Gulf. Really? What would they have him do in this unprecedented environmental disaster? However, what I blame the president for is not addressing the unemployment situation in the country which is still horrible. The spending stimulus package should have been larger, coupled with tax breaks for business so as to encourage hiring. The detachment of this president is really starting to bug me and at this time I cannot imagine a scenario in which I would vote for him again. Even Biden would be better!! Maybe Obama should turn the office over to him and go back to teaching law. Really, enough is enough Barry!!! I think you should be unemployed.