Thursday, June 24, 2010

Zecco Zap Trade.

Here, we see that Zecco Zap trade offers you the chance to "place trades directly from your research"... This is crazy- isn't the point of research to look into a stock so that you don't do something brash?

Don't get me wrong, Zecco offers a great service with free or near free trades; I would suggest them to anyone. However, this sort of easy trading, where you don't even have to take the time to type the name "Zecco" into your address bar, seems to not only increase the chance for errors of thinking, but also for doing something that you might regret.

Thursday, June 17, 2010

Hurray! SarBox won't kill small companies!

Here, we see that the Sarbanes Oxley 404b exemption is probably going to be with us for a while. It's a great time to be in small/nano caps.

Friday, June 11, 2010

International Baler quarterly filing coming soon!

I thought that I would let you know that International Baler's earnings should be coming out by Monday evening. I look forward to reading it, and then typing out my thoughts.

In addition, I have plans to go and see the company's HQ/manufacturing facility in about 2 weeks. Pictures and notes will be posted.

EDIT: It will actually be Tuesday when earnings are released.

Wednesday, June 9, 2010

Microsoft and Debt.

Here is a link to a good write up on MSFT's seemingly dumb debt issuance. I would argue that it is a good example of an MBA making an irrational decision, or, of some banker bribing someone in the company.

I wonder if Bill Gates knows about this, and furthermore, what he thinks of it since he has become friends with Warren Buffett.

A snip:
The software company will use the sales proceeds to repay short-term debt. If it was any other company I’d ignore this headline as a daily noise as this kind of things happens all the time. But Microsoft has $39 billion of cash and generates $16-$17 billion of free cash flows a year. Issuing short-term debt, for which Microsoft will surely pay higher interest than it receives on the pile of its cash makes absolutely no economic sense – zero.

Thursday, June 3, 2010

The Gov. of NJ is awesome.

Here, the Governor of New Jersey basically tells a teacher if she doesn't like the pay of being a teacher, she should quit... Awesome, a politician that finally speaks his mind. Hat tip to The Mess that Greenspan Made.

Sam Walton Apparently didn't show economic growth through his ride.

Here is an interesting story about how pickup truck sales show strength in the economy; an argument that does make a great deal of sense to me.

I find it funny, how Sam Walton, would of never helped this statistic, since he drove an old truck til the day he died- despite the fact that he did more for the economy than virtually anyone else in history.

Clarus re-listing opportunity?

As some of you that have followed one of the more notable shell companies, Clarus has made what appears to be a rather nice acquisition.

Now, they will be able to use the bulk of, if not all of their $231 million of Net Operating Losses. This alone, is going to more than double the book value of the company. In light of this, the company is trading below book value and has a business that is proven to make money in thick and thin. Furthermore, one of the acquisitions that was announced was sold a few years ago by the head of Clarus, and bought by Clarus, from the company which originally bought it. Knowing what I know about Warren Klanders, he is a smart guy; I am sure that he knows the business(es) incredible well, and will run them in a manner that will deliver great returns for shareholders.

The company will likely be listed on the NASDAQ, which will get rid of the negative stipulation that often comes (somewhat irrationally) with being traded 'Over the Counter" or on the "Pink Sheets". In addition to the company looking cheap from the get go, this new listing should help bolster share price in the coming months.

Disclosure: I am long shares of Clarus, which is soon to be Black Diamond Equipment. Do your own research before so much as thinking about doing anything I talk or think about.