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As of today 9/16/09 Per investor Relations
Today the covering analyst at Sidoti downgraded FSYS to NEUTRAL (from BUY) after a recent rally in the shares moved them to within 10% of its $39 Price target.
The company has not issued any news.
It is the company’s policy not to comment on stock price due to the many factors that impact the stock markets.
IPI become largest gain in my portfolio now. I was extremely lucky to sell off VISA at $81.30 a few weeks ago (when news of $6B suits which i do not like any legal stuff). Lucky to close off position on MA Bull PUT spread 310/290 with small loss a few weeks earlier before expiration. I still like Visa since I have huge gain on it. Use that money to add much more in IPI plus leverage in Bull Put Spread. IPI then has big run right after that. portfolio gain almost 55% in 2 months. I rather be LUCKY than SMART.
IMO : Call seller has a lot of way to minimize risk and keep adding small profit over time decay. They normally hold it until the last day to see how the stock is.
1. They could close out position by buying back the contract (win or lose against their original premium they got when initiated position)
2. Create rolling order to close out June position and open July position to get more premium.
Basicly no stock transfer. A lot of option trader buy/see contract and close out position when become in money or let it expire when out of money.
The only way the Naked caller lose (BIG) is when stock move up so quick and they could not react to close out position fast enough.
IMO : Chart and pattern work during normal event but you could ignore it once major news that could over power it. I believe $6 billions suit was a major event (even somebody said no). I sold off which Visa was once the biggest holding on my family accounts (Roth IRA'S and Rollover 401K). It does not cost me much except $5 commission each trade (no tax on huge gain). Lucky I did. It was down the hill since I sold. I will definitely come back again once I could gauge the magnitude of the suits. I just do not need take another risk on the down side. Rule number one : Do not lose the money. Before this I thought it was the safest stock compare to other financial stock. I guess I sold about the right time yesterday to overload on Ag stock which perform very well today. I am not that smart but luck happens to be on my side this week.
Because of AGU guidance for fertilizer market LIFT the whole sector. POT, IPI, CF, MOS, etc..
CALGARY - Fertilizer producer Agrium Inc. (TSX:AGU) says it is looking forward to record profits as "unprecedented demand for crop inputs."
The Calgary-based company said it expects second-quarter earnings of US$2.80 to $3 per share, up from previous guidance of $1.92 to $2.22, "due to very strong results from both our retail and wholesale operations."
Agrium's results are "particularly impressive given that the North American spring application season has been hampered by excessively cold and wet weather this year," president and CEO Mike Wilson said in a release.
"Continued strong global crop prices have created unprecedented demand for crop inputs and we foresee an extended demand-driven cycle."
The company said its forecast assumes there is no unfavourable financial impact from its Egyptian nitrogen facility EAgrium, at which construction was halted in April"due to permitting and other delays created by the Egyptian government."
A syndicate of banks providing financing for the project has requested the suspension of future draws on a credit facility and says the loan is in default.
Agrium said it expects government approval but has "concerns these issues may not be resolved in the near term, in which event EAgrium's shareholders would be exposed to the loss of their total equity commitment."
Agrium has $165 million invested in the project with a total equity commitment of $280 million.
IMO : Visa and MasterCard need to resolve the issue in regard to discovery suit ASAP. Issue statements to state that $6 billions suit is overstated and not likely. Investor do not like the unknown. I am out from both VISA and MasterCard with profit for now. I am waiting to see how the issue to play out a little while before getting back in again.
Can anyone guess the extent of this damages news? Thanks
June 9 (Bloomberg) -- Discover Financial Services is seeking $6 billion in damages from Visa Inc. and MasterCard Inc. in an antitrust lawsuit accusing the bigger credit-card rivals of squashing competition.
The damages, which may be tripled, were included in confidential filings unsealed today in federal court in the Southern District of New York. Visa said today the amount was ``dramatically overstated' and MasterCard called the suit ``baseless.' Both companies fell in New York trading.
``The numbers on potential damages Discover is seeking are large,' Sanjay Sakhrani, an analyst at KBW Inc. in New York, said in an interview. ``However we think a settlement for a meaningfully smaller amount still remains a likely scenario.'
Discover, the fourth-largest credit-card network, filed a lawsuit in October 2004 against Visa and MasterCard, claiming the two largest networks broke the law by barring member banks from offering rival cards. Visa agreed last year to pay $2.25 billion to American Express Co. in a settlement of a parallel suit, an amount Discover Chief Executive Officer David Nelms called ``cheap.'
MasterCard dropped $14.11, or 4.8 percent, to $281.62 at 1:49 p.m. in New York Stock Exchange trading and Visa fell $1.80, or 2.3 percent, to $81.85. Discover fell 37 cents to $15.33.
No Improvement
Discover's credit and debit businesses didn't show significant improvement even after restrictions were lifted, undermining its claim, Visa and MasterCard said today in separate statements.
``Discover has not seen any increase in its overall percentage of the credit-card volume share' after the policies were changed, Sharon Gamsin, spokeswoman for Purchase, New York- based MasterCard, said in the statement.
Visa, based in San Francisco, set aside $650 million for a possible Discover settlement from the $3 billion fund established after its record March initial public offering. The funds come from IPO proceeds of banks that owned the network, and the companies are obliged to pay for a larger Discover settlement if needed.
MasterCard didn't set up a similar system when it went public, which means shareholders may be affected by future settlements, Sakhrani said. He rates Visa and MasterCard ``outperform' and Discover ``market perform.'
`Appropriate Settlement'
The documents had been filed under protective order since the case began. The lawsuits by Discover and American Express follow a U.S. Supreme Court ruling that Visa and MasterCard violated antitrust laws in competing against smaller companies.
``I was a little surprised that AmEx settled as early or as cheap as they did,' Nelms said in a Jan. 29 conference call with analysts. ``If we had an appropriate settlement at an appropriate time, we would consider that.'
Like New York-based American Express, Discover extends credit and runs a network that processes transactions for other lenders. Visa and MasterCard only operate networks and don't make loans to consumers.
Discover shares have declined 47 percent since the company was spun off a year ago by Morgan Stanley as the U.S. housing slump hurts consumers' ability to repay debt of all kinds. The company's market valuation is about $7.6 billion, according to Bloomberg data.
MasterCard shares have almost doubled in the past year and Visa shares have surged 84 percent since its IPO. The companies, which sidestep the rising customer defaults of lenders, capitalize on consumers' increasing preference for using credit and debit cards over cash and checks.
Visa's IPO raised $17.9 billion on March 18, the most for a U.S. company, and the tally passed $19 billion after more shares were sold to satisfy demand. It was the world's second-largest public offering after Industrial & Commercial Bank of China Ltd.'s $22 billion debut in 2006.
The case is Discover Financial Services, Inc. v. Visa U.S.A., Inc. et al, 04-CV-7844, U.S. District Court, Southern District of New York (Manhattan).
http://www.bloomberg.com/apps/news?pid=20601087&sid=atK2K1I__6iY&refer=home
With future earning guidance plus clear vision of future Potash price. I can not pass the opportunity add some more in long term holding when it dip on good guidance. SELLING BULL PUT spread Option contract is to gain additional cash.
From their guidance the potash price for April-June ($503, $532, and $582) which is extremely good. I would use this dip to add position regardless what it is. Also production of Potash will be up. I have good winning on June50 Call and Bull Put Spread 50/45 June. I think Premarket (or today) is just profit taking : Buy on Rumor-Sell on news.
I notice that Visa has about $94B market cap and 7% institution own while MA has $40B market cap and 70% institution own. When will Visa have to be INCLUDED in index such as S & P, Russell, etc.. after IPO? What is the time frame? If that happens, institution would be forced to buy Visa into their fund. I guess by that time institution own would be much higher than present so as stock price. Anyone know, Thanks
Nice part was that Director Cathy Minehan buying 2000 shares in open market @ ~ $83.40 (~$250,000) on April 30.
Another Director Gary Coughlan buy 3000 shares (5/1/2008) ~ $86.80
That is a few days after report earning on April 28 with new EPS of 52 cents (28% rise). Revenue in crease 22% to $1.45 Billions. That shows good confidence. No insider selling for a while at least until lockout period after IPO.
Probably different broker. It cost me $1.50 per contract to close option (no ticket price). To be assigned it cost me $35 per 1 contract. To buy or sell stock cost only $5.00 It would be cheaper for me to close take profit with $1.50 commission then use that profit to buy stock that only cost $5 in commission.
It cost more for commission to exercise it. I think the reason broker want to exercise it as much as they can because of commission which is much more than buying stock or close option.
If I have in money option. I normally close it and take the gain then buy the stock out right. I think it cost somewhere between $30-$35 to exercise one contract.
10 contracts = 1000 shares X .80 = $800 + Fees
You better hope that V is higher than $100.80
Assume it is $101 on last day of trading. Your value of option is ($101-$100) = $1.00 you win only 20 cents ($200) (Assume no time value)
If it is $105, the value is $5 (Assume no time value)
You could sell to close for $5 ($5000), You profit is $5000-800 = $4200 (less commission both way)
I prefer sell protect Bull Spread Credit PUT
If you really know it would go UP to certain point
I would sell V June 90 PUT and Buy June 80 PUT as protection.
I would get CASH upfront about $630 per contract.
Risk only $370 since my maximum loss would be $1,000 if V close below $80. My break even point if V close at $83.70
Anything above $83.70 I win
Above $90 I kept $630
For 10 contracts it would be $6,300 profit if above $90
Option Monster
I used to be with Ameritrade but it cost too much if you trade a lot of option. I move to Thinkorswim.com It cost only $1.50 per option with no ticket price (which Ameritrade cost $9.99. Stock only $5.00 per trade. Thinkorswim option spread is much better than Ameritrade. Thinkorswim is best to trade with different type of spread trading in option. I think you can try out their platform in real time without funding your account (paper money).
Just send file back to you in PDF
I was one of them who got the shares by putting in very low price (I thought) and leave it for a day. Before I knew what was going on. It executed BUY order.
IMO Settlement chance still there. Nokia just bluff to get better deal.
Some Spread may be good to use for short term
I just sold Bull PUT Spread.
Note : Spread have downside protection.
Sold 10 Contracts IDCC April 25/20 PUT for $2,400
Risk of $2,600 for front cash of $2,400
If IDCC is above $25 $2,400 is free
If IDCC drop below $20 Maximum loss $5000 - $2,400 = $2,600
Fees is very cheap : Best for option and spread trading, fast.
including probability calculation of expiration, etc..
I move from Ameritrade to Thinkorswim
No ticket price : Only $1.50 per contract.
$5 for trade stock
They also have Future, commodity & currency
Rebate also if you trade more than 40 a months (I believe)
http://www.thinkorswim.com/tos/client/index.jsp
Here is the reason for Nokia down
"Texas Instruments lowered guidance Monday thanks to sinking demand from one of its large wireless customers. TI never named names, but Cramer said he knows who it is.Nokia
[TXN 29.02 --- UNCH (0%) ] said that its “customer’s” market share is still intact, but demand for the most expensive phones was dwindling. So even though Nokia’s best of breed, Cramer said, with demand down the stock’s a sell. The company’s feeling pressure from both sides right now: Apple
Apple Inc
AAPL
http://www.cnbc.com/id/23620104
Tape of it will be at 8:00 PM EST again for the one who miss.
IMO: If they know that they would settle with IDCC in the future and buying CALLS ahead of it, they will get themselves in trouble. That is insider trading before public information. Somebody may go to jail for it if they get caught.
IMO : The right word should be Nobody care about ANY stocks.
Good stock even with good news will not go as far in this market. Disney rose only about $1.43 even with good news.
Bad news will beat that stock to death. Did you see CME drop today? Drop 100+ point.
In this environment, People look for good exit points of the stock that they have but not to reenter until general market is good.
I never thought I would see a lot of Good stocks at this LOW price (which may be lower). What do I know?
I wish I could still be in but I have to limit my loss during this recession. I hope IDCC go up even I am not on board for all my friends.
IMO : Money is moving out of Communications Equipment Industry at this time. IDCC is part of the index. A lot of people are moving out of mutual fund into CASH that in turn force fund to SELL to meet redemption obligations. It feed itself after CNBC talk too much about recession. How many people would want to buy stock or 100% invested? Even good stock got beat up. Nowhere to run. Even cash losing value to EURO but still safer than stocks. I now have only 2 stocks (CF & POT) but still got beat up. Time is now to buy PUT or SELL protected CALL (SELL out of money call for cash and buy CALL on higher strike price to limited loss in case stock move up. (Bear CALL SPREAD)
Disclosure : Had to sell IDCC for loss earlier. No position.
IMO : Fed could not afford to disappoint market which expect 50 base point. Market will sink with 25 base point.
Market does not seem to react with good new of 3/4 point rate cut in Pre-market.
SEOUL, South Korea (AP) -- Special prosecutors raided the headquarters of Samsung Group on Tuesday in a widening probe into allegations the massive conglomerate set up a slush fund to bribe influential figures.
The raid, which occurred in the same building where global technology giant Samsung Electronics, the flagship of the conglomerate, has its Seoul offices, came a day after investigators searched an office of Samsung Chairman Lee Kun-hee and seven other locations.
As the raid was occurring, Samsung Electronics said net profit in the fourth quarter fell 6.6 percent from a year ago amid sharp declines in prices for computer memory chips. That was a smaller drop than expected, and investors -- apparently unfazed by news of the raid -- sent the company's stock as much as 3 percent higher.
Yim Jun-seok, a Samsung spokesman, confirmed that investigators entered the strategic planning office at the conglomerate's headquarters in Seoul. He provided no details. Investigators could not immediately be reached for comment.
Yonhap news agency, quoting sources involved in the raid, reported that dozens of prosecutors and investigators seized documents and other materials related to the allegations in Tuesday's raid.
The probe, which started last week, came after Kim Yong-chul, a former top legal affairs official at Samsung, alleged that the conglomerate set up a 200 billion won ($215 million, 144 million euros) slush fund to bribe influential figures such as prosecutors, judges and government officials.
Kim, a former prosecutor himself, alleged that Samsung used Samsung Corp. -- the conglomerate's trading arm -- to create the pool of money through intricate contracts with other group affiliates and that Lee's family members used some money to buy expensive art work.
Samsung, a conglomerate spanning dozens of companies with interests ranging from construction to shipbuilding, has denied the allegations.
Huge South Korean industrial groups such as Samsung are not new to scandals. The so-called chaebol conglomerates have regularly been accused of wielding their economic might to influence government decisions and of using dubious dealings between subsidiaries to help controlling families evade taxes and transfer wealth to heirs.
Lee's tenure has also been marked by controversy as Samsung has been the focus of previous investigations. Lee was convicted in 1996, along with seven other leading South Korean business executives, of giving and arranging bribes to ex-South Korean President Roh Tae-woo, a former general. Lee was handed a two-year suspended prison term, meaning he did not serve time in jail.
South Korea's National Assembly in November passed legislation authorizing an independent counsel investigation into the matter, which was reluctantly approved by President Roh Moo-hyun.
Separately, Samsung Electronics said it earned 2.212 trillion won ($2.36 billion; 1.59 billion euros), in the three months through December, down 6.6 percent from a year ago.
While the company took a hit in lower prices on memory chips, it reported record overall sales for the quarter as well as its largest ever three-month sales figure for mobile phones.
Samsung Electronics is the world's largest manufacturer of computer memory chips, and plays a leading global role in a range of electronics products including flat screen televisions. It ranks No. 2 in mobile phones behind Finland's' Nokia Corp.
In another milestone, the company racked up consolidated sales in 2007 of 96.1 trillion won ($102.5 billion; 68.9 billion euros), marking the first time the figure has ever exceeded $100 billion, said Chu Woo-sik, executive vice president for investor relations.
Samsung's share price 2.5 percent to 538,000 won ($574; 386 euros) in early afternoon trading.
http://edition.cnn.com/2008/BUSINESS/01/14/samsung.probe.ap/index.html?iref=topnews
This is a good site to book mark for time around the world
http://www.timeanddate.com/worldclock/
IMO : I rather see it go up slowly and stable than quick then fall. Award is only one time payment. I would like to see IDCC leverage of Samsung 2G's rate in 2006 to date (that almost 2 years payment) into 3G licensing agreement. Then we would see big move.
IMO : Does not matter how he does. New investor who doesnot know about IDCC would not get involve with new stock that touch new 52-week low. They perceive that there is something wrong with the stock that why it deserve new low. Same things happens, investor will try to ride on new stock that just made 52-week high with probable (more likely) to go higher.
Thanks. I always thought you can not buy back before 30 days. I always thought after you buy it, You could designate any lots for tax loss or gain when you sell. Thanks
I guess that settle it. Either IDCC has to perform by year end or else.
IMO: I do not think we see the end yet. A lot of people are waiting until last minutes to see the resolution of Samsung since the judge said he would have the ruling done before year end. I probably keep it if ruling is OK and bring it up to profit column. Then wait for another event unfold next year.
Another way to do is to BUY equal amount of shares today then SELL other losing lots tomorrow to get tax write off.
IMO : Simple. It become boring (and painful to see) stock and not fun to watch anymore. Everyone in my family already out from IDCC and do not want to get involve with it. They love to see fun moving stock that they could understand and see going up to the moon. They put in GOOG, BIDU, ISRG, MA, ICE, ... just to name few and see it going up while IDCC is going down. I do not think they would sell their winning stock to get SPECULATE stock like IDCC until all events is unfold. I used to have 100% in IDCC. IDCC is now the smallest percents of it (only 1000 shares). I now consider IDCC is purely speculate stock. The only things that keep it so I could see how the event is unfold. If it not unfold by year end, Let's get TAX loss and goodbye. It will be huge tax sell on IDCC since this may be the one which most people got loss since close to 52-week low.
IMO : It is low volume. Some shareholders are totally giving up with it plus year end tax loss. They will sell at any cost to get off their portfolio. Without seeing it would made them feel better.
If we have new good license, the stock price would take care itself and would not sit on NEW 52-week LOW. I am deep under water also. I would need to jump off the window if I am not diversify.
Unrelated to IDCC However I wish one day we woke up with new like this. Share price already bid up $65 Bid / $77 Ask in early trade (before market)
Biotechnology company Celgene Corp. agreed to acquire Pharmion Corp., a maker of blood-cancer treatments, for $2.9 billion in cash and stock as part of its drive to become a major global player in developing and marketing blood-cancer drugs.
Celgene, of Summit, N.J., said it agreed to pay Pharmion shareholders $72 a share, a nearly 50% premium over the stock's closing share price on Friday, and nearly three times the level where Pharmion shares started in 2007.
Pharmion shareholders will receive about one-third cash and the rest in Celgene stock, at a ratio that will be determined later. The boards of both companies have approved the deal but it still requires shareholder and regulatory approval.
Pharmion's shares jumped about 5% Friday and an additional 2% in after-hours trading, suggesting that word of the deal may have leaked. They rose Friday to $49.28 in 4 p.m. Nasdaq Stock Market composite trading.
http://online.wsj.com/article/SB119542866365497341.html?mod=yahoo_hs&ru=yahoo
IMO : Buy back will help stock price somewhat (reduce selling pressure). Less outstanding shares, More pricing volatile.
Fundamental of demand and supply is much more important. Reduce outstanding shares help in the long term such as higher EPS. However it would not help increase GROSS revenue. Investor is looking for substantial increase in GROSS growth revenue. With more visible in FUTURE growth revenue it would reduce PEG (PE ratio / growth). Decrease in PEG will catch investor eye that translate in higher price due to higher demand for shares. We need new license to increase GROSS revenue.
IMO : His chart reading had a flaw. You could ride the momentum and continue to hold even when it is in over bought condition (RSI above 70). If he sold when it is in over bought condition, He would have miss out since $540 (now is $740+). You could ride momentum until MACD (momentum is slowing down) MACD (fast - Black line) is starting to turn down and then cross over slow one (Red line).
http://stockcharts.com/h-sc/ui?s=goog&p=D&yr=0&mn=6&dy=0&id=p44274261513