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larry SI has a crazy short position (76% of the float). I'm surprised there were shares available.
That might make BOIL a buy.
hweb I've started nibbling on some short positions. I'm wading in for now. If we get back up around 4100 on the S&P, I will get more aggressive.
Benzinga report
Franchise Group Inc
FRG $30.13
+0.70%
According to a Wall Street Journal report citing people familiar with the matter, Franchise Group is considering going private via a management buyout. CEO Brian Kahn and other company management team members could pay between $30 and $35 per share for the deal, which is reportedly in the early stages.
Separately, Franchise Group is considering a potential deal to acquire furniture chain Conn's.
Nelson
I'm seeing a Wall Street article that Franchise Group (FRG) is considering going private. It sounds like Brian Kahn could pay $30 to $35 for FRG.
I think the CONN buyout is a separate consideration from the $30 to $35 price to take FRG privatel.
re: TSRI
They definitely had a great quarter. Given the industry headwinds, I can't talk myself into buying it. Good luck to those that are holding it.
Hweb to create the link you need to copy the Url address that you wish to link. In this case,
https://finance.yahoo.com/news/senstar-technologies-reports-third-quarter-111200284.html.
You then highlight the url address above with your cursor. Once highlighted, click on the Url left of the message box. When you click on Url it will insert the following into your message.
[ url]https://finance.yahoo.com/news/senstar-technologies-reports-third-quarter-111200284.html[/url][tag]insert-text-here[/tag]
Where you see insert-text-here. Replace that with what you want displayed in your message. In my case that was .06 eps.
[ url]https://finance.yahoo.com/news/senstar-technologies-reports-third-quarter-111200284.html[/url][tag].06 eps[/tag]
Note: I had to place a space in front of the url in the above examples to allow them to display the full text. I replaced [url] with [ url]. If you remove the space in front of url it will show up as whatever is in the inserted text field.
SNT reported solid earnings this morning .06 eps. I haven't followed this company, but given the chart combined with a good earnings report, it looks like a good tax loss selling candidate.
I hope they claw back the money he received. That would be wonderful.
re: CVU I agree with your sentiment, but I couldn't help myself from taking a bite of that apple. I'll probably regret it.
hweb I didn't have time for a deep dive, but their balance sheet looked shaky. If the oil and gas market remain hot, they should have enough cash flow to manage it. I'm not sure how to price it given the balance sheet.
hweb good call on AMS eps.
AMS releases earnings on Thursday. They reported .08 eps for the 2nd q. If they can repeat that, I could see the stock getting a nice response. Does anyone have a feel for what to expect from q3?
The next fed meeting will be interesting. For over a decade, Wall Street has been
conditioned to expect the fed put. As a result, the market keeps trying to game a change in policy.
The problem for the fed is that if the market gets too bubbly it will stimulate the wealth effect and complicate the inflation fight.
I wouldn't be surprised if the fed wants to slow down from 75 basis point hikes, but if they communicate that. it could lead to a continuation of this rally.
I have no clue what they will communicate. They have been willing to throw cold water on Wall Streets hopes for the last couple of meetings.
TAYD had another Form 4 posted today. The CEO made a small purchase. It might not seem too significant, but there hasn't been much insider activity for this stock, so it may be more meaningful then it appears.
re: JVA I'm surprised that management agreed to this deal. It has a china reverse merger type feel.
TAYD reports another good qtr. (eps of .29) and the backlog remains strong. This company has an excellent balance sheet. The are debt free and $6.5/s cash. With interest rates climbing, this cash balance should start contributing to the bottom line in the near future.
I concur with sskillz on fonr. That was not a good qtr. Taxes were not the issue. Taxes actually benefited the 4th qtr. SG & A expenses were significantly higher then the previous qtrs. I'm not sure if that is a result of one time items but it definitely resulted in a significantly lower operating margin. I believe sskillz is right regarding the bad debt expense. It does appear that they made a year end adjustment to the bad debt estimates that benefited the qtr by 800k.
I agree with sskillz1. The chances of a US Treasury default in the near term are so small that it shouldn't be a deterrent. I've been laddering into 3 month to 2 year treasuries over the past month.
I covered too early, but I'm happy it worked out.
I shorted a few shares of TLF in the 9.9s. Hopefully it doesn't get too crazy.
re: TATD
i picked up a decent number of shares of tayd. They had to work through some issues with rising steel prices against their fixed price backlog, but that is primarily behind them now. They should be a beneficiary of the infrastructure bill which is beginning to roll out.
I have no clue, but it seems far too simple that a fed funds rate of 2.25% with virtually no reduction of the feds balance sheet will get the job done. The inverted yield curve usually precedes a recession by 12 to 18 month. Thus, maybe there is a window where the excess liquidity can keep pushing the market higher.
re: EPSN I jumped on some shares as well.
AEY CC they don't provide specific guidance, but they seemed positive about demand trends continuing for now.
sd $17.48 reported $1.32/s for the qtr. They now have roughly $5.5/s cash and no long term debts. They continue to be unhedged which makes them an attractive natural gas and LNG play going into the fall.
hweb re: hdsn - I share your opinion on the announcement. The heat wave that started early this summer should have benefited their business. I'm expecting a big quarter.
Tom Lee on CNBC called the end of the bear market. He forecasts the S & P 500 will reach 4800 by year end. He believes the Fed has done enough to bring inflation back down to 2%.
He compared this time frame to 1982 a couple of months before the Volker pivot. In 1981, the fed funds rate was roughly 19%. Today we've reached 2.25 to 2.5%.
In 1982, the rate increases had been going on for years. Powell has been doing so for a few months.
Volker created two recessions to get inflation under control. So far we haven't officially had a recession.
It is a bold call, but the comparison seems a bit premature to me.
littlejohn that's true for the equity markets, but the bond market is curled up in the corner sucking a thumb. The bond market is foreshadowing that the fed will be forced into a crash landing. Who's right?
It is amazing how quickly this market can change gears.
I find it interesting that the markets have concluded that inflation is already in the rearview mirror.
One thing I'm watching is the fed's balance sheet reduction. They announced that they would begin reducing it by roughly $50 billion dollars per month starting June 1st. Through July 20th, the fed has reduced it's balance sheet by $16 billion. That's roughly $70 billion short of the plan through seven weeks.
It appears to me that Powell has already blinked. I don't believe Powell has the conviction to do what is necessary to control inflation, so buckle up.
nelson I agree that the record backlog and bookings was surprising. It will be interesting to see how the stock responds.
The other expense for the qtr was 1.724m. I'm not sure whether it is one time, but including the expense I'm calculating 1.15 in eps before tax. My eps estimate may be off slightly based on the two class structure and the allocation ratios.
Regardless of the exact number it was a blowout qtr for Bel and it cold have been better if not for 1.7m in other expense.
nelson re: BELFB The other item was an expense for the quarter, so the adj eps were a little better then your calculations.
re: artw
They do manufacture manure spreaders which seems to fit the current market environment.
KIK I looked at it. The exceptional qtr was a result of covid testing in the NY area. My issue is how sustainable is that testing revenue? I think covid testing in the US will decline dramatically this spring as the pandemic transitions to an endemic.
re: LIFO reserves. The way I evaluate lifo reserves is that they are primarily informational. They provide a reconciliation of the difference in inventory if it was valued at FIFO v LIFO.
A large reserve equates to unrealized profits from prior periods. I look it as more of an adjustment to the balance sheet of the company. In other words it is an adjustment that should be added back to current inventory to get a more realistic value of the current inventory.
re: DXYN and inventory reserves. I wouldn't ex them out. Under the last in first out method you get a real time representation of margins as long as inventory isn't declining.
re: sbow I've added some shares today.
Thanks to Rosetta Stone. I'm serviceable.
re: BELFB they said 1st q margins will come in above q1 of last year but below the most recent quarter. I think that translates to above 22% but below 26.7%