Boiler Room: The Official Stock Market Discussion

[Ohene]

I urge everybody to get into Whole Foods Market right now

I will make yall a research report if necessary. It is extremely undervalued considering it hasnt been this low since 2005...well before the financial crisis.

In terms of Enterprise Value and Equity it is way too undervalued right now. If only I had a Bloomberg terminal to access reports from 2005 so I could see what the growth projections were and do a tiny backtest. That'd be the only thing I need to solidify my thesis

am i crazy for thinking Barnes and Noble is a good buy? I havent looked into their strategy but from a financial statement perspective this company is mad cheap. The facts Sears and JCP contine rebounding and BKS takes a shytting is indicative of the irrationality

And might I add that BKS is STILL undervalued I called this when it was at 16. I might stack in time for its September releaseget some January 2016 $25 strike calls for this shyt. If it can bounce of $21 a share I'm in pronto

 

[Hiphoplives4eva]

I urge everybody to get into Whole Foods Market right now

I will make yall a research report if necessary. It is extremely undervalued considering it hasnt been this low since 2005...well before the financial crisis.

In terms of Enterprise Value and Equity it is way too undervalued right now. If only I had a Bloomberg terminal to access reports from 2005 so I could see what the growth projections were and do a tiny backtest. That'd be the only thing I need to solidify my thesis




And might I add that BKS is STILL undervalued I called this when it was at 16. I might stack in time for its September releaseget some January 2016 $25 strike calls for this shyt. If it can bounce of $21 a share I'm in pronto

you do realize WFM is trading at 25 times earnings. Why do you think it's under valued?

 

[Ohene]

you do realize WFM is trading at 25 times earnings. Why do you think it's under valued?

Its best to buy when there is fear. It hasnt been this low since 2005. The pessimistic guidance from last earnings release leaves a lot of upside and for a company that managed to increase its earnings by 18% last year (even though revenue only increased by 10%; the reason being trimmed SG&A) - 25 is too low.

I expect about $3.42B in revenue this quarter compared to a $3.39B average estimate but net income of $0.42 a share or $155M compared to the market estimate of $0.39 (which is only 2% growth compared to this quarter last year. Too bearish in my opinion.)

Last quarter was alarming primarily because SG&A dwindled its EPS but I think growth will reignite by the end of this year. There's no way WFM is going from 18% earnings growth to basically flat . Even if Net income growth went down to 10% (from $551M to $605M) in this fiscal year and then another 7% to $650M a PE of 20 would yield a market cap close to where it is right now in two years. It's in the exact same position as Costco for the most part (sales up by <10%, last Qtr earnings flat compared to last year due mainly to SG&A, and a PE of ~25). I personally think thats bearish regardless of how their competitors have caused issue for them recently though. Costco itself has reported good sales results in May, June and July with the share price going up after each subsequent release. Results were 7% 8% 10% where as the last quarter reported saw a sales increase of 7% only compared to last year in total..

I think the winter likely caused a lot of overhead issues for retailers and they werent bullshytting. I think the summer will benefit them a lot; especially some of the more luxury/hip ones like Whole Foods . If my prediction is correct and SG&A decreases net income will increase with sales accordingly

 

[Ohene]

go back into the 50s

 

[Big Jo]

Its best to buy when there is fear. It hasnt been this low since 2005.

are we looking at the same 5 year chart? these are 2-3 year lows at best.

 

[Big Jo]

NQ

 

[GoPro]

it wasn't me but you got to expect some volatility with those small caps

I know. Hoping for that upswing.

I said hold long CERE. They have $0.63 in cash per share and just got 4 million in non-repayable grants from the Brazlian government and over 30 million in low interest loans over the next few years.

It traded $0.80 premarket yesterday on the terms of that news and then closed in the low $0.70s and today closed at $0.67. Probably being heavily manipulated. The market can give indicators, but you can't time the market and technical indicators are not always right. That's why this is a long investment for me.

The market cap is silly right now and if the price didn't move on the above news, it probably won't move until CERE can prove they can commercialize and generate sustainable revenues, versus grants. Investors are probably skeptical from the IPO slide and secondary offering.

If you think it will keep going down, why don't you short it?

I'll be honest and say I can't see it going much lower. Seems to be fluctuating between the .60s and .70s the past couple months. So it can't go that much further down.

Get financial advice by watching CNBC brehs.

fukking fukk faces. Looking at twtr now. Coulda made a G today alone.

 

[Big Jo]

Coulda made a G today

but ya made it in a sleazy way

 

[Ohene]

are we looking at the same 5 year chart? these are 2-3 year lows at best.

my bad breh. Forgot to add if you remove the financial crisis years. I try not to factor those in because everything was for the low.

Thats not to say that it is the lowest it has been since 2005....but that $38 was the previous apex back in 2005. After that it went down....continued down through the crisis...and has been nothing but up from 2008-2013. Until the last 6 or so months of course.I think this level marks the end of the trough


Had to sell my options when it hit $47 and got a longer expiry. *Does the sign of the cross*

Shame you cant sell options in after hours trading

 

[Domingo Halliburton]

WASHINGTON—The U.S. economy rebounded strongly this spring after a first-quarter contraction, eking out positive growth over the past six months and raising hopes for sustained growth in the second half of 2014.

Gross domestic product, the broadest measure of goods and services produced across the economy, advanced at a seasonally adjusted annual rate of 4.0% in the second quarter, the Commerce Department said Wednesday. Economists surveyed by The Wall Street Journal had forecast growth at a 3.0% pace for the quarter.

 

[无名的]

NQ

Got a buyout offer today for $9.80

 

[Ohene]

2 WFM Calls (copped when the underlying was $38.01 and I expect it to close around 38.8 for the conference call)
$40 Strike
Expires in November so i got one more earnings release after today
$2.03 a pop

Tryna see if It can touch $45 by then (I think it can )

 

[Ohene]

Why's the market down now though? I recall that the fed had a meeting today what time was it?

 

[Ohene]

@GoogleMe whereve you been at? what you think?

For Guess Inc. I'm not liking their trendline. Think the slop should be higher which would turn it into a falling wedge that broke through resistance and is now testing that resistance point. The volume hike in june confirms too. I might have to get in here too

 

[Domingo Halliburton]

Why's the market down now though? I recall that the fed had a meeting today what time was it?

I don't know the time but the two day meeting is supposed to end today and QE is supposed to drop to $25 billion.

we may get some interest rate guidance as well.