Tag Archives: stocks

Buffett on banks, Europe, Google and more

Warren Buffett, chairman of Berkshire Hathaway, covered a lot of topics this morning in an interview with CNBC.1e5ec597e241f20c0e0f6a7067003053.jpg

He’s not worried about the global sell-off or Europe’s long-term prospects — it’s a big market and it’s not going away. Apple and Google are too risky for him.

America’s banks are in good shape and the United States did a good job of dealing with the financial crisis in 2008.

Fascinating stuff. Click here for the video.

Photo: In this May 5, 2012, photo, Warren Buffett, chairman and CEO of Berkshire Hathaway smiles on the exhibit floor where Berkshire products aer showcased, prior to the annual shareholders meeting in Omaha, Neb. (AP photo/ Nati Harnik)

Pity the poor financial analysts — the economy is improving

Beating expectations has become the 1Q norm. The consenus among financial analysts was that corporate America had already squeezed as much profit as it could from a weak economy.

The analysts couldn’t have been more wrong. So far most companies have reported better than expected earnings. And by most, I mean about 8 out of 10.

It started with Alcoa, which reported a profit of $94 million, or 9 cents a share. Analysts were expecting a loss of 4 cents per share. On Tuesday, Apple surprised the experts with a profit of $11.6 billion, a whopping $12.30 a share. Analysts predicted $10.06 per share.

In between a slew of other companies have reported positive earnings.

If the experts could be so wrong about 1Q earnings, maybe the economy is doing better than they’re telling us. Or maybe this will be the highwater mark for 2012. I’m thinking the economy is slowly getting better and profits will be the norm this year.

Here’s a different view from Randall W. Forsyth writing for Barrons.com:

This May Be as Good as It Gets for Stocks in 2012

Here’s what the Fed said today:

Fed: Economy growing modertely; no policy changes

Ruby Tuesday: Lost momentum or good investment?

Ruby Tuesday’s steep earnings drop last week has attracted interesting contrasts in online chatter.

Ruby Tuesday

Ruby Tuesday

A report posted today on MSN Money suggests that the Maryville-based restaurant chain has “outgrown its momentum phase” and questions if it will continue to grow.

In contrast, The Street takes a more optimistic view of the company’s financials and has upgraded Ruby Tuesday’s stock from hold to buy.

Who’s right? Here’s more:

 

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Surprise! Positive Web reports on Miller Energy

Miller Energy Resources has received its share of online criticism in recent months – that’s whatMiller_Energy02.jpg happens when you have to refile corrected financial reports and a class-action lawsuit hangs over your head.

But in a somewhat surprising turn, the Knoxville oil company has been the subject of positive online commentary in recent days.

A report posted today on the website Seeking Alpha by an anonymous contributor called Rougemont includes Miller among a group of undervalued oil stocks.

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Alcoa: A dog stock or a top pick?

Sorting through the mountains of free investment advice on the web is enough to drive me crazy. That’s a short drive, but do the so-called experts really know what they’re talking about?

In today’s online check of companies with a local connection, I learned this about aluminum giant Alcoa Inc. – it was one of the dog stocks of 2011 and it’s a top pick for 2012.

Can they both be right? Maybe so, but you know what they say about free advice.

 

What’s up with Green Mountain and Ruby Tuesday?

Today’s market rally is boosting a couple of stocks of local interest that have struggled to hold their value in recent weeks.

Shares of Maryville-based restaurant chain Ruby Tuesday were up about 3.3 percent at midday to $6.92. Shares of Green Mountain Coffee Roasters, which has a major roasting and distribution operation in Knoxville, were up about 3.6 percent to more than $51.

However, RT stock remains close to its 52-week low, and GMCR has seen its share price cut in half in the last two months. Check out these online commentaries about Kevin Clayton’s recent purchase of RT stock; and Green Mountain’s rapid price drop.

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Dow headed to 20,000?

How long will the rally last and how high will the Dow go? Those are questions every investor is trying to figure out.

Financial entrepreneur, blogger, writer and general contrarian James Altucher predicts the Dow will hit 20,000 and S&P will top 2,000 before the stock market turns bearish.

But as he usually does, Altucher’s advice takes a strange turn.

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Steelers win good for stocks — guaranteed

NFL+Super+Bowl+Football.jpgAs you’ve probably heard by now, 2011 will be a banner year for investors. It’s an absolute lock, according to the venerable Super Bowl Indicator.

According to this theory, when the winner of the Super Bowl is a team from the old NFL the stock market soars. When the winner is from the old AFL, the market drops. Over the years, the SBI has been right about 80 percent of the time.

Fortunately for investors, this year’s game features two old school NFL teams — the Pittsburgh Steelers and Green Bay Packers.

But if you’re looking for a maximum market bounce, cheer for the Steelers.

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Greenspan spars with Congressional panel

Alan Greenspan is going head-to-head this morning with the Financial Crisis Inquiry Commission. The former head fo the Federal Reserve Board has already produced sparks.

Greenspan defends his record in this story.

And there’s this headline on the Barron’s Stocks to Watch blog: Greenspan: Blame it on the Berlin Wall

And this from the Wall Street Journal: Greenspan Warns of Future Crisis