I am new to this board
I love the
doughnuts (hot - they suck cold)
I took a look at
their 5 year Balance Sheet.
Even if you throw out
the $9.4 Million in restructuring in 1999, their EPS
growth for the last 5 years is 19% and 2000 was actually
lower than 1999 (again, without the 1 time charge). I
don't know much about fundamental analysis (I do TA
usually), but it sure looks like this price is built on a
I think the price is ripe to
short. But what concerns me is that 75% of the stock is
held by the company folks and I suspect that they will
be less likely to sell, even out this outrageous
multiple. I doubt most fund managers, in contrast, would be
caught dead with a 100 P/E restraurant
Has anyone else out there tried shorting a company
with a major of the shares still held by the
employees? Did it take longer for the price to drop?
Consider valium to go along with your
BTW: This is great time to buy KREM. I suggest you put
in a market order for 1000+ shares. It can't go any
lower, right? Please let this board know when you do so.
I tried to short 200, then 100, then 50 (!)
Everytime it was rejected because
there were no shares available to short
like I am at the station, watching the caboose of the
train quickly disappearing into the sunset (or in this
case, off the cliff).
who sits on his enormous, lard ass licking up
glaze crumbs off the table. By the way, you stink, too.
Shower once in a while, why don't you? sorry, dickhead.
You're a fucking dickhead because you have nothing nice
to say about others who posted on this board. You're
comments have been meaningless and antaganizing. That is
why you are a DICKHEAD.
say little dick, asshole.
I tried shorting
at 5 minutes before closing at work and couldn't
wait for confirmation. So I called back later through
touchtrade to find that it was rejected. By the way, you
must be long. Is taht why you're so pissed off at
short's posts, dickhead? Don't worry, I'm shorting.
>I think the price is ripe to short. But what
concerns me is that 75% of the stock is held by the
company folks and I suspect that they will be less likely
to sell, even out this outrageous multiple. I doubt
most fund managers, in contrast, would be caught dead
with a 100 P/E restraurant company.
Martha Stewart Living (MSO). It has (had?) something
like 85% insider ownership (and Martha Stewart has a
big chunk). An extremely hyped stock with a huge P/E,
it traded at 47 the first few days after the IPO.
Now (after about 5 months) is getting closer to its
"correct value", right now it is about 16. MSO is
obviously not a restaurant, but it satisfies your criteria.
Nevertheless, it didn't take long for that stock to fall below
half price of its high.
What does the company do?
favorite doughnuts are made by Krispy Kreme Doughnut. The
company makes a variety of doughnuts -- including its
famous Original Glazed -- at its 1950's-styled coffee
shops, which feature direct views of the doughnut-making
process. Krispy Kreme operates about 140 stores in 27
states (about 80 are franchised). In addition to its own
brand of coffee, the company makes honey buns, doughnut
holes, fruit pies, Danish, and dunking sticks. Krispy
Kreme products are also sold wholesale to grocery and
convenience stores. Founded in 1937 and gaining cult status,
the company began expanding nationwide in the 1990s.
The McAleer family owns 25% of Krispy Kreme, which
went public in 2000.
GOTO.com had a similar restricted float and a
similar runup, only to settle 75% lower after the hype
was done. It did take until the lockup expired on
12/15/99 before the stock finished crashing, but a big
part of the fall was in the weeks before the lockup
expired. And just check Yahoo's insider trades for GOTO on
12/15/99. Sell, sell, SELL!!!