Drug companies and healthcare are great investments
Ligand Pharmaceuticals Incorporated (LGND) I like this company alot. It is in a real sweet spot right in the middle of big Pharma
At first glance it looks much like a recession. Consumer spending declines, job creation stalls and the unemployment rate remains high. With prices dropping, the consumer’s incentive to buy today yields to an incentive to wait for cheaper prices tomorrow. That lack of demand further depresses prices, creating a deflationary spiral. And banks make it even harder for people and businesses to obtain loans given that the value of assets would follow the spiral downward.
One key difference between a standard recession and a deflationary cycle is that a recession, on average, lasts less than a year, but deflation can plague an economy over many years. Japan famously suffered nearly ten years of economic stagnation (the so-called “lost decade”) because of a long period of deflation that followed the bursting of an asset bubble in 1991.
This kind of environment would almost certainly put pressure on the price of hard assets, such as real estate and metals (although not necessarily gold, which moves in its own orbit). Deflation would also hurt corporate profits, which would be negative for most kinds of stocks.
So how do you prepare for the possibility of deflation without going overboard? If you don’t already have healthy cash reserves, now wouldn’t be a bad time to beef them up
Funds holding high-quality bonds pay regular income and should also rise in price if deflation takes hold.
Some stock-market sectors would perform poorly in a deflationary scenario. Among them are industries, such as lodging, airlines and autos, oil and refineries that have high overhead costs and experience big drops in revenue as prices drop.
Consumer staples, the stuff people buy regardless of the health of the economy -- food, soap, toiletries -- should also fare well in a time of deflation. Stuart Freeman, chief stock strategist for Wells Fargo Advisors Advisory Services, recommends PepsiCo (PEP, $66), which owns, among other things, its namesake beverage, Lay’s potato chips
This stock performed exactly the way I said it would perform. When the stock was at $59 the board actually believed it was going to $64. If you did your homework, you would of been way ahead of the game.
The problem with the markets is we keep raising target prices.
There was no need to try to push this company to $64 on $ 4 of earnings. I persoanlly dont care about VLO, but I do care about clean fuels. If every company meets this standard I thing VLO can do the same thing. Cost to come on board with the rest of the refinery industry is $3 billion to start. I do not like companies that book $250 million in good will as profit. This company sold everything they could sell. You made your money and you were a bit to greedy. Do not blame me...blame you. That is the real problem with america, no one accepts the consequences for thie actions.
You think you got it right, but when you are wrong it is always someone leses fault. Start getting it right...own it
They will not meet EPA standards for 4th quarter heating oil or desiel
Cost is 3 billion
WTI is falling to fast because OPEC wants to break $70 a barreel and drive out US competition and Canadaian sands competition
No way to hedge this one
therefore sell short
enjoy the trade I have been shorting hard since yesterday this one
TSO booked their profit differently but they still have to spend 3 to 4 billion to meet epa standards.
They could have a $10 loss this quarter
You have been lied to
Cost of QE $56 k for every american household..............and your healthcare doubled..............thank the Democrats when you vote them out
They kept no retained earnings and they pumped the day lights out of this stock. 3 billion in upgrades to meet EPA standards and booking 250 million in goodwill as profit 2nd quarter killed them and killed those that bought it
And they are going to lose 7 this quarter
Because of the cost to meet EPA standards
They will never complete by the time winter heating oil is needed
Price target $10
BP has been directly involved in several major environmental and safety incidents. Among them were the 2005 Texas City Refinery explosion, which caused the death of 15 workers and resulted in a record-setting OSHA fine;
total cost was 2 billion.
BP unjustifiably failed to comply with well-established industry standards for safe operations in process safety management in order to save money, and at some point management itself should be forced to answer for it," #$%$ said in a prepared statement.
someone said $38 is a good point of entry..............not even closes...............$18 billion is 6 to 8 bucks a share
Final settlement in the damage phase will be close to 30 to 40 billion..just ask Obama