What am I desperate about? I was right about GRPN and pleading with people to lock in gains above $5 and high $4's but all I got was grief and called names. Thank you you have a nice weekend too but GRPN still needs to cut spending so it drops to the bottom line so longs do not endure an 18% drop in one day (which is probably not done) and wipe out months of gains.
This is my last contact from Joe. Nice post no?
Before the open today he said don't give up on Ford despite knowing of the Merrill downgrade from buy to neutral this morning. The action today in the shares was obviously affected by the call they lacked any conviction even as the market recovered late today and the rehashing of the premise that autos may have topped. I bet Cramer's hedge fund brothers used his early pump to short shares today. It's funny I posted yesterday that I thought the bounce after the numbers was too big based on a pretty big revenue miss and Ford usually tops the revenue easily. Cramer has been pumping stocks like crazy despite the possibility of a market top again. Anybody that buys off his words deserves what they get.
Be patient I think managers with gains will still be selling and we are entering the seasonally weak part of the year for markets. The markets have gone almost straight up despite the lack of quality earnings defying logic mostly on the backs of the Fed, oil and the weak dollar. The oil and dollar trades are now very crowded and may be topping and the Fed may start to play the game of hinting about a June hike to see how markets react. I think you can wait a few days at least to get shares even lower than today's low GRPN disappointed investors today and it has very high P/Es usually these stocks do not bottom in one day. Good Luck!
I doubt that managers who are still up are done selling but at some point here it will bottom and like I said earlier Wall Street (guys that are now down) will start the rumors again. I got hammered here a month or two ago when I was looking for near $3 to get back in it just may get there. Remember the events: GRPN posted a good last quarter the stock rose from about the $2.15 area to the $2.80's then the BABA news and rumors took over above $4 and then above $5 soon after. If we see a sell in May and I truly believe it's coming and also oil may be topping soon we will see a decent market correction and who knows possibly a round trip to $3 or under again. I'm watching.
The oils have not rolled over on these down days recently including the bad market day yesterday but it did today. We had a 2 million build on Wednesday along with builds in gas and at Cushing I believe. On Wednesday oil initially dipped and then rallied and continues each day solely because of the dollar weakness. The dollar has cratered at some point that crowded trade has to reverse I think these stocks can start to be shorted when they bounce after the open. I also think that you build a short position on theses daily bounces and in a few weeks ( May is here) many of these energy plays that have more than doubles like CLR will be a nice amount lower.
P/Es matter.......when you disappoint investors high P/E stocks get killed. So many here just ignored that premise and I was pleading with longs to sell over $5 but poster gave me different excuses or reasons to hold. I posted the saying...bulls make money bears make money but pigs get slaughtered. Trapped longs be patient and average down but wait a few days maybe BABA's radar went on after today.
Wait until the dust settles usually about 3 days possible average down with small buys at different levels. Be patient we may be beginning the Sell in May but you never know if a buyout comes in time since the stock is cheaper now. If Alibaba had any intentions of buying GRPN you can bet they are paying attention now.
Gave the CEO a Bronx Cheer after his TV appearance before. He said their plan is working I would bet Comcast, BABA and other recent buyers are wondering what this guy is smoking.
What are all of you talking about? The expenses were too high creating higher loses. The CEO should have went on TV and said we will start cutting back on spending instead of saying our plan is working. New lows right now I guess investors do not believe him.
That would explain the weakness still though the market is well off the lows. I still believe that comments like that from him are usually a tip for his hedge fund brothers to do the opposite of what he says on TV.
Because they can be blinded by the momentum in a stock figuring their business is doing well. Leon Cooperman I believe is still in GRPN and he has been singing it's praise for awhile. It's not about corruption it's about whether an investment is truly a good investment. Groupon's business is like a commodity now with competition more abundant and shares are being punished today because this CEO who had seemed to had turned things a bit lost sight of one thing the Street is watching and that is spending. If he spent on the business abroad it did not work because that business did not do well. Have no fear WS will start a buyout rumor again real soon and shares will be back at $4.20+ again
Have no fear within a week or so someone will start a takeout rumor again that's how WS works especially after a lot of big investors are getting hit today. I see about a close in the $3.90's.