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What are you buying on the dip?

By Nick on Thu, 2007-07-26 12:57

Where do you see an overreaction that we can exploit? Post here!

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Nick on Thu, 2007-07-26 13:04
Title: What are your current ideas?

I've picked up DFC as I like Pabrai's thesis on it and it is finally trading at his average price (roughly). There has been alot of online talk about JNJ, perhaps 2009 or 2010 LEAPs are in order.

Anyway, I just wanted to post a positive note as it is never fun to watch your balances shrink even though we all know it means more value opportunities.

Mark Perkins on Thu, 2007-07-26 23:39
Title: Chinese (JADE) LJ

Chinese (JADE) LJ International is interesting. lost half of its market cap in past 10 days. grows eps 20% + a year. forward pe 8. a lot of fear here. they are late with an annual report and are facing delisting but are fighting it. no signs of accounting scandal that i know of. my only concern is if they do get delisted are the shares on the NASDAQ still good? get transfered to OTC or pinksheet fine?

kenkid (not verified) on Sat, 2007-08-11 00:31
Title: Have you picked up more

Have you picked up more shares of DFC since it has dropped to around $4?

kenkid (not verified) on Thu, 2007-07-26 13:30
Title: I'm gonna take a look at HDL

I'm gonna take a look at HDL

Nick on Thu, 2007-07-26 15:55
Title: With Whitman accumulating

With Whitman accumulating such a large position I can see why you're attracted to handleman.

George on Thu, 2007-07-26 14:44
Title: Stock shopping

I just love summer markdowns!

I just added MWRK to the FPF Portfolio and I added a new odd lot tender offer to the Special Situations Real Money Port that was just discussed on VIN. I'm also building up a NCAV position.

Nick on Thu, 2007-07-26 15:47
Title: I've never explored MWRK but

I've never explored MWRK but the price to cash flow looks attractive.

kenkid (not verified) on Fri, 2007-07-27 00:27
Title: what do you think about

what do you think about their debt?

George on Fri, 2007-08-10 19:49
Title: MWRK debt

Mothers Work has a good amount of debt, but I believe that it is managable. The market sure doesn't seem to like it though.

kenkid (not verified) on Thu, 2007-07-26 18:51
Title: Any ideas for a cheap

Any ideas for a cheap homebuilding stock?

nosajallen (not verified) on Thu, 2007-07-26 20:26
Title: bbw

Nosajallen
how about build a bear workshop. this company is poised for a buy out offer.BBW

George on Thu, 2007-07-26 23:11
Title: Top Percent Declines

If you are looking for ideas still, you might be interested in my article about today's greatest percent declining stocks.

kenkid (not verified) on Thu, 2007-07-26 23:54
Title: i like that big list. ill

i like that big list. ill make sure to take a look at it

sdesai (not verified) on Fri, 2007-07-27 00:39
Title: I added vimc,mwa-b,aifly

Now homebuilding,banks looks good, but don't know how long the bottom will last, checking the history- it takes on an average 3-5 years for homebuiding activity to come back alive.
Anybody has idea about NLS?

Mark Perkins on Fri, 2007-07-27 04:28
Title: read an argument for Primus

read an argument for Primus Guaranty, Ltd. (PRS) less than tangible book, .33 peg real profitable. i don't understand the business very well though.

George on Fri, 2007-08-10 19:48
Title: Did anyone pick up an other

Did anyone pick up an other names this week? Stocks are getting cheaper and cheaper.

kenkid (not verified) on Sun, 2007-08-12 22:01
Title: Im going to pick up some DFC

Im going to pick up some DFC tomorrow

sdesai (not verified) on Sun, 2007-08-12 23:08
Title: Kenkid, how would you value dfc now?

I was going thru 10k,q and latest securitizations again. Looks like BBB and below category they are taking lot of hits. What will be the delinq. & bankr. % you would consider now? Plus what about any margin call and weahouse interest rate?Also, comparing last three years of FICO score, lending standard getting lax year by year. As Pabrai said low risk-high uncertainity, but now looks high risk-high uncertainity. (Though I picked up some more too-at 5-still think if they can get 2-3 more securitization, they will be ok and stronger.)

Nick on Mon, 2007-08-13 21:09
Title: Well, I certainly got burned

Well, I certainly got burned on DFC rather quickly; however, I will wait until tomorrow's announcement before I decide to purchase more shares. I don't like it when companies are late in their filing regardless of the reason.

sdesai (not verified) on Mon, 2007-08-13 23:43
Title: I got little bit burned too Nick

But well that is normal, if patience is long then burning will be short. Anyway, How would you value DFC now?(and did you sign up for CFA level 2?-I signed up and got the books too).

Nick on Tue, 2007-08-14 02:52
Title: Yes, I signed up for level 2

Yes, I signed up for level 2 today. How does the material look? I only used Schweser material for level 1. I think I will revisit a valuation of DFC as soon as I know what has changed. So far there really isn't any real new information.

Mark Perkins on Tue, 2007-08-14 10:50
Title: Anyone have an opinion on

Anyone have an opinion on Best Buy BBY here at $43 or lower?

sdesai (not verified) on Tue, 2007-08-14 23:20
Title: haven't started real reading yet

Books looks fancy than 1st level! I am engineering background so many things looks new and in detail then first level.

Nick on Wed, 2007-08-29 23:32
Title: I forgot to update this: I

I forgot to update this: I "doubled down" on DFC at $4.20 on August 17th.

Circle of Compe... on Tue, 2007-09-11 16:30
Title: Pabrai

Can someone lead me to Pabrai's DFC thesis? I am curious what it was. I know he is a large and involved investor there, I'm just curious what his reasons are.

Thanks

George on Tue, 2007-09-11 16:54
Title: Pabrai on DFC

Several of the Delta Financial (DFC) links on VIN point to articles and video interviews that discuss some of Pabrai's DFC thesis. Just follow that link and hopefully your question will be answered.