iBooyah.com Investment Matters

Good Days Ahead (C, AIG, FRE, INTC)

Tue, 14 Apr 2009 20:09:09 -0800

4/14/08: Evidenced by WFC and GS first quarter reports, we truly believed the worse days are behind us. The government has done everything they can possibly do to help these companies. Shoot, the Feds are basically giving these banks money so they can stay a float and thrive. If they can't make money in this environment, these companies deserve to die a long slow death!

Are we there yet?

Sat, 14 Mar 2009 18:37:28 -0800

March 14, 2009: With the recent market activities, folks are no doubt wondering if the sentiments have changed. Is the worse behind us now? Is this where we get in and pick up the cheap stocks? The truth is nobody knows. Anyone's guess is good as another. Let's look at a few fundamentals.

The Bottom is near!

Fri, 21 Nov 2008 12:05:21 -0800

11-21-08: Alright folks! You know how after a certain point, you just can't pass up a good deal anymore? That's when the price gets so cheap that you feel it's almost a crime to pass it up. This is when there is no need to look at P/E ratios, no need evaluate the next 6 month outlook and all the normal analysis before you purchase stocks. Well, we believed that time now.

While nobody can call the bottom, we will say this, it's near. Today, we're pulling the trigger on some. Citigroup (C) at $3.50, good deal! Yahoo! (YHOO) at less than $10, excellent deal! It's a gamble at this point as the market continues to falter, but we like our chances. Good Luck!

The SKY has fallen

Fri, 19 Sep 2008 19:10:59 -0800

What an interesting week this has been. This week will go down in history as either a turning point toward economic recovery or the beginning of depression part II. While it is too early to know, history tells us when the government gets involved, it does not always end up well in the long run. Our take is more large companies will fail and we have not seen the end of this mess just yet. Don't be fool by this sucker's rally. All the government is trying to do is lure investors back in without a real concrete plan. Sure, they can print more money and add it to the national debt..heck what's another few hundred billion tacked on to an already insurmountable deficit. Keep your money in money markets, you'll sleep better at night under this current market condition.

Visa (V) and Mastercard (MA) on a roll!

Fri, 30 May 2008 09:07:50 -0800

5-30-08: In today’s current market condition, there are very few places to hide. It seem no matter where you decide to invest, you will likely be impacted by the high price of oil. As we have mentioned before, oil make this economy run as many aspects of our lives are tied to crude price. It all starts with the price of gasoline which trickles down to things like food. All of the sudden, your dollar doesn’t go very far. In the face of economic uncertainly, there are some companies which remains to benefit. Two companies we like, Visa (V) and Mastercard (MA). In our view, these two companies will continue to grow and benefit despite the dismal macro economic picture.

Microsoft-Yahoo: Not to be, microsoft abandons bid, walks

Sat, 03 May 2008 18:40:25 -0800

5-3-08: After three months of haggling, the Microsoft and Yahoo saga finally came to an end with Microsoft opting to walk. Microsoft was willing to pay $33, but Yahoo wanted $37. You would think they could simply decide to go with $35 and call it a deal, but we’re talking about a lot of big egos here. While we don’t know what actually caused the negotiation to fall through, the biggest concern for most is what will happen to their stock price when the market opens.

Hig Gas Price: Consider Toyota (TM) and Honda (HMC)

Wed, 23 Apr 2008 14:02:06 -0800

4-23-08: As gas price approaches $4 per gallon, everyone is hurting. Some folks have turned to politicians in the hope of some magic solution. To the dismay of some folks, there is little that can be done in terms of legislation. We are at the mercy of the market. It doesn’t matter who is in office, being a Democrat or Republican, they won’t be able to lower our gas price. This is the hard truth, we should just get used to it.

Yahoo! (YHOO) struggle for freedom

Wed, 09 Apr 2008 20:04:08 -0800

04-09-2008: The Microsoft/Yahoo saga continues to get more interesting by the day. One thing is for sure, something is going to happen in the next few weeks. After scouring the net, it appears most analysts believes Yahoo is just employing a delay tactic to get Microsoft to increase its bid by cuddling up with Google (Yahoo to test out Google adsense). While this might be the ultimate goal of Yahoo, we believed there is more to it than meets the eyes. Although there have been no other bidders, we do believe Yahoo does have viable alternatives.

Microsoft and Yahoo: Let's get it on!

Sat, 05 Apr 2008 12:51:48 -0800

04-05-2008: The Microsoft (MSFT) and Yahoo! (YHOO) saga continues to get interesting. This morning, hot headed Steve Ballmer got up on the wrong side of bed and decided to exercise his wide mouth. In today’s letter to Yahoo! Board of Directors, Ballmer’s tone got even more hostile. Microsoft is now officially threatening a proxy battle if Yahoo fails to engage in a formal negotiation in three weeks. For some reason this reminds us of when George Bush gave the ultimatum to Saddam Hussein in 2003 (we all know where that has gotten us). Microsoft is at it again, doing what it does best in these situations, blowing smoke and using scare tactics to gets its way.

Recession: Time to play defense

Fri, 04 Apr 2008 16:10:45 -0800

04-04-08: Everywhere you turn around; it seems everyone is trying to save this economy. Politicians are scrambling to put forth a plan, any plan. The truth of the matter is there is little the government can do. We believed the current environment is just part of the business cycle. We’ve been steadily growing the last 5 years; it’s time things slow down. The latest evidence that recession is upon us; employers fired 80,000 people in March. The real number is probably higher when it is adjusted later this month. The actual number might be over 100,000. This of course leads to a common question everyone is asking these days. In a time where the future looks bleak, where can one find some haven?

South America: The next big growth

Tue, 01 Apr 2008 11:15:09 -0800

4-01-2008: With the U.S economy is in the tank, where can one look to invest? Some would suggest the usual suspects such as China or India, but these two countries appear to be tapped out. Don’t get us wrong, there are still plenty of opportunities, but you won’t find the same level of return. Instead of only looking at the Far East, our research suggests South America could be the next area of growth. We have narrowed it down to Brazil.

Gambling on Yahoo (yhoo) and Microsoft (msft)

Thu, 21 Feb 2008 10:16:54 -0800

2-21-08: For the more risky investors, smart money is betting the Yahoo and Microsoft deal will eventually come to an agreement. For now it’s a game of patience. Due to the lack of concrete development or news, shares of Yahoo have slowly been slipping as investors are beginning to question if the deal will consummate. We believed the current stale mate is an excellent opportunity for those that missed the boat.

Hewlett-Packard (HPQ): Another great quarter

Tue, 19 Feb 2008 13:35:57 -0800

2-19-08: Hewlett Packard (HPQ) is on a roll. Despite the recent gloom and doom attitude towards the tech sector, HP reported another great quarter driven by strong PC sales. According to the company’s earning report, revenue is up 13% and net profit is up a whopping 38%. For a company this size to report these numbers is nothing short of impressive. It appears management is executing well on their strategies. Currently trading in the mid $40 per share, we believed HPQ is still a good value.

Yahoo! ..Thanks for the memories

Fri, 08 Feb 2008 23:01:28 -0800

2-8-08: As a Yahoo! user ourselves, the thought of Microsoft buying the company is unsettling. If the deal goes through, shareholders will make a little money, but the Internet as we know it will forever change. The fat cats will walk away with a huge pay day. Wall St. analysts will get their bonuses and capitalism will reign. The executives, the bankers and lawyers will be smiling all the way to the bank. Unfortunately, there is always a loser in situations like this; the biggest loser will be the employees. Nobody seems to care about the thousands of employees that will be fire. In fact, when the layoff happens, Wall Street will probably bid up the stock. Capitalism is sometime harsh and unfair. Best of luck to those Yahoos that will walk into the office one day and be told that’s their last day.

Microsoft hostile bid for Yahoo!

Mon, 04 Feb 2008 16:14:50 -0800

2-4-08: The Microsoft (MSFT) and Yahoo (YHOO) potential merger is intriguing. The hostile bid by MSFT for $31 per share of YHOO represents 62% premium over last Thursday’s closing price. The deal is valued near $45 Billion. This move by MSFT is hardly a surprise given there have been rumors of such a deal for over two years. After YHOO reported its disappointing 4^th quarter results last Tuesday, Wall St. punished the stock, driving it below $20 per share (its lowest point in 4 years). All the while, MSFT was contemplating its next move.