Equities "Look Cheap" — Time to Buy Those ‘Ridiculously’ Cheap Shares

Buying Opportunities, upgrades to buys, stocks repurchases. All the signs of a panic and capitulation, right?
  • RBS says it's a buying opportunity (no quote yet — from Bloomberg TV)
  • Equities "Look Cheap" Again, BlackRock Says (Bloomberg TV)
  • Huntsman CEO Buys 100,000 ‘Ridiculously’ Cheap Shares (Bloomberg)
Today, on Bloomberg:
(Bloomberg) Some say the market drop presents a buying opportunity and are taking the opportunity to repurchase shares. Fluor Corp, the largest publicly traded U.S. construction company, and Japan’s Softbank Corp told investors they’re buying back stock.

Huntsman Corp. CEO Peter Huntsman said he spent $1.1 million of his own money to buy shares of the Houston-based chemical maker, and consumer products company Jarden Corp. of Rye, New York, said its board approved a $500 million repurchase program.
Yesterday, on Bloomberg:
(Bloomberg) — Billionaire investor Wilbur Ross said he’s buying assets as the losses in global markets are being driven by fear rather than economic reality.
Pfizer Inc. (PFE) advanced 5.6 percent to $17.60. The world’s biggest drugmaker was also added to Bank of America’s “U.S. 1” list. Separately, Goldman Sachs Group Inc. added Pfizer to its “Conviction Buy” list.

Warren Buffett’s Berkshire Hathaway Inc. (BRK/A) was raised to “overweight” from “equal weight,” by Barclays Plc after the company’s stock fell yesterday to its lowest since January 2010. [...]


Tiho said...

Hahaha. I can't believe how perma bearish you are. His a billionaire and you probably haven't even made your first $100,000 in the market. I just don't get it. Where do you get the nerve to pay out guys who have made billions of dollars buying panics?

I mean I don't want to sound rude, but seriously, where do you get the nerve to give shit to guys who have made billions and billions of dollars making right calls?

These guys don't make too many mistakes, otherwise they wouldn't be billionaires. I read your blog archives in late 08 and early 09, just before the bottom - and it sounds just like today. I read your blog archive during flash crash of last year and it sounds just like today.

In my opinion, you are one the biggest contrarian indicator I've ever seen, only second to zero hedge, where you probably hang out every single day!

Once again, I'm sorry if any of that sounds a tad rude, but I just cannot help it. You have given shit to every single successful money manager, millionaire and billionaire over the last few months.

I just don't know who gave you the authority to do this? Don't you have at least a tad of respect for anyone who has ever done anything good? Or do you think you are better than any of see guys?

pej said...



I think you're making personal attacks, and that's not the point of our conversations.

Moreover, I think you fail to realise how wrong investment managers are all the time, and how often they seem to be geniuses when successful, but fail to hold to their gains and get wiped out showing a complete lack of understanding of their own portfolio, and the markets and the economy in general.

David Tepper seem to be prime example: http://realitylenses.blogspot.com/2011/08/david-tepper-closes-position-on-us.html

I'm glad that you read my late 08 and 09 posts and that it sounds like today, because we are exactly at that point were the next leg down will happen.

I also happen to have loaded on commodities and shares in Jan-Feb 2009, so I am quite happy with my returns dude.

I go long from time to time, but lately, it's been for short term trades (I went long IWM for about 24 hours making a 3%, that's a good rate of profit annualized!).

The one who sounds like a emotionally driven rookie is you.

I enjoy our exchanges and glad that we agree or disagree on different topics as long as the exchanges remain constructive. Yet there's a line that shouldn't be crossed and you're not too far from crossing it with your last 4-5 comments...