Skipping Town

Tomorrow my wife and I are going to the beach for a few days to celebrate our anniversary, so I won’t be around for the market excitement. It’s tough to miss a few days of market news, especially during the middle of earnings season. Staying up-to-date about what’s going on with all of the stocks you hold is extremely important. As I say in my book, “How can you adapt to changing circumstances if you are not aware that the circumstances have changed?” Continue reading

The Best Way to Bet on a Market Pullback

I’m typically an optimist, especially when it comes to the United States economy. But if there is one lesson that history has taught investors, it’s that the market moves in cycles. The market has been hitting a lot of new all-time highs recently, and it has made me start to think about how to best position my money for the inevitable cyclical downturn that is coming at some point. Today I’m going to take a look at three ways to bet on a market decline: short selling or buying put options in individual stocks, such as Charles Schwab Corporation (NYSE: SCHW), investing in precious metals, such as SPDR Gold Trust ETF (NYSEMKT: GLD), and buying inverse ETFs, such as Short S&P 500 ProShares (NYSEMKT: SH). Continue reading

Amazon.com: I’ve Read This Fairy Tale Before

Today I would like to try to illustrate the difference between picking a good company and picking a good stock . I recently wrote about how I have a short position inAmazon.com, (NASDAQ: AMZN) and then went on to express my belief that Amazon has a bright future. No, I’m not off my meds. I just get this recurrent feeling of deja vu when I look at Amazon, and I’ll try to explain the reason for this sensation in the corniest way I can come up with. Continue reading

A $40 Billion Opportunity in Asia for These Gaming Companies

There has been a lot of buzz lately about the legalization of gambling in Japan. If Japanese Prime Minister Shinzo Abe gets his way, a $40 billion annual gaming market could be open for business by the end of 2014. This prospect has gaming companies such as Melco Crown Entertainment (NASDAQ: MPEL) Las Vegas Sands (NYSE: LVS) ,MGM Resorts (NYSE: MGM) Wynn Resorts (NASDAQ: WYNN) , and Caesars Entertainment Group (NASDAQ: CZR) on the edge of their seats. Continue reading

What I’m Selling: Amazon.com

Well, I finally put my money where my mouth is and shorted Amazon this week. I’ve been talking shit about Amazon’s stock for weeks, and I finally pulled the trigger this week. If you don’t know where I stand on Amazon, I discuss Amazon’s historically high multiple here, and Amazon lost my “Battle of the Titans” to Walmart. Yep. The same Walmart that your grandfather shops at because he believes that entering credit card info on Amazon will prompt hackers to steal his retirement money and scramble his television channels. Also, he doesn’t have a credit card because his money is in a box under his bed because no robbers would ever think to look there… Continue reading

These Three Stocks Have Lead the Charge So Far in 2014

Now that we’ve reached the halfway point of the year, I thought it would be a good time to take a look back and see which stocks have shined brightest so far in 2014.

It’s been a good year for the market overall, as the S&P 500 is up 5.7% year to date. The Financial Sector SPDR (NYSEMKT: XLF) is up only 3.4% in the first half of 2014 after rising a whopping 35.5% in 2013. But just because the sector has lagged the overall market this year doesn’t mean there aren’t bright spots. Continue reading

Are Bank Stocks In India Better Buys Than Even Wells Fargo?

With a population of 1.2 billion and a GDP growth rate more than twice the U.S. rate, India presents banking opportunities unlike anything seen in America. Does that mean that Indian banks are a better investment right now than their American counterparts?

Let’s take a look at how Indian banking leaders ICICI Bank (NYSE: IBN  and HDFC Bank Ltd. (NYSE: HDB  stack up against one of the largest U.S. banks, Wells Fargo & Company (NYSE:WFC  . Continue reading