Cramer says sell HB's 1 week before fed cut
- Thread starter silk
- Start date
While we getting on Cramer's case, here is one last one. He poo pooed subprime as being trivial all spring and summer and then it turned out to be the biggest story in the markets of the last 5 years.
Actually i think Cramer is good. But when you make 1000's of calls you are going to wind up looking like an idiot hundreds of times.
Actually i think Cramer is good. But when you make 1000's of calls you are going to wind up looking like an idiot hundreds of times.
But BZH short interest is only 91.90%. 
Yeah, I think you're on the right track here.
EDIT: Not trying to spoil the party, but Silk; Have you seen the news that came out on BZH after the close? Kinda ugly.
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Beazer receives notice of default from bond trustee
NEW YORK (Reuters) - Beazer Homes USA Inc (BZH.N: Quote, Profile, Research),said on Monday it has received a notice of default from the trustee of one of its convertible notes and that it has filed for a relief from a federal court that would stop trustee's action.
Beazer, whose mortgage unit is the subject of a federal investigation, said that on Friday, its received a purported default notice from U.S. Bank National Association, the trustee governing Beazer's outstanding 4 5/8 percent Convertible Senior Notes due 2024.
http://www.reuters.com/article/marketsNews/idUKWNAS377320070910?rpc=44
Yeah, I think you're on the right track here.
EDIT: Not trying to spoil the party, but Silk; Have you seen the news that came out on BZH after the close? Kinda ugly.
___________________________
Beazer receives notice of default from bond trustee
NEW YORK (Reuters) - Beazer Homes USA Inc (BZH.N: Quote, Profile, Research),said on Monday it has received a notice of default from the trustee of one of its convertible notes and that it has filed for a relief from a federal court that would stop trustee's action.
Beazer, whose mortgage unit is the subject of a federal investigation, said that on Friday, its received a purported default notice from U.S. Bank National Association, the trustee governing Beazer's outstanding 4 5/8 percent Convertible Senior Notes due 2024.
http://www.reuters.com/article/marketsNews/idUKWNAS377320070910?rpc=44
That is same news as friday when default notices were given related to a their other bonds on friday. Same thing. My understanding is its a shake down to get money out of BZH. Same thing happened to KBH last year and KBH finally paid $16 million to bondholders to get a waiver. In BZH case sounds like they have grounds to block the default notice and have sued accordingly. They also have 60 days to get the 10Q out in any event. I've been told that what is going on is hedge funds that own the bonds trying to ciruclate the bad press so they can buy more bonds and shares on the cheap. Then they create a takeover rumor or refinancing or something and they make out like bandits. BZH is not going under anytime soon.
BOOK VALUE is deceptive, they own land and real estate and god knows what thats worth and how much it will lose next quarter. You cannot value a company, based on book value alone.
Do you know what the discounted cash flow stream is worth for these turkeys?
Crammer lost his shirt on GS. He owned GS and SHLD, both cost him a ton of money
actually, he purchased SHLD for his charitable trust long ago, at like 40? GS, he's had forever too.
so those are bad examples to use. there's plenty of terrible calls...
and don't forget, his action alerts portfolio has basically had the same results as the s&p for the 6 years which he's run it.
THAT'S the key takeaway.
Well Silk, since I happen to know that you're one of the most successful traders on ET, plus your reasoning makes sense;
I bought 11,000 shares of Beavis Homes today in my long term/investment account. Good luck to us...
I bought 11,000 shares of Beavis Homes today in my long term/investment account. Good luck to us...