Short Opportunity of A Lifetime AZO Auto Zone

thanks for the honest response. This stock reminds me of Leap Wireless (leap). I shorted it in early 2008 when it was $52 because I was so pissed off that a company with a negative eps, who consistently lose money every quarter is worth 52. However, after reporting a 27% drop in revenues the next day, the stock rallied $4. Since then, the stock dropped to the teens. However, the one thing that azo and leap have in common is over 90% ownership by institutions and their manipulation tactics sickens me.
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Remember IPIX ?
I Do.
Twas rocking...and the "tell" was...every rally was sold.....day after day.
It's now zero.
AZO won't go there...but it certainly has a long way to go ...south.
 
brandon.

that is a good play.

i guess....

i mean your killing it, but why would u be long AZO from 133??? what was your reasoning?

u bought it before earnings? i would guess. there was a thread about AZO earnings, a while back.

this is a strong stock, in hindsight. i mean it is one of the strongest stocks in teh market. how about BWLD??? when the market was heading toward 600 BWLD was killing it. but, that is a company that is killing it.

AZO??? i dont think so. it will come tumbling down eventually. right now its hot. from a trading perspective, ride the wave, which u are doing, but it will be back at 133 before 233. lets see??
 
Like so many others are saying, this will be a great short - but you've got to wait until it's turning negative, both with newsflow and shareprice. The peak can easily be parabolic - it's like Google, you cannot just short it because the price is ridiculous now as it may become much more ridiculous than you are solvent.

When it peaks out, God knows - could be now or next spring.
 
You idiots are giving too much credit to people, most schmucks in this country don't even know how to change their oil much less make more advanced repairs.

This stock is likely in its parabolic stage and will soon go into a large distribution stage. It reminds me of US Steel more than any other stock. Scaling into intermediate/long dated puts will pay handsomely in the coming months. According to yahoo finance, this company has a book value of minus(-)$3.425
 
Quote from piezoe:

And all the news is happy happy right now! In fact it's too happy. Tells me this is a great one to watch for later shorting opportunity.
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Watch it by all means. Just bear in mind that right now the news for these companies is good. There is a fundamental economic trend in their favour. Generally with shorts you want something where the fundamentals are negative and getting worse, not positive and possibly getting even better.

If you remember homebuilder stocks, they kept going higher for many years because they flow of news was positive. Even though they were eventually an amazing short sale, it was only once bad news started to flow through that their uptrends were halted and the stocks started to move lower in a sustained fashion.
 
Quote from fencerd4:

thanks for the honest response. This stock reminds me of Leap Wireless (leap). I shorted it in early 2008 when it was $52 because I was so pissed off that a company with a negative eps, who consistently lose money every quarter is worth 52. However, after reporting a 27% drop in revenues the next day, the stock rallied $4. Since then, the stock dropped to the teens. However, the one thing that azo and leap have in common is over 90% ownership by institutions and their manipulation tactics sickens me.
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What's your proof of manipulation? The stock has an acceptable P/E, a large market cap, a reasonable float, and good fundamentals. There are plenty of legitimate reasons to be long the stock.
 
You can't reply on P/E too much.
Good fundamentals? LOL! Assets can't cover liability in Q1 09. Total Equity= (187,302)
http://finance.yahoo.com/q/bs?s=AZO

Institutions hold 109% of float shares.

* Hedge fund RBS PARTNERS, L.P. hold 40.67%, 23,370,297 shares.
* Institutions did a good job in short squeezing

http://tradealarm.blogspot.com

Quote from Cutten:

What's your proof of manipulation? The stock has an acceptable P/E, a large market cap, a reasonable float, and good fundamentals. There are plenty of legitimate reasons to be long the stock.
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What goes up falls down twice as fast. No stock goes up forever and this one is a stock that might be $165 today and $50 bucks 3 years from now. Every stock has its moments and this one is shining brightly right now, if you can short and continue to add short positions as it goes higher, short away.

Reminds me of the AG stocks like Mosiac and Potash when analyts came out and put $300+ price targets on them, months later bother were trading in the double digits and just like the famous $1000+ price target on QCOM and GOOG.
 
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