January 30, 2012

Steve Jobs’ Ex-Lieutenant Adds $1.5 Billion To JCP In Two Days

J.C. Penney (JCP), the fourth largest US department store chain, is undergoing a transformation and brought in Ron Johnson, the ex-chief of stores at Apple (AAPL), to revive its business.

J.C. Penney scheduled an analysts’ day on Jan. 26, 2012. The stock had been levitating for a couple of months in anticipation of Johnson making a great presentation. By almost any measure at $33, J.C. Penney was one of the most expensive major retail stocks.

On Jan. 25, Johnson made the rounds and leaked his plan ahead of the big event on Jan. 26. J.C. Penney will in the future be known as jcpenney.… Please click here or the title below to read more.

January 30, 2012

Back Up The Truck And Buy Facebook

In response to my recent article, ‘œFacebook IPO Is Nigh, Should You Buy,’ I have received a large number of emails asking about supply and demand in.

We will not know the numbers until the filing is made public, but here are my qualitative estimates. Facebook may sell 250 million shares at $35-40 apiece.

It is too early to know the demand for the shares precisely, but it’s not too difficult to make a reasonable estimate.

At The Arora Report, our estimate is that 3-6 million individuals will be clamoring to buy these shares. If 5 million individual investors want only 100 shares each, this amounts to a demand of 500 million shares.… Please click here or the title below to read more.

January 30, 2012