Proven Track Record of Most Accurate Analysis
Proven Track Record
of Most Accurate Analysis
Our position Penson (PNSN) is rocketing this afternoon. Penson presented at Global Exchange Conference yesterday. There appears to be take over chatter. We are taking partial profits at $4.44.
Yesterday, we wrote that a number of education stocks are likely to see their multiples expand. Further analysis of the impact of new regulations show that Apollo (APOL) is the best positioned company to benefit from the new regulations. Apollo may run to mid $50’s. However, we are not issuing a buy signal at this point and will wait for a pull back. When all six screens of the ZYX Change Method are satisfied, we will issue a buy signal on the Real Time Feed on the ZYX Buy Change Alert.
Apollo Group (APOL), Corinthian Colleges (COCO), Career Education (CECO,) DeVry (DV), and ITT Educational Services (ESI) are higher today on the Department of Education rules being less onerous than expected. The companies also get more time to comply with the rules. In the near term, PE multiples are likely to expand. Further in several of these stocks, there is very high short interest that may lead to short squeezes. When all six screens of the ZYX Change Method are met, actionable signals will be provided on the Real Time Feed of the ZYX Buy Change Alert.
Limited (LTD) hot streak cools as it reports much lower than expected same store sales growth. Once again we were ahead of the curve. We saw this coming when Wall Street was pounding the table to buy this stock. We sold short at the recent top on May 18th at $42, $42.54, and $43.50. In the pre market this stock is down $2.21 at $36.50. We wrote:  target zone is $35. to $37. The trade has worked out perfectly. We will look the gift horse in the mouth and take profits on most of our
We have previously taken profits on ZAGG (ZAGG) but are still holding a small position. We are adding a 15% tranche right here at $11.33. ZAGG is experiencing a massive short squeeze today. The short squeeze is triggered by an excellent presentation ZAGG made at a conference yesterday. ZAGG has now become highly promotional to investors. Typically companies become highly promotional when the managements feel that fundamentals alone are insufficient to hold up the stock price. Caution: those who can not handle a short squeeze should not enter this position. There are no
Nokia (NOK) is lifting on buy out rumors by Microsoft (MSFT). A buy out of Nokia by Microsoft is an old rumor that is being regurgitated. Nokia received six downgrades this morning. Nokia’s debt rating is being placed on review for a downgrade by Moddy’s (MCO). It appears that those caught long in Nokia simply floated this rumor to run up Nokia. Short-term traders appear to be selling into strength. If there is an actionable signal on Nokia or Microsoft, we will update the Real Time Feed of ZYX Buy Change Alert.
Nvidia (NVDA) today won the Computex Best Choice award for smart hand held devices from the Taipei Computer Association. Nvidia won this award for its Tegra 2 chip. For actionable signals on Nvidia, please see ZYX Buy Change Alert and the ZYX Short Sell Change Alert.
Exited Occidental Petroleum (OXY) with profit at $98.95. This position is now closed.