Category: InvestorGeeks

Why I’m a Buyer of Netflix Stock

Sometimes you look at a stock like Netflix when it was trading at $300+ and think “Here is a great company in a market with super growth, but how can I justify the price?”
Well, it turns out you don’t have to justify the price because the market is beating the shit out of the stock. It’s trading after hours right now at around $86, and who knows where the market will take it.
Hip Egg had the next level of support at around $60, so I would look for the price …

Yes You Should Refinance. But How?

With mortgage rates dropping like a brick, it’s becoming a no-brainer for us to refinance our home loan. Even though we just got a 30-year loan 2 years ago at 5.875%, we can get 30-year loans now for around 4.5% or lower. You might be in a similar situation.

Rule of Thumb
The rule of thumb I hear thrown around a lot is that if you can drop 1% off your mortgage rate, you should refinance. To get a more precise idea …

What to do when a stock you own is bought out in cash by another company?

This is happening to me, with one of my stocks right now: RCRC.
A few months ago, I bought about 50 shares of RC2 Corporation (RCRC), a maker of die-cast  and wooden toys, at $20. My wife and I were looking for an investment idea based on the toys and media we’re buying for our 2-year-old son. What I’d really like to do is own Thomas the Tank Engine, but the company owning the license (HIT Entertainment) is privately owned. The best we can do is to buy the companies with contracts on …

Activision Blizzard (ATVI)

A couple months ago I opened a position in Activision Blizzard (ATVI). Blizzard is the Pixar of the gaming industry. All of their games are blockbusters. The most notable title World of Warcraft collects $15/month from their millions and millions of players.
I got interested in the stock after picking up Star Craft 2, another blockbuster game from them. I knew that game was going to sell better than expected. I had been watching pro Star Craft 2 tournaments that were run off the game’s beta for a few months. At …

More Finance Calculators

These folks emailed us and they have some decent finance calculators on their site: Ultimate Calculators
I found the loan application one particularly interesting… haven’t seen that one before.
Cheers!

Digital Textbooks Sales Projection

Via blog.xplana.com:

Personally, I think this is a little conservative… though kids and professors on campuses would probably know more about how motivated professors are to switch to digital textbooks. What I do know is that no one likes spending $100 for a textbook and my professors were always empathetic to this.
Obvious investment plays are Apple and Google stock. Both are probably fairly priced now. None of these companies mentioned in the article are public, but there may be more like them. Another plan would be to find a publisher who …

Paul Krugman

Image by Getty Images via Daylife

I’ve been reading Paul Krugman’s blog at NYTimes.com daily. Paul won a Nobel Prize for economics, so obviously a smart guy. He’s very thoughtful and always bases his opinions on research and current economic thought.
I basically defer to this guy on all economic issues like finance reform, the Greek Economy, the Euro, and the economics of Health Care Reform.
Make sure you also check out his larger “columns” which are featured elsewhere on the site. There is usually a list of current/popular ones in …

NASDAQ Cancelling Trades After Crazy Day in The Market

Trying to figure out what to think about this: (from BusinessWeek)
The Nasdaq said after markets closed that it will cancel all trades of stocks that moved more than 60 percent from their price at, or immediately prior to, 2:40 p.m., when the slide started. The cancellation applies to trades executed between 2:40 p.m. and 3 p.m.
Were there true “errors” leading to these trades (e.g. running trades that weren’t placed, or trades triggered because a stocks price was listed incorrectly)? Or were there just a bunch of people with stop losses …

Goldman Sachs Traded Profitably EVERY DAY Last Quarter

From DealBreaker.com (via CrossingWallStreet):
Goldman Sachs just revealed in an SEC filing that its traders made money on every single trading day last quarter, a record for the firm. Net revenue for trading was $25 million or higher in all of the first quarter’s 63 trading days with 35 of those days bringing in more $100 million, according to the filing.
That’s pretty amazing. They didn’t have ANY down days? How is this possible? Is the new Goldman Sachs playing it safe? I thought they were doing high risk trades? Were they …