Fly on WallStreet

What's with all of these book reports and misspellings?

If Jeremy is out there thinking "hmm, I wonder why that prick fired me again"?

Two reasons:

1. You misspelled "maybe" in the title of your post.

2. You mentioned some shit about Axis v Allies board game. What the fuck is that corn can shit?

You're better off playing with your Hitler doll, than fucking around on this blog.

Out you go.

Off to eat some yellow tail sushi. It's quite good, actually.

Hi, my name is Jeremy and I can't spell the word mabye.

Fly for President, 2008

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In my determined (but also hopeless and exceedingly pitiful) quest to develop my own "calculator-brain," I've finished another one of "The Fly's" book recommendations. As has become my weekly tradition, I harassed Fly for a recommendation, read it, and finally wrote a dumb article all about it (all in between school and work). The reason: I figure that (with any luck) I'll have eventually read enough Fly Recommendations to advance persuasive and well-reasoned arguments on the Yahoo! message boards-- in turn gaining the respect of Internet titans such as "MadMoneyChick69" and "g0rd3/\/ g3kko".

This week's book was "The Book of Business Wisdom" by Peter Krass. Basically, it's a collection of "classic writings by the legends of commerce and industry." The book has pieces from Carnegie, Edison, Walton, Ford, Rockefeller, Icahn, and probably about thirty other businessmen. Each legend has his or her own short section, composed of a brief, one-page introduction by Krass, followed by a few pages of their own writing.

The selections by Krass were to-the-point, apropos, and engaging. Given that so many different businessmen were covered in short articles, the book does an excellent job of giving you a taste of several different personalities-- which is convenient for quickly identifying names that you would like to research further. The fact that many diverse businesses and businesspeople were represented also plays to this. In fact, I found the few businesswomen that were featured to be among the most interesting.

In short, I really liked this book and I would definitely recommend it to all of you-- particularly if you haven't already had a great deal of exposure to these kinds of collections. And even if you're already well-versed in your Peter Lynch, Benjamin Franklin, and Henry Ford, this book still offers writings from lesser-known names that were also quite interesting. Unfamiliar names such as Marvin Bower and Crawford Greenewalt certainly held their own. Again, it really was a good book.

Later on today, I intend to post several of the quotes that I liked most from the book. But right now I gotta run-- I'm committed to a big Axis and Allies game this afternoon (yeah, I know I'm lame).

I'll have you know, all day, I was busy kicking old men down open manholes, as most of my positions melted up. I love that expression, "melted up." Is that shit even possible? How does something melt up?

Feel free to educate me.

As you know, the shorts got their balls punched around today, specifically in the "subprime" related names, despite that fucking European mortgage player getting forklifted.

The truth is, the bear raid on the homies and brokerage stocks has been postponed, until the next "shoe drops." Currently, there is a major short squeeze taking place in CLMS, GS, CORS, MECA, TARR, HOV, LEV, SPF and a variety of other financial/home related names.

Right now, I'm levered up long, with a few hedges in place, such as LAZ (short), MDC (short) and SRS (long).

I know many of you are waiting for LEH to post bad numbers. As a matter of fact, most of you (63%), according to my "Fly Survey," feel the earnings will be abysmal.

However, knowing how fucking retarded most of you (internet leech) are, I'd be careful shorting LEH into earnings. That fact is, you guys are never right. It's not your fault. It's your low IQ, coupled with your inferior DNA that forces you into fucktarded financial decisions.

Now, you might say "hey fucko, how did your 'calculator brain' come up with these winners-- IIG, MCHX, ARWR, AXR and LAZ"?

My answer to those scurrilous charges is simple. If "The Fly" made a few errors in reading his "calculator brain" or using his "time machine," it's because he did it on purpose, despite past and future bitch like complaints from "Broker A." In other words, his long term goal is to wipe out the internet investor class, while delicately sipping on Monster Energy soda and violently throwing bookends at his trader/servant.

Today was an excellent day for "The Fly." I enjoyed big dicked gains in UNG, GME, FMCN, LZ, CORS, GMXR, ALJ, SNDK and even iiG, while MVIS, AXR, FTK, HANS and VMI "took the day off."

Finally, if a shot gun were put to my head, in order to extract one stock pick, I'd say: "shoot me Sir if you must; but before you do, go short LAZ."

I bought 1,000 EJ @ $19.46.

Disclaimer: If you buy EJ because of this post, you will get kicked down a flight of stairs. And, you may lose money.

Instead of watching MVIS trade, I'd rather hold a large metal antenna to the sky, during the next lightning storm.

In case you are wondering, that is Doug Kass at the beach.

I sold short 1,000 LAZ @ $42.20.

UPDATE: I sold short 1,000 LAZ @ $42.31.

Disclaimer: If you sell short LAZ because of this post, someone will spray paint the word "fucktard" on your new car. And, you may lose money.

I bought 500 SRS @ $99.42

Disclaimer: If you buy SRS because of this post, someone will drop red wine on your white rugs. And, you may lose money.

I sold 3,000 FMCN @ $44.61.

In case you are wondering, I am not selling out my UNG position. I get a sense natty really wants to go up here.

As you can see, the bulls are just obliterating the bears, yet again.

The sector that has been somewhat low key, but powerful, is the internets.

Aside from GOOG, BIDU and AMZN, there have been some incredible winners in the space, such as: PCLN, OSTK, BCSI, SOHU, SINA, EBAY, CTRP, SFLY, FLWS and NILE.

The losers include: NFLX, TZOO, IIG, MCHX, VCLK, YHOO, ALOY, MNST, IACI, KNOT, IGLD, LQDT, WBSN, QPSA, ANSW, SIFY and REDF.

Once again, a "tale of two cities."

As for today's trading:

I'll be shocked if we close up today. Already, there is a sluggish feel to the market, ahead of the Fed meeting next week.

However, I am enjoying nice gains in GME, RIMM, SNDK, ALJ, FMCN and FXI today, while suffering a bit in AZZ, MVIS and FTK.

In short, I really could give two fucks and a gay mule about today's session. I'm just waiting for the weekend to arrive.

Everyone on Wall Street is pounding the bull drum for CSCO, FFIV and JNPR. They say "the networkers are back dude, get in now or lose your spot on the green gravy train." However, taking a closer look at the sector, but not detailed, there is certainly a "tale of two cities" being played out.

Forget the above names. Look at ALU, RCNI, BRCD, EXTR, BBND, JDSU, SVVS, EQIX, MSPD, LLNW, AKAM, NT, BKHM, DVW, FNSR, MTZ, TLAB, AVNX, MRVC, SONS, SCMR (40 cents away from cash), GLBC, LORL, AFOP, INAP, HSTX, LVLT and CNXT.

Most of the above stocks are at/near their 52 week lows or in a serious downtrend. Now, either CSCO, JNPR, FFIV, AVCI (biggest customer is ATT wireless), NETL (biggest customer is Cisco), CAVM, LNOP, ADCT and GGBM are outsmarting everyone else; or they're extremely overvalued.

As you know, "The Fly" has been a long term bull on the sector. Over the past two years, I've had big positions in EQIX, GLBC, LORL and AKAM, but not anymore. Recently, thanks to a tip from a source, I checked my EQIX and gave up on the sector, with the exception of my recent LLNW endeavor.

Many years ago I got my balls shot off, via a multi million dollar ADCT position. As you can imagine, this "fun" happened after the dot com blow up, 2000-2002. Believe it or not, long after the initial blow up of the dot coms, ADCT was still making new highs. Then, after getting all comfy and "prosperous feeling," it shot my balls off. Within a year, the stock had a $2 handle, sending "The Fly" to a mental hospital, where he luckily acquired his "calculator brain" and "time machine" from one of his fellow inmates.

In short, I believe this sector is a leading indicator for the entire technology space. Right now, everyone is busy with the big winners and ignoring possible warning signs, such as this.

Is it pricing pressure or a slowdown in business, due to cut backs from the big boys?

Bottom line: Either FNSR, AKAM and GLBC are tremendous buys down here; or CSCO, JNPR and FFIV are the Mother of all shorts.

Wow, what a rally. Makes me ponder if there is a correlation between religion and bullishness on the brokers.

As you know, there was a fucking monster rally in the financials, as GS, CFC, NFI and MS led the charge.

Unfortunately, I am being beaten like a shoplifter in Iran, being short LAZ. However, as always, I will "stay the course" and average in when needed.

In addition to the financials, the metals and retailers took off, as if there is no such thing as a "credit crunch."

Despite the markets recent run, keep a note on your monitor, to remind you how much pain you felt when it was going lower. Then, get up and drink a few shot's of "rich man's whiskey," while devouring a 2 1/2 inch rib eye, heavily salted--lightly peppered.

NOTE: I hope Greenspan gets up and pimp smacks Maria Bartiromo tomorrow, exclaiming: "bitch, don't you ask me about 1987 or 2000."

In an unprecedented move, "The Fly" has decided to reveal his top 10 holdings, mainly due to good feelings and pending consumption of large rib eyes.

As of yesterday, the following stocks, in order, represent my biggest investments.

1. MVIS
2. HANS
3. GME
4. NTRI
5. RIMM
6. AAPL
7. GLF
8. FMCN
9. VLO
10. GD
.
.
.
67. ARWR
68. MATH
69. LLNW

I love it when they have nonsensical fools on CNBC.

Since when is it Fed policy to not stimulate the economy?

Isn't the whole fucking point of life to grow?

If the economy is in the shitter, why not feed it with cheap money?

See, the problem with these talking heads is they are scared to take a stand. They are pussies and they want it both ways.

YOU CAN'T HAVE IT BOTH WAYS.

Fly Advice: Either you're right or you're wrong. Quit trying to please everyone.

I sold short 2,000 LAZ @ $41.43.

Disclaimer: If you sell short LAZ because of this post, JJ will sell SWC and the world will explode. And, you may lose money.

Bearshitter getting nervous.

I bought 3,000 FMCN @ $42.35.

Disclaimer: If you buy FMCN because of this post, you may become the first man to get a heart attack from a Monster Energy soda. And, you may lose money.

I would like to thank all of the old Coke drinking fart knockers for shorting HANS, effectively giving it jet fuel to the glorious price of $50.

A special shout out to Woodshedder for mucking up all those HANS trades, not having faith in the Monster.

And, last but not least, an extra special "told you so fuckface" to Ducati for trashing HANS, on his third tier blog.

In celebration of this milestone, I will throw a few frozen cans of Monster Energy soda at my trader/servants head.

Wish me luck.

Take the fucking poll.

Will LEH post bad numbers on Tuesday?

"Bad" is defined by the stock going lower on Wednesday.

I sold 10,000 LEH @ $59.59.

Wow, this is pretty cool. I'm over here eating an immense bowl of sugary oatmeal, while the market is fucking melting the bears away. Life doesn't get much better than this.

Now, if MVIS could just make believe it was alive, everything would be perfect.

I'm tempted to blow out my LEH, at these levels, and count my blessings. With numbers due out on Tuesday, only God and my Voodoo "Physician" knows what will happen. Believe me, I've tried bribing my Voodoo Physician with all sorts of live Romanian goats; he will not tell.

Today, the big winners are the brokers, metals and retail stocks.

Wouldn't it be something if the brokers blew away numbers, next week? If so, buckle up, we're going back to new highs.

That would be terribly fucked up for the bearshitters. Terribly.

So, in short, "The Fly" is pleased with today's melt up, despite being beaten like a fool in his LAZ short and SRS long. Moreover, several of his new, and might I add gay, positions refuse to melt with the market, such as AXR (fuck you), iiG (fuck you again) and last but not least LLNW (fuck off).

NOTE: Late yesterday, I "rolled the dice" on SiRF. As you know, I only give you (internet money losers) my bad picks.

I wonder how long the market will accept $80 oil, before the DOW starts selling off again. If you think about it, there is a whole lot of pressure on the credit card wielding fucktard.

I suspect the bears will punch back hard, sometime soon.

In general, today was an anti-climatic day, as many stocks sold off toward the end of the day. For me, the silver lining was the spike in UNG, thanks to the natty explosion. However, as you know, natty is for asshats. Therefore, I do not anticipate to "bank coin" in it, anytime soon.

My positions did ok, with massive divergence between the momentum names and the possble "value plays." Meaning: the only stocks really benefitting from this rally are the momentum names, like AAPL, RIMM, FTK, etc. All of my recent purchases of bow-wow shitfucking stocks, like iiG, AXR and even MVIS, suck balls.

Also, let me just say, I've been getting some pretty fucked up, house wrecking "tips," as of late. Most of the time it pays to just stick with the fundamentals-- and discard the chatter. But, it's never as fun. That's the dilemma.

The next time you see me doing a "Fly Buy" of a weak kneed hatfucking stock, please feel free to punch my mustache off or ignore me.

However, it's worth noting, I don't own much of these queer stocks, with the exception to MVIS.

If forced to guess, I'd say the next move is lower for the markets. Like I said before, there will be no clear direction until after the fuckfaces from the Fed decide what to do with rates.

NOTE: If AAPL is serious about making the "iCar," I am selling all of my AAPL, immediately.

I bought 5,000 LLNW @ $9.12.

Disclaimer: If you buy LLNW because of this post, your neighbor will dump toxic chemicals on your front lawn. And, you may lose money.

NTRI is on fucking fire. As we speak, the company is attending a Citi conference @ 53rd st, NYC.

My guess, this quarter is a blow out and the "future news" is being leaked.

Despite what CNBC says, we are in one heck of a bull market. Forget about housing for a minute and look at some of the winners that have blessed investors. Literally, they are cash machines.

In case the market dips again and you are unsure where to allocate resources, put the following stocks on your fucking buy list (consider this "The Fly's" relative strength list):

AGE, HANS, CMG, SAM, DEG, WBD, BTI, DEO, TNH, LAYN, VMI, BHP, JEC, FWLT, FLR, CNH, DLB, MIDD, MDR, JCI, CMI, DCI, CMI, POT, KBR, CBI, DE, ACM, LLL, WNG, AMN, UIC, GD, LMT, WXS, CLB, ITW, LVS, WYNN, MGM, OEH, DRYS, GNK, FTK, ANR, HP, ARD, DWSN, NOV, CEO, STKL, FSLR, SPWR, OXY, ECA, IMO, SU, YGE, SII, CAM, WHQ, DRQ, OII, DVN, NHY, BRG, CNQ, GHM, ICOC, DVA, GILD, ISRG, CHTT, IMCL, ALNY, MDVN, ONXX, MYGN, MON, BMRN, AMLN, ACL, MDT, BRLI, MHS, CI, PCLN, CTRP, NILE, AMZN, SFLY, BCSI, OSTK, SOHU, SINA, BIDU, GOOG, FFIV, CSCO, JNPR, CIEN, GLW, GME, DKS, CROX, PVH, NKE, UA, ZUMZ, SNDA, CRM, BOBJ, ATVI, ADSK, ADBE, SAP, SIGM, NVDA, KLAC, VSEA, SLAB, INTC, AAPL, RIMM, SYNA, VMW, HPQ, GRMN, NVT, LYTS, ERIC, JAVA, EMC, HTCH, IOM, WDC, DDUP, TMB, VIP, BRP, GLDN, EQ, CHL, ICFI, MR, EJ, EDU, TTPY, PAY and LFC.

In case you are wondering: "where the fuck is the bull market," there it is.

As for today's trading:

The fuckers from MER downgraded my AEO to a sell, this morning. Pre-market, the stock was down a buck; now it's up. Fuck you Merrill.

Already, many of "The Fly's" stocks are lifting off, such as HANS, NTRI (Citi Conference today at 12), DCI, AAPL, RIMM, UNG, OEH, UPL and FTK.

In short, it appears the bears will have their jaws broken for them today, as investors pile back in-- degenerate OTB guy style.

If I was to place money somewhere, right now, I'd buy oil. There is no ignoring the current trend. Within the sector, my favorites are UPL and GLF.

All of my "smart friends" think the market goes lower tomorrow. Therefore, we will probably go up again.

As you know, the volume was light; but who cares?

Today, all the old momentum names gapped higher, such as: LVS, PCLN, BIDU, AVCI, JRJC, SMSI, ATHR, SNDA, ERIC, JAVA, VSEA, LSI, IHP, TNH, LAYN, OSG, VMI, WYNN, NOV, ACH, PKX, CRS, BOOM, amongst others.

In short, I am hopeful the market has bottomed, despite being short RSH, MDC and LAZ. However, I am not convinced the Fed understands the severity of the slowdown. If I am correct, the Fed will only cut by 25 basis points and offer little insight into future easing. That will send stocks lower.

So, in the meantime, I will enjoy "The Woodshedder Bottom," while quietly adding to my SRS position. Also, I really need to stop buying bullshit stocks, like iiG and AXR. Instead, I will be putting my resources to work in higher quality names, like HANS, BWLD and RS.

As for MVIS:

The company has weak shareholders. The institutions behind the stock are fucking crack whores, who flip on a good press release. The company needs to do a better job at attracting institutional ownership. Trust me when I say, this is not entirely Tokman's fault. In the future, he needs to align MVIS with a good investment bank, who will provide a steady shareholder base.

Off to the gym.

NOTE: Those fat mountain bitches from CWTR really got annihilated, huh?

As you know, yesterday, our resident chart chomper named Woodshedder, announced to the world, he was "going short." Basically, he felt the market "could not go higher." And, his fucking charts said "down you go, Mr. Market, down you go."

However, as you see with today's moonshot rally, none of the above is true. Honestly, I cannot think of a good reason why the market is up so much; so I'll call it "The Woodshedder Bottom," for lack of a rational explanation (that's what you get for fucking with me in the comments section).

Right now, I'm fucking gung-ho on AEO, MVIS, VMI and HANS.

Within the nasdaq 100, NIHD is the biggest notable laggard.

I bought 500 AXR @ $30.10.

Disclaimer: If you buy AXR because of this post, someone will hard sell you bullshit property in Rio Rancho. And, you may lose money.

I bought 2,000 AEO @ $24.55

Disclaimer: If you buy AEO because of this post, your local mailman will steal your credit cards. And, you may lose money.

Ooh, already, the bears are saying "the market is up due to patriotic 9/11 buying." Sure, that's the only reason why we're up. Keep believing that bucket of shit is kool-aid too.

You have to understand who these bears are. They are mentally ill people, who believe the bulls are "evil" for "making stocks go higher." As you know, these hatfuckers are unable to understand simple supply/demand relationships, with regards to money management. America is hard at work and "evil" retirement funds need to be invested, daily.

I find it interesting that they feel the market should go lower, without catalyst. However, whenever the market rips their dentures out, they scream manipulation.

Asshats.

As for today's trading:

VMW is the new CROX. I feel stupid for not jumping on the bandwagon. I must say, Guy Adami from Fast Money, called this puppy first. The great tanned one was opining on VMW, before anyone else. Nice.

Thus far, the financials are rebounding, with decent gains in BX, MS, NTRS, LEH, KEY, COF, KBW, ACF, BCS, GHL, DLLR and TMA.

Also, the metals are bouncing, with notable gains in RTP, ACH and CLF.

Basically, we have a full fledged rally on our hands, as most sectors are deep in the green.

Within my holdings, I like the momo in RIMM, LEH, GME, DCI, VMI and AZZ.

However, out of all my stocks, I like AXR for a short squeeze--near term.

As of now, it looks like the market will end up about1% higher.

This is not going to be one of those sappy 9/11 posts. We have all seen the tributes and I'm sure most of you, despite political leanings, feel anger when the 9/11 anniversary arrives.

On that day, I was in front of the Towers when the first airplane hit. As you know, it was pandemonium, an experience I will never forget-- as long as I live.

Now, the following video is not meant to be political. However, having close family and friends in the U.S. Marines, I choose to show a video of America's strength, instead of victim-hood.

Part of the problem with this country is its incredible sense of defeatism. Frankly, I believe most people, at heart, are soft, latte drinking, blackberry using pussies. Whether you're a supporter of the war or not is irrelevant. Just be grateful there are better men, than you and I, out there to punch back, when asked to.

Figure skating is fucking gay.

Back to Monday Night Football, duh-duh-duh-duh.

I've been out of pocket all day, not really giving a fuck about the market or you. I suspect there will be little change in the market, until the Fed meeting on the 18th.

Looking at some of my positions, I see UNG spiked hard, despite dire warnings of "mafia rigged pricing" in the comments section of this site. God willing, my weatherman will inform me of a pending "hurricane of happiness," which will send UNG back to $50.

Also, iiG shit the shower, and is now at its do or die line in the sand. MVIS is boring the feathers off my Voodoo Doctor's pet chickens and AZZ is done.

On the bright side, AAPL, RIMM, FXI, LEH, OEH, SNDK, LNN, GME and HANS look "Fly worthy."

In short, over the next few weeks, I will have to rebalance my portfolios to reflect the current environment. This means, biting the bullet, taking some losses-- and initiating new positions that better suit a slow growth environment.

In the meantime, I am going to the gym. You know, to work off the fat cat days of early 2007. As you know, "The Fly" despises fat people, so it makes lots of sense not becoming one.

Apparently, the weakness infecting the financials and homies cannot drag the market lower. To me, this is a clear buy signal, for select sectors, such as energy, tech and basic material stocks.

In order to trade the basic resource stocks, you have to possess a "calculator brain" or be a "space alien magician." Fortunately, for you, "The Fly" is a Monster Energy soda drinking "space alien magician," fully armed with a "calculator brain."

Right now, on this dip, I like CLF and CENX.

Also, there is marked strength in the food and beverage sector. There, I like HANS and BWLD (football season has begun).

Finally, as you know, AAPL and RIMM are off to the races. And, in the midst of the retail blowup, I like JCG and AEO-- on this dip.

In short, the market still blows. Go back to sleep.

NOTE: In case you didn't know, Dodge and Cox reported a 10.2% stake in MOT. Capital Research & Mgmt. reported a 11.1% stake in YHOO. And billionaire businessman Joseph Lewis took down 7% of BSC.

Cramer is a bowl of joy this morning, huh? It's like watching the fucking Grim Reaper opine on the latest developments in housing.

Speaking of housing, my AXR posted good numbers this morning. No one cares.

Oh, and LAZ ("The Fly" is short) is buckling under, as investors "figure it out."

Thus far, the market is a mixed bag, and could go either way. Decent gains can be found in natty, metals and semi's, while weakness permeates the homies, brokers and retail.

This paradigm cannot continue, by the way. It's too easy. Either the bargain buyers step into the financials, homies and retail or they get obliterated. Bottom line, this slow drip shit won't last.

Within the energy sector, there is momentum in CEO, GASS, UNG and HOKU, while vast weakness affects HOC, TSO, VLO, BTJ, ALJ and DK.

As for me:

I think it makes sense to take a nap, while being long SRS-- and short LAZ. In my opinion, no way in hell those lazy fuckers from LAZ meet their numbers. They're a "deal firm." Guess what?

There are no deals.

Aside from that, I'm disgusted by the fuckers on CNBC, with their "hurry up and sell your house before it's too late" commentary.

Can't wait for FOX.

NOTE: Please take the new "Fly Survey." Are you bullish or bearish on the markets?

Important Emergency Alert: The post you are about to read got Danny fired, for the second time in one day (a Fly record). Forget about the premise behind the post, it surpassed the allowable WPP (words per post), which all of "The Fly's" weekend bloggers must adhere to. Plus, he attached some queer Romanian violin song to it.

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Dear Internet,

I have been trying powerful hard to think of a truly recession-proof stock but, son of a vondruke, it's tough when you can paint a negative picture for nearly every goddamn industry. It doesn't mean you have to believe the negativity, but for the sake of planning, it can't hurt to think about it.

If the US falls into a recession, companies may spend less on anything and everything. Take advertising--why advertise to a bunch of broke chumps? So you can paint the picture that GOOG is fucked. Definitely LAMR. Or, you could consider the efficacy of online advertising versus TV and billboard advertising and conclude, "I would rather target my audience directly, than through TV and billboard ads," which would benefit GOOG, as ad dollars are diverted online. Perhaps a good data point, if they release it, would what percentage of their adsense revs are from small businesses. Since they don't have TV ads to cutback in the first place, they may just cutback period. But, that could still be more than offset by larger companies deciding to shift an increasing amount of their ad budget to the internet. It is conceivable though that ad spending declines YoY, even on the internets, as companies, despite being cash-rich, opt to conserve their powder. That would really only be possible if the US was assraped through the end of in a horrible crash and burn, but hey, "dope in a noose" thinks it's possible. Oh, and then, some BS landmark case comes and fines GOOG 50 billion for youtube copyright violations, claiming it should be total copyrighted views X $1. As the back-and-forth nature of my prose suggests, basically any number of great or terrible thing can happen, and the consequences could be any number of positive or negative things.

Of course, there is ample evidence to believe that the increase in internet advertising trend is firmly in place, though it is longer term in nature. I have never professed to be an amazing market timer, but in a general sense, I have a hard time believing that FEWER ad dollars will be spent on the internet, so almost as a de facto, GOOG should preform well. This isn't a GOOG rec, it all might be priced in, I just using the GOOG bit to draw a comparison here in a second.

The thing to remember is that in tumultuous times, it doesn't pay to not be in the market, so the best consolation you can have is knowing that a particular stock you own has a strong future, whatever the case is. Even "dope in a noose" can figure that one out. Sure, I think ZUMZ is a good LT stock, but it's expensive as fuck and if we really do have a recession, it will no doubt be impacted. What you want is security...

And that got me thinking.

So, where is the consolation? Where is the magic industry? I mean, even the greatest of stories have their flaws-- CMG, AAPL, RIMM, FWLT, KB, LNN--all would be negatively impacted by a [world] recession (duh). The fucking problem, what?! even conceptually, can't be tarnished or diminished by reduced output? I mean, only addiction (SAM, DEO, CEDC) appears to fit the bill of both a recession-proof and growth industry...

The Answer: Worldwide Electronic Surveillance.

Not the most original thought, as the issue has surely been discussed at length by others, but since it isn't discussed here, I thought I'd drop some science. I upgrade the whole sector to "Market Tepid." Unfortunately, like all the best things in life, this report comes with a price, and it is a high one. I propose someone buys it, then sends it to me, provided they can write it off as a business expense (nudge, fly). The way this relates to the GOOG is I have a hard time conceiving why this industry would falter in any environment. It's almost like, what choice do we have anymore? Either no security, or buy into this industry. It's almost too logical.


Here is a cacophony of words forming a cornucopia of reasons why I deem this industry to be "recession proof."

1.) If there really is a recession, there could be more crime, resulting in an increased need for CCTV other similar security devices.

2.) Since I doubt you read the article, CCTV is growing at a CAGR of 12.4 until 2008, and RFID is growing at 19% until 2016. That's good.

3.) Security spending is increasingly not a choice, with terrorism and other douchebags doing crazy shit. Especially at risk according to other articles are docks and ports--the article recommended CCTV and RFID solutions.

4.) This is in conjunction with VDSI being a totally kickass stock I wanna buy after it pulls back. Oh, and the FDA hasn't linked RFID to cancer. That news is BS. Not a real "recession-proof" reason.

5.) By examining the summary of the table of contents to the research, you can narrow your own search parameters. I am looking for an RFID and CCTV company with ROW sales, and strong fundamentals. Also, merely selling RFID labels or some ancillary thing isn't good enough--removing many stocks from the spectrum. IBM is too big and diverse. I found a penny stock that sells the right shit, but, it's a penny stock, and I ain't reccing no penny stock. I need to find a company with a strong niche, that is integral to the whole industry. Use the GME theory--don't bet on ERTS, TTWO, or ATVI--bet on the place that sells 'em all. That wasn't a reason though either.

6.) Walmart has been pushing for it. If you wanted a hedge, you could short the company that makes RFIDs for people (ADSX), since CA just outlawed it and everyone follows CA's lead. But that's an OTC stock too. Also not a reason.

7.) The is industry recession proof in my mind because it has more room to grow than shrink, regardless of economic conditions. As computers have become the norm, so shall these, because there is an economic benefit to having all your inventory tagged just like there is an economic benefit to electronic storage.

8.) Plays off fear. That's a powerful emotion there. It affects shipping, inventory mgt., as well as actual security, like where is the security guard on the premises, where was the break in, what was specifically taken. Even classics like LMT, GD, and ATK don't make money off fear. Security isn't tied to consumer patterns, or savings. Shit, in 20 yrs we may be outfitting our houses with CCTV to prevent marauding Moors and nomadic Chinamen from pillaging our women after America implodes into itself.

In summary, there was no perfect stock, but several interesting ones, and a few extremely small caps worth plopping on a list and tracking over some years. It may have been easier to pinpoint a specific one if my internet wasn't so fucking slow, making looking at all web pages very tedious. IMO, neither ZBRA, SBL, or IBM are related enough to this, though all good. There may not even exist a publicly-traded security RFID, CCTV, and logistics company. Maybe it's LLL, ID, CKP, ZBRA, SBL, maybe not.

Some more resources for your perusal are:

Indsutry Page

A slightly outdated but helpful list of related US-listed stocks There are probably many stocks on other exchanges that are good.

RFID Journal

about Alien RFID (had shelf, never IPOd)

about Impinj RFID

DoD RFID site Great read on that site here

Security Stock Resource Has CCTV, RFID, and myriad others. Good site.

Every company, both public and private.

Go Chargers, even though you play like sloppy bitches sometimes.

UPDATE: CKP is definitely looking pretty good, though the level of DD is still at the "cursory" phase. $4 cash per share, negligible debt, the right products, and a nice trend line.

UPDATE II: With my spare time, I enjoy baking apple pies and listening to fancy violin music. The following is my fav' dude. Please don't rub my head into the sand too much over it. I loves me some 'lin.

Later Brah.

While "The Fly" gingerly strolled through the aisles of TGT, Danny and Jeremy were turning this "high end," "rich man whiskey" drinking, 2 1/2 inch rib eye eating place of internet business into a fucking "shoot 'em up" ghetto.

As you know, there is nothing permissible about "Ghetto-ising" "The Fly's" place of internet business. Moreover, because of this breach, I will no longer post silly-ass gangster rap video's, despite enjoying them a great deal.

Instead, I will post satanic devil music, in an effort to empower my new Voodoo Physician's already "flavorful" powers (he cooks a mean curry chicken).

To Jeremy and Danny--

Thanks for all your help. Now, go fuck yourselves.

That is all.

(Cue the snarling pit bull and AK-47 sound effects)
LISTUN ON SUM REEL SHIT YUNGIN': YOU KNOW WHAT THIS DO-- IT BE MY BOY PLIES DOIN' HIM THING-- HOLDIN' DOWN THAT #3 SPOT ON THE TOP 30 COUN'DOWN, RIGHT HURR, ALL UP IN THIS BITCH (aka "flyonwallstreet").
(Cue the "AWWWW SHIT" and "cash register" sound effects)

Ima give sum shout-outs to my boy, "yung trader", who be hustlin' dem financial securities like dey was Pokemons.
(cue the J.G. Wentworth and Pawn America commercials)

A repost, sure, but it seems relevant again:


Jeremy has some good shit. He can stay. Stay tuned later for my informative post, "Mexico: America's beard."