In Search of the Perfect Investment

You got to have faith. At last year’s Robin Hood Investor Conference Jim Chanos said “Short IBM.” David Einhorn said “Buy Micron.” Boy, were they right. But over the year, the stocks fluctuated. Without faith, you would have bailed. But Micron was up 51% over the year.

These conferences are intense. No one speaks slowly. They hammer you with the results of months of impressive research. I listen and watch my screen. They mention a stock. It instantly spikes. David Einhorn led off at 11 10 AM with a strong recommendation for SunEdison.  Look what happened:

That afternoon Ahmad Chatila, president and CEO of SUNE talked. The guy is a dynamo. More facts, figures and projections on solar energy than I’ve ever heard. I’m thoroughly impressed. I now own shares in SUNE. You should too. I’d give you some of Chatila’s stuff. But I don’t have time. It’s just before 8:00 AM and the conference is about to start again. So I have a few “quick hits.”

Last year Anna Nikolayevsky pushed Solar City. My friend bought it at $54 and sold it at about $89. Anna was invited back. This year she recommended the pawn brokers: especially the second largest pawn shop chain in the U.S. — EZPW.

My friend said “the most interesting part of yesterday” was the plug for Cheniere (LNG) which is in everything from the export of liquified gas and its transport by train. Several people seem to think LNG is a natural takeover target.

One speaker loved American Airlines (AAL). I have liked Delta (DAL). Both are great beneficiaries of the consolidation in the airline industry, plus the huge drop in oil prices — from $110 a barrel to $80, and going lower.

For my favorite shorts? Try French government bonds and Brazil’s Petrobas.

More stuff tomorrow. For now, my BIG point is “If you’re serious about investing, you should be at this conference next year.”

 A long day on the golf course.
After a long day on the golf course, I stopped in at Hooters to see some friends and have some hot wings and drinks.

After being there for a while, one of my friends asked me which waitress I would like to be stuck in an elevator with.

I told him “The one who knows how to fix elevators.”

I’m old, tired, and pee a lot.

Harry Newton, who wonders if anyone pays “retail” any longer. After yesterday’s conference, I idled by Banana Republic. They had a lovely pair of woolen black pants marked at $170. I thought that reasonable. I took them to the cashier and idly asked, “Are these on sale?” Yes, they were, 30% off. “What other deals?” I asked. They said 10% off if I used their credit card. I said I had one. They checked. It had expired. I hadn’t used it since the last time I got the card and got a discount.  But I could get another 25% off if I applied, once again,  for their credit card. Which I did. My final price? $80. Nice pants. Fit well. I would have paid $170.  I don’t make this stuff up.