Thursday, November 19, 2009

Beta for sale get your beta

The generals of BETA are showing that beta cuts both ways for once. AAPL, AMZN,BIDU,GOOG,GS,PCLN are bleeding the cut is manageable but you never know when you go from needing a bandaid to a tourniqet. The SPUZ have been holding at 1089 pretty well - why? I dont know.
The other day I read that at some UBS homebuilders conference Hovnanian (HOV) announced that they are buying land - prices are a steal - this is a company that is sitting on 1.5 billion in unsold inventory - they are taking their cash and buying land instead of retiring preferred stock (HOVNP) at 22% of par - brilliant! Pisses me off to no end. Land may be cheap but its cheap for a reason there are 18 million vacant homes in the US right now - just what we need more homes.
Anyway the market is down about 1.5% as I write this where we will end up nobody knows.

Later
JB

No comments:

Post a Comment