The SP500 PE is currently 19.74 (from SP's website where they have an end of month report for each of their indices). Historical mean SP500 PE is in the 14-15 range. IMO we are seeing a slight over-valuation, nothing like 1998-2003 though.
god it really is sad how i don't keep up with macroeconomic stuff anymore. i am remembering numbers from like back in april when it was around 17 on the NYSE. guess i should read my IBD more often.
SIRI-Looks good long term, but midwk and short term arent ready yet. Should wait maybe 2-5 more days before it is the "BEST Entry point at the lowest risk." FCEL is not going to do anything anytime soon. So that would be a hold on your money because people are selling to take profit right now. ELN is not worth looking at RIGHT NOW. This one is really risky.
If you have AX, you should think about taking profit right now bc selling pressure is too high. Shorting AX is risky rite now. Im looking at Real time data in Bloomberg, shorting should not be an option at this point in time.
Some statistics on Sirius - Valuation Measures Market Cap (intraday): 9.23B Price/Sales (ttm): 91.95 Price/Book (mrq): 10.90 Enterprise Value/Revenue (ttm): 92.16 Enterprise Value/EBITDA (ttm): -18.381 [Profitability Profit Margin (ttm): -755.83% Operating Margin (ttm): -743.27% Management Effectiveness Return on Assets (ttm): -20.31% Return on Equity (ttm): -69.35% Income Statement Revenue (ttm): 100.78M Revenue Per Share (ttm): 0.08 Qtrly Revenue Growth (yoy): 365.10% Gross Profit (ttm): -73.90M EBITDA (ttm): -505.27M Net Income Avl to Common (ttm): -761.72M Diluted EPS (ttm): -0.60 Qtrly Earnings Growth (yoy): 34.40% Balance Sheet Total Cash (mrq): 635.68M Total Cash Per Share (mrq): 0.48 Total Debt (mrq): 656.32M Total Debt/Equity (mrq): 0.774 Current Ratio (mrq): 2.481 Book Value Per Share (mrq): 0.642 Cash Flow Statement From Operations (ttm): -379.76M Free Cashflow (ttm): 66.78M Saying you should buy SIRI based on technicals brings to mind brokers promoting some of the dotcoms that have managed to survive before the bubble burst. Yes, many of the dot com companies have done well, but share prices dropped by a factor of 10 and are only now getting back near where they were. SIRI is like playing chicken with a mob. Everything is on potential. Someone will one day stop and realize the actual current financial numbers, and they'll start a nosedive in share price that will last until the financials become real. SIRI right now and for the next few years is for people who can't afford a trip to Las Vegas. See Tulipmania
Everyone uses different investment strategies and im sure you do well with yours. However, SIRI long term status (1-4 months) has very good potential for a strong movement and good opportunties for profit. The Midweeks and Short term status is not quite the best entry point YET bc short term traders are collecting profits. SIRI in the next few month will gain $3-$5, this is not an AMGN where it gained over $20 within 2.5 weeks. Not promoting SIRI bc I just replied to the post and analyzed it. We trade very differently bc I used to be a day trader and made good profits over the slightest change in price. However my full time job has changed my style to more Weekly trading. And I did get in on 300 shares of AMGN 18 days ago at $60/sh getting ready to sell by the end of the week bc Midweek selling pressure is too high. Long term scenerio looks really good for AMGN, BUT no need to waste a week or two of position since the change in gain will be pretty slight. My strategy is to get into a stock at the best entry point where I have short term trader buying the stock, ride it for a few weeks, take profit, and move to the next stock. Growth stocks are great but that could take 3-9 months which is way too slow for my blood. I am one of those crazy people that actually made tons of profit shorting Enron, Worldcom, and few bad apples.
Like I said in the prior post I'm not long AX. I do like the business possibilities for the NYSE and they really sound like they are commited to getting back to respectibility due to their readiness to make acquisitions and other stuff. I'm not talking about buying AX on technicals either. I'm just saying I like the NYX IPO and I believe the company is positioning itself to become a stronger player in the market. Also, like I said I am a NYS scalper and I trade anywhere between 30-90,000 shares a day, so I do know about getting out when selling pressure is too high. But if anything AX is finding support on the 50 day MA if you want to look at it technically.
