CNBC’s still asleep and I’m trying to figure out why I went in to work at 6 am today. It does help me catch up reading other blogs and not just investment blogs. One blog I found was Cash for Comments. From what I gather, the blog owner, Prija, will give you $1 if you’re the top commenter of the day. Yep, you get paid for commenting on a blog. So how does this tie into investing? Investing doesn’t take form in just stocks and bonds. There are plenty of folks out on the internet who spend day in and day out running blogs, websites, and a host of other goodies on the internet and make a decent living from it. I’ve attempted to promote and advertise this blog on just a few minutes a day and it’s near impossible. Prija’s giving folks an opportunity, thanks to his sponsor EliteBaseballInstruction.com (a baseball training site which may have benefited my brother many years ago hah!), to win an ad slot on his website. So in an attempt to deviate from the usual investing, which I’m fearing this morning with the nasty selloff yesterday, I’ll throw my hat at Prija for that ad spot. At least it’ll give me something draw my attention away from the horrible selloff yesterday.
Wednesday, August 29, 2007
Tuesday, August 28, 2007
Google CFO George Reyes to Retire
Google’s CFO, George Reyes, has announced that he is retiring. Reyes will remain with Google until a replacement is found. The following was a statement released by Google:
MOUNTAIN VIEW, Calif. – August 28, 2007 – Google Inc. (NASDAQ: GOOG) announced today that George Reyes has informed the company of his intention to retire as Chief Financial Officer. Reyes indicated that he will remain to assist in the search for a new CFO and to assure an orderly transition, which Google expects will occur by the end of the year.
“I’ve known and admired George since our days together at Sun,” said Google Chairman and CEO, Eric Schmidt. “As Google’s CFO, George successfully navigated our innovative IPO, the regulatory demands of Sarbanes-Oxley, and the management challenges of scaling a global finance organization. Though we fully appreciate his decision to step back from active management, we’ll miss his thoughtfulness, good humor and wisdom.”
“Working at Google these past 5 and a half years has been an extraordinary ride,” said George Reyes. “I’m honored and flattered to have been a part of this great management team. I know I’m leaving the company in good hands with a remarkable team of professionals that will continue to build on Google’s tremendous achievements.”
“George has been a full partner in Google’s global growth and development,” added Google co-founder, Larry Page. “He has done an excellent job in keeping us financially disciplined while protecting the best of our entrepreneurial culture.”
About Google Inc.
Google’s innovative search technologies connect millions of people around the world with information every day. Founded in 1998 by Stanford Ph.D. students Larry Page and Sergey Brin, Google today is a top web property in all major global markets. Google’s targeted advertising program provides businesses of all sizes with measurable results, while enhancing the overall web experience for users. Google is headquartered in Silicon Valley with offices throughout the Americas, Europe and Asia. For more information, visit www.google.com.
What does this mean for Google and its stock? Well I’ve always been told that when a CFO or CEO retires or leaves the company for no reason, that may raise a red flag. I’m curious to see what you all think.
Down Days of Summer
So much for the lazy days of summer. After a few sessions of relatively quiet trading, the Dow appears to be down 260 points with 10 minutes left in trading. Housing reports plus rumors of a recession helped the sell off today. We’ll see how the last 10 minutes go by in today’s session. Trading curbs are in attempting to limit the damage in the last few minutes of this sell off.
End of day update: Dow ended down 280 points. All but one (Home Depot) traded down in the Dow today. 93% of the S&P500 stocks traded down as well.
Monday, August 27, 2007
Slow Day
It’s been a slow day out on the market. Housing reports came in this morning and investors appeared to have mixed reactions. Existing home sales dropped again, marking the fifth-straight month it has done so. Unsold home inventories rose by 5.1% last month. Median prices of homes also fell from $230k to $220k.
Although I don’t wish for the housing sector to continue on its downward trend, I do hope the situation stabilizes somewhat over the next couple of years. By that time my fiancee and I will be out in the real world, leaving behind the shelter of college life. We will need to find a home soon after we leave college and with the housing market starting to bottom out, it may be the best time for first time home buyers to jump in. Granted, mortgages may be a bit more difficult to apply and receive, but the cost of a home will have (hopefully) decreased substantially so that first time buyers can more easily afford one.
Markets appear to be down about 25 points in a relatively slow and flat trading day. Investors must have already taken off for Labor Day weekend, eh?
Sunday, August 26, 2007
Portfolio Progress – Week of August 27, 2007
The dog days of summer finally arrived on Wall Street this week. After the surprise discount rate cut last Friday, the market climbed most of the week, having one of the best weeks of the year. Investors still appeared to be skittish with the credit worries as shown by the fairly light trading volume this week.
- Monday (8/20): VMWare’s IPO was released to great fanfare. After opening at $60 (VMW), the stock closed out the week at $71.30. EMC benefits greatly from VMWare since they control 80+% of the spin-off company. However, shares of EMC remained mostly flat for the week. At this point, EMC may be undervalued and with the tech season in full spin it my be worth analyzing further.
- Thursday (8/23): An appeals court cleared the way for Whole Foods (WFMI) and Wild Oats (OATS) to merge. Shares of both rose after the news. The deal may be finalized on Monday.
- Total Deposits: $1,447.26
- Current Portfolio Value: $1,316.50
- Profit (Loss) as of August 26, 2007: -$130.76
- Profit (Loss) as of August 23, 2007: -$117.15
- Profit (Loss) as of August 15, 2007: -$51.96
Part of my portfolio has yet to clear (sold some shares of XTO and LVLT this week) and as a result my total portfolio value is less than it should be. Next week should have most of these transactions cleared. I also have a fairly heavy bet on an XTO option. I expect XTO to make a strong comeback this week. At $53 a share, XTO is incredibly undervalued. Natural gas prices should begin to rise as summer winds down and folks in the north prepare for the winter. Have a safe week of investing!