Shld?

www.billcara.com ( blog )

- I have warned traders – the Moms and Pops in America who actually shop at places like Sears and Kmart, to be extra careful about this. I warned you partly on the basis that Sears had become a SHLD stock play, complete with discussions of “all that valuable real estate”. I warned you partly on the basis that JJC was hyper-promoting SHLD on his nightly Mad Money Show at CNBC. Then I said I wouldn’t take it anymore, so I tuned it and him right out.-

-What Cramer is doing now is the dream of every two-bit stock promoter in America. You know, in the future, all this CNBC video is going to be archived, and people like me will replay the stuff for the benefit of all. That’s because reading about it doesn’t seem to stop the nonsense.-

-I think enough is enough with the CNBC farce. If I were Jeff Immelt, I would do the right thing by selling that property to the NASD (National Association of Security Dealers) or the NYSE and Nasdaq.-

-These people at CNBC are clearly trading in securities, and ought to be registered. As it is today, I'd like to know who is responsible – I mean who pays – for the obvious misleading of America in matters so important as capital markets? This stuff is worse than Wall Street pumping Enron.-

-GE’s entertainment division oversees CNBC, kind of like the Vince McMahon family controls the WWE. And who is to stop some of these “media personalities” – their description, not mine – from acting like Hulk Hogan, which is to say as phoney as a three dollar bill.-

-Is that the legacy Jeff Immelt wants to leave when retiring from General Electric?-

 

Ask Billy Boy if he's ever seen that rarest of all birds, a stock pundit on the internet.

 

Of course not, it's up 5 points.

 

he was right.

 

not right on these last week.
1. buy mrh because hurricanes are good for insurance stocks. warned today -4.75. -7 from his buy point in a week.

2. buy cbh . hes been pumping that one for months. warned today. -2.4

 

I disagree with #2, I sold after the warning and still cleared a nice profit. Months ago it was at 27+.

 

you are right from his first purchase but as late as last week he was still telling people to buy it.

 

Cramer is not clairvoyant.

 

he is also not very wize when it comes to admitting mistakes. today the so called insurance expert on the real money site said he was wrong and wanted to sell MRH. cramer still came out and told people to back up the truck tonight on his tv show after his own guy said it was a mistake. seems kind of reckless to me.



David Merkel
Egg on My Face on Montpelier Re
9/12/2005 3:55 PM EDT

Longtime reader know that I like Montpelier Re, and that I think the world of its management team. I am still long the name, but am a "better seller" at these levels. Why?

I hope (dangerous word) that Montpelier is just being its usual conservative self in announcing the size of their losses from Katrina, but if not, the losses cut their book value by roughly one-third on the low end, to one-half on the high end.

More than most, I realize that property catastrophe reinsurance rates, and rates for retrocession (reinsurance for reinsurers) will rise, but the size of the rise will not be as big as the loss of capital. My suspicion is that Montpelier will raise capital to take advantage of the stronger rate environment, and that will mean dilution to existing holders. I will be an interested buyer at that point on Montpelier.

In the meantime, reinsurers with excess capital, like Berkshire Hathaway and PartnerRe seem like better places to be in the space. Apologies to readers who followed me on this one. If it's any comfort, I can't sell my personal positions until my clients have done so. There may be a bounce rally tomorrow, but it is unlikely that I will get to sell then. Clients come first.

Position: long MRH PRE

 

Cramer does that all the time. Whenever one of his stock picks gets crushed (which happens pretty often), he always uses his old "mon back" line (Cramerism for "back the truck up").

Apparently, he rarely cuts his losses...he just doubles down and if it doesn't bounce back he will conveniently forget to mention it until a few months go by and then he tells everyone how he "got out before the big fall".

He's very knowledgeable about the market in general, but he is a sub-par professional stock picker.