Posted on 08/28/2014 6:59:59 AM PDT by MeneMeneTekelUpharsin
Interesting. Tried to short Burger King (BKW) which is doing a buyout of a company and shot up at one point around 19% (which is nuts). No shares available to short. That must mean the big boys have shorted all they can and know what is going to happen next.
If so, it’d be a perfect time to buy.
Stock market goes up a little and will drop unexpectedly like a rock at some point. It is a game of not reality, but of perception and when a little reality creeps in you get problems and lots of lost investment capital. GOOD LUCK WITH THAT.
A company has drastically cut its costs.
Of course its value will plummet, that’s basic economics!
Stock up .. Captain obvious.
Maybe they need to re-brand?
Burger Galt, anyone?
expertly cooked hamburger, “the best-cooked food she had ever tasted, the product of simple ingredients and of an unusual skill.”
FReegards!
Home of the “gay Whopper”? and is generally pretty terrible... No thanks. Let em fail, let em leave.
At the same time as they cut costs, they offer a faggot pleasing Proud Whopper, in Homo Capital of the U.S., San Francisco... That is like the equivalant of having a beer truck as a NASCAR race or showing up with an industrial sized bottle of nitrous oxide and 10,000 balloons at a Phish concert. MAN, CAPITALISM ROCKS! Invest wisely.
They aren’t leaving.
But I will give you props for allowing them to.
We will get our border fence.
EVERY failed communist country builds one to keep its subjects in.
Next is the “equalization of opportunity act” and after that outlawing quitting or firing to taking any new jobs.
Going Galt becomes a matter of survival.
2014 is not a end goal.
2014 is a skirmish in a longer battle.
2014 is a chance to reduce the leftist/democrats/communist/statists in government and also isolate the rinos more.
We have successfully tilted the debate. (win or lose in the primaries)
Take the senate and then the whitehouse.
I wish their price for 2 burgers + 2 Fries would drop
It’s funny when the little pissant liberals start talking bout how it’s unpatriotic for Burger King to relocate.
You little parasites had it your way for ages,now it’s Burger King’s turn.
Businesses cater to customers....if you have a business in San Francisco that’s a larger part of your market. We eat at Burger king a lot, not the best burger but reasonably priced. Our Burger King has bible verses on all the walls. I applaud any business or individual that denies the federal government their hard earned money!!!
I’ve seen numbers on the per-franchise profitability of BK. It is steadily trending upwards while McDonalds is flat. Mainly because they have not over-complicated the menu and thus have far less food waste.
That being said, if Obama decides to go scorched-earth on them the price will fall. Unless Buffett plans to short it though I think that’s unlikely to happen.
your point is not valid.
when a company cuts costs, its value goes UP, not down.
so your not good at basic economics, nor trading, etc.
please... if you dont know what your talking about, your going to hurt people financially... maybe the value of the company TO YOU goes down, but to the rest of us, it goes up.
and here is why..
if costs are high, they eat into profits
if costs are low, there is more money for profits
so basic finance would say, if a companby reduces its costs, as you point out, its value goes up, not down
If you REALLY still want to short BK, you could always buy PUT futures contracts. I’d advise LEAPS (the long term ones).
But personally, I think shorting BK at this point is extremely risky. This merger may work to their advantage or in the worst case be simply neutral. Besides I think so many “players” act irrationally that even being right about an outcome doesn’t mean that what should happen will happen in the market.
For example, I believe Microsoft has been self-destructing for a few years due to excruciatingly bad management, and I see no evidence that that trend is reversing, and yet the stock market is fat, dumb, and happy with Microsoft.
Right, got it. I shorted it when it shot up and covered. Then tried to short it again when it bumped up again...no way. Wish I knew how to do options correctly, but have no teacher.
I’ll be darned. I really did need a </sarcasm> tag!
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