Get Trade Alerts

Signup for Free Email List!

Enter your Email

Preview | Powered by FeedBlitz
To subscribe to the Super Stocks Blog by RSS feeder click on :

Subscribe to: Posts (Atom)

Tuesday, April 6, 2010

Superman what do you think about CCME ?

1) I am still holding CCME

2) I first blogged on CCME at $7.50 when it was TMI Read Blog Post. It has since hit a high of $14.82 which is a 98% gain.

3) Many traders like myself who have a lower cost basis because they bought early and did not chase recent highs, have cushion and can focus on the fundamentals and not the short term day to day trading (or daytrading).

4) Speaking of fundamentals, I have not seen a report out recently where a Company has higher growth, profit margins, cash flow generation, and guidance like CCME. That is a fact that remains. They are trading at a 5-7 forward P/E , depending how they use their $100m. FMCN trades over a 20 P/E and is in a similar space, out of home advertising in China. CCME could be anywhere from $20-$40 and it could be justified with their numbers on a fundamental basis.

5) CCME has received a $30m investment from Starr International and has now been audited by a Big 4 Accounting firm.

6) CCME trading is volatile. On some days you see crazy buying and some days you see crazy selling. Yes it can be frustrating to watch. However, it has not been limited to CCME, many Chinese small caps have been trading with weakness and/or volatility.

7) CCME's float went from 750k to a much more institution friendly 8-10m in a short time period due to the 8m warrant holders that converted to common. That created 8m holders of stock with a low cost basis. When a float of any stock (especially a low float of 8-10m) goes through this you are going to see volatility until the float is in stronger hands no matter what the fundamentals are.

8) Some of the 8m warrant converts may have wanted to sell half or all of their low cost basis stock.

9) For all of the selling going on at times, someone with big money is absorbing all of these sells at a very nice price. Forward P/E of 5-7. The float is getting into stronger hands.

10) Naked shorts realize #7 and #8 and have been naked shorting CCME. CCME is on the SHO list due to naked shorting. These naked shorts will eventually have to cover soon. If this can be timed with the slightest of good news it will create rocket fuel like you have seen in many of my past monster stocks PDO, EFUT, RINO, etc. By the way RINO is amongst the most heavily shorted stocks. It encountered heavy selling/shorting in the teens. It is now in the $20's after hitting $30's.

11) Also for all of the naked shorts selling see point #9.

12) I have an expression "EPS does not lie". No matter what the chart says, the bashers, the skeptics, if a Company puts up numbers eventually the stock will get fully valued.

13) So it comes down to capital, cost basis, timing, and opportunity/risk. If your cost basis is low, you have adequate capital per your size investment, you believe in the story/numbers, then you have time and can also manage your opportunity/risk. If you are a daytrader and chased in the $14's then that is a different story. The market is not a formula nor does it make perfect sense in the timing you think it should. No one trading / investing style is always correct. It is always good to take at least some profit off when you have it if you are worried. (With CCME I have made an exception to this rule for myself because I have the capital to do so. However, the rule is the best advice I can give)

SKBI took forever to realize the gains I thought it could. Called it in the $11's and it hit split adjusted $24. RINO pulled back before it blasted off. PDO was naked shorted heavily before taking off. All I know is unless the story changes, CCME is greatly undervalued. It may get properly valued today, next week, or in 3 months, the question is do I have the time, cost basis and capital to manage the opportunity/risk that the market presents with CCME and every stock?



Tiger Woods said...

SKBI had a great Q4 report with P/E of 7 and still got downgraded. Any idea why?

Anonymous said...

any thoughts on your pick CREG? still in? where do u see it goin?

Superman said...

CREG needs some news...why move to nasdaq and remain silent? I am waiting for news of any sort........SKBI has some small time analyst out to get them.....he issued a short sell...same moron that issued a sell $11 split adjusted points ago...

mcx tips said...
This comment has been removed by the author.
mcx tips said...

i think NASDAQ Confirms Hack With Malware Into Portal that is main reason . I think but nor sure? What do you think?

Thank you,
Mcx Commodity Tips

DISCLAIMER is simply a blog that has information on stocks that the author Superman, likes or may trade. The author may, and usually does have positions in some of the stocks discussed on the site or in email alerts and is under no obligation to disclose the size of the position or the time that it was acquired. The author also reserves the right to buy or sell at ANY time before during or after it is mentioned on this site or an email alert, with no notice or warnings. The posts are not at all intended to be recommendations for anyone else to buy, sell, or hold. Investors should not rely on the information given by this site to make investment decisions.

No contributor of the his site is a registered investment advisor or a broker / dealer. We DO NOT recommend whether to buy, sell, or hold securities . Although we believe the information on this site to be accurate, we DO NOT GUARANTEE the accurateness and completeness of statements made regarding stocks discussed on the site or in email alerts.

The performance section provides information to the public on selected stocks profiled by this site. Past performance should not be used as an indicator of future performances. We try the make the past performance section as accurate as possible but DO NOT GUARANTEE that the information is accurate.

This web site and all email alerts sent by this site contain "forward looking statements" within the meaning of Section 27A of the Securities Act of 1933 and Section 21B of the Securities Exchange Act of 1934. Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, goals, assumptions or future events or performance are not statements of historical fact and may be "forward looking statements." Forward looking statements are based on expectations, estimates and projections at the time the statements are made that involve a number of risks and uncertainties which could cause actual results or events to differ materially from those presently anticipated. Forward looking statements in this action may be identified through the use of words such as "expects", "will," "anticipates," "estimates," believes," or statements indicating certain actions "may," "could," or "might" occur.

If any part of this disclaimer is not clear, please take the time to consult an attorney or investment specialist. Please take caution in all investment endeavors and good luck to all.

Again, My messages are not investment advice, investment solicitation or the like. Do not take action based on my messages. I do not guarantee or make claims to the accuracy of anything I post. I may buy or sell any securities I mention at anytime, even prior to posting. It is my opinion, that individuals should perform their own due diligence before investing in any stock at anytime and not base decisions on messages posted by other individuals. Individuals should assume 100% responsibility for their own investing. My messages are for my own entertainment only. LOW FLOAT stocks in particular can be volatile and are not for new traders in my opinion. I am not a registered investment advisor in any shape or form, please do not ask me for ANY investment advice.

Welcome to, blog home of Superman. Purpose of this blog is for me to discuss my trades and stock ideas (As well as opinions and rants on stock market related issues). I will mention the date and price I enter. As far as exits, I always try to take half off when I have some profit and if I believe in the stock, let the rest run further. I always also use mental stop limits, at which time I would exit and minimize any losses. I do not like to give price targets unless I can support them by P/E in some way or by comparison to another stock. I just post stock trades and ideas that I believe will go higher (or lower for shorts) and the reason I believe that. Individuals should have their own strategies for managing profits and losses. My stock picks tend to NOT be daytrades at all and many take time to move. I am not an investment advisor and this blog should not be considered or followed as investment advice.