Unbelievable

That's really funny, king of all nonsense (by O Pequeno Investidor):

Pessoas comuns já estão lucrando na bolsa de valores

The Oscar for nonsense goes to this guy

Exame: Bolsa não é para pessoas físicas, diz especialista


Pequenos investidores teriam poucas chances de ganhar dinheiro com ações devido à composição do índice Bovespa

São Paulo – O que segue abaixo é o depoimento de um especialista em finanças que já serviu de fonte de informação para centenas de reportagens sobre a bolsa. Sob a condição de não ter seu nome publicado, ele fez uma análise bastante sincera sobre a chance de as pessoas físicas ganharem dinheiro no mercado acionário e os motivos para a fuga de 38.000 investidores da bolsa nos últimos 12 meses - tema da reportagem de capa da edição de EXAME que está nas bancas. Seguem abaixo os principais trechos da conversa:

Just for Fun

Take a look when you have nothing to do, just for fun, and to see who your competitors are:

http://www.guiainvest.com.br/mural/mndl4.aspx

Why I can make money

I'm not a smart guy but I'm greatly happy to be surrounded by dumb people.

Look what happened with Mundial, a piece of shit that worth nothing.

• It has been trading for 30 cents since begining this year;
• Then, some crazy optimism soared company share price to above 5, an increase of greater than 1.500% in less than 3 months;
• With that valuation, company multiples were: P/E of 130, P/BV of 15 and EV/EBIT greater than 60 (high indebted company);
• During the gold time, average volume was nearly 200 million, one of the greatest of Ibovespa;
• So unexpected pessimism dropped prices over than 85% in just 3 days!

Also worth reading this article. Following are some highliths:

People Never Learn

Most people never learn.
See the bullshits this moron says about Buffett here, if you have time and stomach for it.

Buffett said in its annual meeting in April that gold is useless and that people act like fools when the price is near the highs. "There is no doubt about the effect of price increases in behavior," said  Buffett.

What Blue Chip is?

According to Wikipedia, blue chips comes from casino, which originates in poker , where the blue chips are the most valuable. It is used in stock markets by analogy, to describe actions of well-established companies, large national and international, with proven profitability, especially in the long term, and with few obligations, resulting in positive economic and financial situation.

But this news promoted Mundial and Ecodiesel, two pieces of shits highly traded on Bovespa,  to blue chips, just because a crazy bunch of speculators are now very optimistic.

Unbelievable!

Small Caps - Nonsense

Com a bolsa em queda, garimpar boas small caps ficou mais difícil

Did you understand that? Or is that just nonsense?

That's the end

Geração Futuro troca Randon por OGX em carteira recomendada para maio

Complete Nonsense

I can't get used to this kind of complete nonsense:

Santander tem sinergias com Real de quase 1,9 bilhão de reais
Valor ficou 87 milhões de reais acima do previsto


So what? Who's gonna know whatever they calculated?
Information completely unnecessary, to say the least.

Randon is discounted!

Wait! I'm just kidding about how this guys makes a valuation:

Boas perspectivas e desconto pesam a favor da Randon em carteiras de abril

Desconto em bolsa

Além disso, os analistas também veem a empresa sendo negociada com um atrativo desconto em relação aos seus pares de mercado.

Para Artur Delorme, da Ativa Corretora, no ano passado, ao mesmo tempo em que a companhia apresentava um desempenho operacional “muito bom”, em linha com seus pares de mercado, a performance na bolsa era fraca. Assim, as ações da Randon teriam acumulado um “atraso” na comparação com outras empresas do setor de autopeças, como por exemplo, Marcopolo (POMO4) e Iochpe-Maxion (MYPK3).

Nothing about the business, earnings, yield, and the price in relation to that... I can understand why they publish this kind of news. I really do. But I can't understand that someone who sees that shit rush to buy some stocks!

Mr. Market x MisterX

Again, if you can't understand that, you should better be out of stock market:

In BRL Millions
Asset	Mkt Value	Equity	Revenue	EBIT	Net Income
LLXL3	3.265	954	17	-49	-100
MMXM3	5.774	887	669	-13	-102
MPXE3	5.454	1.658	98	-244	-256
OGXP3	64.213	9.225	-	-288	-41
OSXB3	5.942	2.389	9	-172	-77
PRTX3	3.791	20	-	-0	-2
Total	88.440	15.135	794	-766	-579

Robot Trader

I, For One, Do Not Welcome Our Dumb Robot Overlords

From the FT: stock in Berkshire Hathaway, Warren Buffet’s company, jumps every time Anne Hathaway, the actress, gets a lot of media play.

Why? The claim is that it’s the fault of robotrading algorithms, which now account for most of the market, and which sometimes rely among other things on trends in news coverage.

That’s the kind of dumb mistake human traders wouldn’t make. Unfortunately, they’d make other kinds of dumb mistakes.

Profit Visibility

Today I learned a new (and stupid) concept that analysts use in their analysis: profit visibility.

See for yourself at this article.

My understanding of "invisible" profit: companies whose combination of valuations (by fundamental criterias) and market price offer a good discount, but the analysts say they are not good investments, because they think that the other analysts think there's not so much value.

I think the analysts are trying to predict the future availabily bias...

Well, while everbody is wondering about what everybody else is thinking, I'm receiving a juicy 20% dividend yield on Eletropaulo (ELPL4).

Who invest in stocks needs to follow the market daily?

According to Infomoney and all their analysts and experts, yes!
And, the most amazing, even for whom invest aiming the long-term!
I'm not angry or shocked, I just posted this for you to make the same I did: give a five star rating to this beatiful news!

Is asset maintenance an investment?

From ALL (ALLL11) 2010 earnings release:

Investimentos

"Os investimentos em expansão da operação brasileira cresceram 31,1% em 2010 sobre o mesmo período do ano anterior, enquanto os investimentos em manutenção aumentaram 8,7%, de R$279,7 milhões para R$303,9 milhões."

Investiment, in my humble understanding, is something that may increase the company's earnings power in the future. Money used to keep the trains rolling the same way they do today is expense.

An idea that should be propagated

Sempre é bom dar uma olhada no retrovisor

The article talks about a study that found that stocks have some kind of inertia, i.e. the best stocks in a given year probably will be good performers in the next year.

That is one of the most stupid ideas I ever read, so it should be propagated.
That way the Intelligent Investors can work in a less competitive environment.

Another Example of Market Mood Swings

After PETR4 fall down 23% in 2010, Infomoney announced today that optimism increased, and the stock has soared up in response.
Otimismo com a Petrobras aumenta e ações respondem com valorização na bolsa
And, what's really unbelivable, all the analysis was made because PETR4 gone up by just 1.37% in the period!
For these guys even an insignificant move like that has to a meaning.
Amazing!

Long-Term in Investments

Yesterday, tuesday 15, Infomoney, a supposed news investing site, announced that USA future market was lower because of indicators disap­pointments.
Bolsas dos EUA em baixa, pressionadas por decepção com indicadores

Today, the same site says that now USA future market advances exactly for the opposite reason: good indicators!
Bolsas dos EUA avançam com olhares voltados para indicadores e resultados

What this guy is talking about?

You can't believe whatever you read. See, for example, what this expert says about IBOVESPA:

Luiz Fernando Figueiredo, da Mauá Sekular Investimentos, Ex-BC
EXAME.com - É interessante investir na bolsa neste momento?
Figueiredo - A Bovespa já caiu bastante neste ano enquanto as bolsas americanas subiram. Já estamos chegando em um nível em que a bolsa brasileira passa a ser interessante de novo. Com 62.000 pontos, o Ibovespa estaria sendo negociado a um múltiplo equivalente a 9 vezes o lucro das empresas incluídas no índice. Isso seria um sinal de que a bolsa já começa a ficar mais para barata do que para cara. Não estou dizendo que vai chegar a 62.000 pontos, mas que me parece interessante comprar nesse nível. O lucro médio das empresas da bolsa cresceu 27% em 2010. Neste ano, vai ser 17%, o que ainda é muito bom.

USA x Brazil P/E

http://www.valoronline.com.br/impresso/investimentos/119/382768/nuvem-passageira

As stated by an article published today in the Valor Econômico newspaper , the diretor of Schroders Brasil, Beto Scretas, said that it doesn't make sense the brazilian market to be valued at a lower PE than the US market, because of the different growth prospects.

The intelligent investor knows: it's foolish to pay high for future growth.