Cramer's Rants / Stockl's Lemons

[IIC]

Whatta way to start the new year...I got up at 6am...my wife turned on the TV and who's on???...CRAMER...He likes housing stocks in 2007...Is he nutso???

[IIC]

Will be posted at Stocklemon later:

Stocklemon takes a Dive into Ocean Bio-Chem (NASDAQ:OBCI)

The New Year begins with the bubbly getting popped over this tiny supplier of cleaners and polish for cars and boats.

A near-dormant dollar stock for years, is Ocean Bio-Chem the guest at a spontaneous market party on improving fortunes, or is it?

It started in November, when OBCI put out a PR touting a "profit jump" of over $1 million on a sales increase of just $1.8m year over year for the quarter.

http://biz.yahoo.com/iw/061114/0184307.html . The stock tripled in a day.



Strangely, the word "receivables" never appears in the PR or the numbers cited. Yet the 10-Q shows an eye-popping increase in receivables of from 2.0 million to over $5.5 million, only half of which can be attributed to the much discussed inventory drawdown. Of more concern, cash is down consistently all year, now to a paltry $91,000.

http://www.sec.gov/Archives/edgar/data/350737/000035073706000032/0000350737-06-000032.txt

On January 10, the company issued an 8-K promising more shipments to Walmart. Is this a great research find by savvy traders, or a setup by the company? Why no PR? Stocklemon suggests that Walmart had to approve, and they wouldn't allow it.

Meanwhile, as frenzied daytraders drive the stock towards $6, maybe they ought to look who's really going to profit from a juicy new price: CEO Peter G Dornau. Dornau provided a "revolving credit facility" to the company of $1.5 million, for which he receives 1 million warrants at about a dollar, and the right to convert the entire debt to shares at a buck. This could grant him 2.5 million shares - a $10 million dollar payday on a 1.5 million dollar loan!

Notice he converted in the same press release with the alleged inflated earnings.

http://www.marketwatch.com/news/story/ocean-bio-chem-profit-increase-jumps/story.aspx?guid=%7BF9736F49%2DE1C1%2D470D%2DA7E0%2 D1C3C2868DE6E%7D&newsid=884569914&&dist=bigchartss ymb=OBCI&sid=3500

It will take 15 quarters of profits equal to the "great quarter" of September just to pay off this bonanza!

With a fresh stack of "Form 4's" filed last night, and a two week old S-8 registration, yesterday's party begins to smell carefully orchestrated, rather than a spontaneous celebration of a small company that made it bigtime.

Stocklemon eagerly awaits Wal-Mart's comment.

Cautious investing to all.

[IIC]

Billy...when you gonna resume talking about your crooked friend?

http://news.com.com/Jim+Cramer+draws+fire+over+manipulation+comments/2100-1038_3-6169045.html

[billyjoe]

Doug,
Never heard of the guy. Maybe I just don't recall 'er I'm getting up in years.
------------billyjoe

[billyjoe]

OK I'll admit I still watch. I'd advise anyone to observe his recommendations closely for a couple months before taking action unless he alerts you to something terrible about a stock you're holding. Sometimes he'll give a "buy" signal to a caller just because he can't think of anything bad to say about a stock and has to say something. He's often correct about equities he mentions as being in his action alerts charitable trust. booyahboyaudit.com claims his track record to be over 50% correct for the past 2 years. He also admits his failures periodically which is more than I can say for most of the other pundits. Be cautious and do research before buying anything.

---------------billyjoe

[peanuts]

OK I'll admit I still watch. I'd advise anyone to observe his recommendations closely for a couple months before taking action unless he alerts you to something terrible about a stock you're holding. Sometimes he'll give a "buy" signal to a caller just because he can't think of anything bad to say about a stock and has to say something. He's often correct about equities he mentions as being in his action alerts charitable trust. booyahboyaudit.com claims his track record to be over 50% correct for the past 2 years. He also admits his failures periodically which is more than I can say for most of the other pundits. Be cautious and do research before buying anything.

---------------billyjoe

At the beginning of the year, Cramer had a three show special while you were in the hospital, billyjoe. In these shows, he highlighted his picks for the year for value, growth, and speculative stocks. I took notes and wrote down the prices for the following day on his picks. Here are the results to date:

[riverbabe]

Cramer's Career Suicide?

This is a link to an article in slate.com by Henry Blodgett, saying that what Cramer said in his infamous video might end his career!

This is really a worthwhile read! Riverbabe

http://www.slate.com/id/2162460/pagenum/all/

[jiesen]

This is a link to an article in slate.com by Henry Blodgett, saying that what Cramer said in his infamous video might end his career!

This is really a worthwhile read! Riverbabe

http://www.slate.com/id/2162460/pagenum/all/

it should at least end him up in court. (civil/criminal/both)

but his career as a clown? it may just end up helping him- look at Martha Stewart... remember- no publicity is bad publicity (if you're like that).

[IIC]

Forgot to mention the new Stocklemon feature yesterday... IOC

[IIC]

Oh My Gosh!!!!...Look what you did Billy

http://images.google.com/images?svnum=10&um=1&hl=en&ie=ISO-8859-1&oe=ISO-8859-1&q=IIC+100&btnG=Search+Images

[IIC]

Hey Billy...Bookmark This:

http://www.frauddiscovery.net/products.html

Now, I read Barry's "Clean Sweep"...Not bad for an elementary school level...Interesting to know what he did...But he never reveals "HOW" he did it.

[billyjoe]

According to the Best to Worst performance rating picks of Cramer's stocks since 7/28/05, 836 have gained, 347 have lost, and 458 have appreciated more than 15%. The pricing starts the first day he recommends the stock on his show and ends the first day he says sell or continues to the present time if no sell is mentioned.

----------------billyjoe

[IIC]

???????????

Billy...What happened to this thread???...I thought for sure that SKI would RAZZ me that HSOA was # 100 on my IIC 100 this week...Heck, it's a mechanical scan...But I was sure tempted to delete it...LOL

Now SL and HSOA are having it out...Where's the scoop Billy??? http://stocklemon.com/

[billyjoe]

Billy...What happened to this thread???...I thought for sure that SKI would RAZZ me that HSOA was # 100 on my IIC 100 this week...Heck, it's a mechanical scan...But I was sure tempted to delete it...LOL

Now SL and HSOA are having it out...Where's the scoop Billy??? http://stocklemon.com/

Doug,
HSOA did jump off your list and tried to punch my eye. It was my biggest % gainer at 119% (14.05 on 5/23/06). I don't think it ever got that high again.

---------billyjoe

[IIC]

More on HSOA: http://www.thestreet.com/_yahoo/newsanalysis/homebuildersconstruction/10361416.html?cm_ven=YAHOO&cm_cat=FREE&cm_ite=NA