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Guest Post: Jim Altucher Proves Yet Again The Truth And Koolaid Don't Mix
By Geoffrey Batt, founding partner and managing director of Euphrates Advisors LLC, a frontier market fund management company
James Altucher’s work is supremely two things: bullish (permanently so) and flawed. It is on the latter that I wish to briefly comment.
Altucher penned an article in yesterday’s WSJ called “What 4 Bullish Billionaires are Buying.” In it he makes the following claim: “Very interesting new changes for Warren Buffett. The richest man in the world (or #2 or #3, it varies day by day) bought 17 million more shares of Johnson & Johnson (JNJ). JNJ has everything going for it: It has a 3% dividend, has raised its dividend for 48 consecutive years and trades for just 11 times forward earnings, its lowest P/E ratio ever.”
I suggest both the WSJ and Mr. Altucher take better care in fact checking, as J&J’s P/E ratio was lower on at least three occasions: 1947, 1950, and 1980.
- In 1947, J&J traded at a 52-week low of $24.625 and earned $4.64 per share, yielding a P/E ratio of 5.30.
- In 1950, J&J traded at a 52-week low of $ 48 and earned $6.49 per share, yielding a P/E ratio of 7.39.
- In 1980, J&J traded at a 52-week low of $ 66 and earned $6.50 per share, yielding a P/E ratio of 10.15.
Altucher fancies himself a market historian of sorts, often using data from the distant past to underpin his arguments about the present and future. I, too, see Altucher as a market historian- a revisionist one.
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Lying Sack of Sh*t Bitchez!
This guy is a complete and utter douchebag. The bastard spawn of Austin Powers and Roseanne-Rosanna Danna.
http://www.youtube.com/watch?v=Z7gLJr03vNQ
agreed. he could very well be THE most annoying permabull around. it could be due to his f*cking annoying hair or the way he blathers on about how everything is soooooooo undervalued and how there's all of this cash on the sidelines. i look at him and all i see is a devo reject in desperate need of a slap upside the back of the head.
not to mention he spoke of forward earnings estimates and, i think, the financial pages shown note most recent actual earnings. if so, that's a very big difference (forward nearly always greater, nearly no matter what).
Just goes to show in the MSM there is always room for bullish sentiment and endless forgiveness, or disregard, of their false, pumping, propagandizing utterances. Bulls are forgiven for being wrong, never a bear.
The ultimate permatard.
G O O F B A L L s
probably.
+ inflation .....and you have been screwed!
LOL. I guess he meant ONE of the lowest P/E ratios ever. Just got off the phone with Quincy. He recommends Ritalin.
Altucher better not sneeze. That used floor mop on his head will come flying off.
or crawl away...
Whew, you guys are on fire! LOL.
What rock did this guy crawl from under? Are you sure he isnt the long lost brother of Arnold Horshack?
He used to be a Cramer acolyte... I don't understand why we are wasting time talking about him.
This guy James "Austin Powers" Altucher leaves in another planet!!!!!!! He is just nuts!
Which one is Altucher????
http://img69.imageshack.us/img69/7606/same2.jpg
yeah, he came up in the cramer camp. don't know any who are worth listening to.
If he keeps making errors like that, eventually he'll have toupee for it.
Nyaaaah ha ha. +1
awesome
Fred, I logged on and suffered captcha embarrasment just to nominate you for funniest pun in a financial blog of the year! Blew a little budweiser on my netbook with that laugh!
Best joke in a week.
I knew there was a reason I don't like this guy; just another trader talking his book. He really needs a "haircut."
He's not a trader. Please don't insult us.
If by trader you mean speculator, please don't insult us. :P
Can't anyone spell around here? It's traitor.
didn't victor niederhoffer fire this jackwagon some years back?!
Austin Powers
Yeah baby yeah
this is great!!!I love the newspapers!!!!!
I see this fella on CNBC and always know what position he will take. He has been taken down a couple of times, and hard. I think he's Johnny Bravo. Yeah, that's it.
Yep, he might be.
In fact, the expression on his face in the picture above definitely has the "jizz in his pants" look.
LOL. Didn't see that coming.
Ahhhhhhhhhhh... good ol' fact checking
24 Things You Might Be Saying Wrong -
http://shine.yahoo.com/channel/life/24-things-you-might-be-saying-wrong-2338028/
Why is he on ZH?
Why is he on ZH?
@putbuyer
Was that directed at me?
Nope. This guy is a buffoon. He matters not. A propagandist.
Speaking of JNJ, anyone watch the documentaries, "born rich" or "the one percent" by Jamie Johnson? What is with that guy... seems like a normal person. :)
i did, sicking story line, i thought. rich kids are really fu@k'd up, seriously. even the J n J kid especially. i know a lot of really rich kids, not fun to be around nor talk to. mostly leeches, to the world, but you knew that, right franky. look at shit hole buffet did to his granddaughter. ass. just ruin her life from the get-go, punk.
on Wed, 08/25/2010 - 20:24
#545013
Why is he on ZH?
@putbuyer
Was that directed at me?
Huh, ok. No response putbuyer? If you really feel that way, tell me what you are feeling? If not, my imagination.
Someone needs high speed DSL around here. Plus, I just smoked marijuana and may have freaked a bit.
Edit: Jumpy may be more like it.
Gimme some pot brother!
You guys can get a ticket for that.
McLovin? Were you violating that young girl? Were you violating her with your penis?
Another guy who did his research by Google alone. It's not just fair using old newspapers dammit!
ok, i just read through the entire thread. hah, pot will do funny things sometimes.
Now, play the thread backwards...Even funnier, no?
Computers aren't fond of fractions. It's easier to program with decimals.
oh arca.
THAT FUCKING SACK OF SHIT! Some retarded quotes signed the fucker:
"Oh please Mr president, won't you make the stock market go up"
"The Fed should regularly buy S&P 500 futures before the open, at midday and near the close, when it'll get the most bang for its buck"
If you post his ugly fucking face here again, I will fucking leave and never come back! Altucher, you fucking pseudo communist!
F.Y.I., there are respectable older women on this website who enjoy ZEROHEDGE for the education it provides. please, no swearing, no foul language as a respect to the creators of this wonderful website. Truly, if I have the misfortune of reading your awful postings again I will junk you .
Oh I forgot, we no longer have freedom of speech. When it comes to Altucher, I will curse as much as I want.
You are always free to be a douche-bag - and the rest of us are free to junk you.
Just because you can do something doesn't mean you should = it's called tact and wisdom
Can I still smoke marijuana? I have a perscription. ;-)
No Bogarting. Pass it over to me.
This is Fight Club, a dude kind of place. There has to be some place where we dudes can be dudes and not eunuchs like in the cublices at work. If you are not willing to put up with our dude rules here at Fight Club there are plenty of other financial sites that suit your needs. If you still don't get it go see the movie Fight Club.
please, no swearing, no foul language as a respect to the creators of this wonderful website.
Now that, is fucking hilarious. I like your avatar by the way - and you said "shit" one day ago!
Like your avatar aswell. But if you don't like to say fuck until your jaw drops off, I'm uncertain if this is the right venue for you. Somebody must've broken the first rule of Figh... I mean ZeroHedge when bringing you in little lady. You don't talk about ZeroHedge bitchez!
First Rule of ZeroHedge ...you don't talk about ZeroHedge.
Lynny, have you seen the film Fight Club? It is not a required part of your education but it is HIGHLY recommended.
After vigorous sex with Tyler Durden:
"My God. Lynny hasn't been fucked like that since grade school."
Fuck off, cunt.
Fuck off anus breath. You're soooo tough, I'm sooo impressed. Show some fucking respect and give her room to work it out.
Are you teabagging the masogonists again? ;)
It is too easy, isn't it. Should I apologize?
lynnybee,
I have mixed reactions on this issue. I see the merit in cleaning things up so as to not alienate folks and drive them away from the information but there are a few of things to consider.
1. The fight club motif. By the way, folks are being nice, but technically you have stepped into it. Now you gotta fight. Got it in you? Best be back around to defend your position or capitulate. That is the most respectful thing I can do for you here, call you out.
2. Male culture. I would rather know how they really are and meet them in that space than have them be fake and do and be something else behind my back. Then again, I really like men, you know where you stand. Us women can be so damned catty at times. I hate that stuff (and I am not good at it).
3.THIS SHIT (what is happening in our economy and government) PISSES ME OFF AND WHEN I'M PISSED I'M GONNA SAY THINGS THAT AIN'T SO NICE. They are raping and robbing us and I am supposed to be a "respectable woman?" Fuck that. I want them to think twice. I want them to wonder if I'm carrying or if I'm going to slit their throats. They need to be worried about me. It is because they are not afraid of us (Joe and Joesephine 6P) that they do what they do. Cussing serves as a means to vent and helps get you pumped up for battle.
BTW, this is how women get raped, by being passive, submissive, polite, cultured, "respectable." Screw that lynnybee. I will not submit. I no longer wear heels anymore, at least out, I will not be an easy target. In self defense class, one of the first things you are instructed to do to an attacker is yell at him: STOP. If he doesn't, you escalate, turn on him and tell him to FUCK OFF. But you gotta mean it, so you practice it in situations when you are not under pressure. Many times "Go fuck yourself" is enough to get a guy to stop bothering you.
I submit that getting used to the language around here may be good for you. They are just words. FUCK used to be a court term, in one version of history, because we did not want to say Fornication Under Carnal Knowledge out loud in polite company.
I hope you see the effort these men took to try to explain some of this, and feel the good will that was in several of these posts. I hope you feel my good will and reconsider your position. We want you here. But using sanitized language won't cut it and it is insincere, any way.
O_O
Well there's interesting things going on in the group conciousness. Basically the people in charge have lost the ability to mount credible justification defenses. It's a weird tactic but usually when a person loses that defense mechanism they go to an acting crazy hamlet kind of defense. But the powers that be still makeup most of the concious energy flows. Once people can defend against the concious stuff they flood with the unconcious energy. It's a misdirection dillutionary tactic to take the heat of focus away. So you are seeing people sort of act and react in non-sensical ways with no explanation.
For instance is this lady what we would believe her to be or is she simply a sensitive 'patsy' fall guy heat sheild.
http://www.google.com/hostednews/ap/article/ALeqM5jOJSMQz-SqU5b8hgqE2y7G...
I kind of agree with lynnybee in that it is possible to express oneself completely while still avoiding cultural slurs and shock language. I like to choose my words carefully and pack meaning into them. But then again, if shock language is your thing and the best way you can express yourself, have at it.
That's all I'll say on the matter... there's no benefit in arguing the point.
I sort of thought lynnbee was speaking in jest. If not, lynnbee would probably benefit from the guidence of someone like, mscreant, perhaps. At least until she understands that most of what is said around here isn't "personal."
Remember folks, lynnbee is one of the few "admitted" converts (that I remember) to the ZH way. We need all we can get. Now move along...fucker.
FUCK used to be a court term, in one version of history, because we did not want to say Fornication Under Carnal Knowledge out loud in polite company.
i didn't know this, no idea. thanks, for the wake up call.
Love the wake up calls...
yeah i agree this guy doesn't even look like he has a good grasp of reality, much less the stock market or what is a good value; has there ever been a market top, or for that matter a developing bear market, where there weren't people swearing that this or that stock was the cheapest it's ever been, only that it got cheaper?
Who cares if he's right or wrong. TD puts his shit in the limelight because he's such a damn freak. Look at the guy. I would have picked on him all facking day in high school. Admit it. You know you would like to punch that guy.
As a guy that got picked on in school, I take offense to that remark. OTOH, I grew out of my gawkiness by the age of 14 and proceeded get more ass than a toilet seat. Any questions? *proverbial jaw exended for knockout punch*
Dude, you are so high.
At least 'under the influence', he really is the Village Idiot.
"At least 'under the influence', he really is the Village Idiot."
That would be stating the obvious! You are kind enough to differentiate between both states of mind, though. Curious - if you were being sincere vs. sarc., do you have an issue with marijuana? just curious, not looking to pick a fight. Thanks.
"Dude, you are so high."
still working on my skills.
You are truly a cocksucker. You remind me of Altucher himself. You two should get a room.
"You are truly a cocksucker. You remind me of Altucher himself. You two should get a room."
Two thoughts come to mind-
You see a guy with hair like that, you can safely ignore him.
Punch the puff who let's him write for WSJ aswell...
You are on fire tonight, Young.
Hehe chucks, if it was legal I would set Altuchers house on fire.
"You see a guy with hair like that, you can safely ignore him."
He does have that "I could be smart" look. Need to hear him speak.
Hair? Come on. Gates, Trump, Buffet, Plant, Paully D. Chill the toilet seat. I dont see your pubic headed pic.
Doesn't Altucher look like he could be Bill Gates' fuck-tard son??
May I join your parrty Young? Anyone in the money business who is even remotely responsible for the well being of another's life savings, or what have you, should not be a fucking salesman when it comes to the truth. You know your shit, you protect your client, and fine, you make it a win-win.
Edit: sorry lynnbee.
Yes you may, if you stop bogarting the marijuana!
My spouse says I have a bad habit of stating the obvious so I am going to bed and will sleep on it. Good night.
Edit: Now she's telling me people will be cheering the fact that I am finally logging off. And she says SHE's the boss.
You know she's RIGHT. (about the boss part)
that's a big problem with historians of all stripes, they tend to be of the revisionist bent.
I think he is wearing this years BEST KENTUCKY ROAD KILL on his dome..
So Buffett, who loves America, is making depressionary buys in my mind. A Rairoad company and a home goods/personal sundry company, things that will last through and will come out well on the other side of a massive downturn.
just looking at the youngster i wonder where is the credibility? Older traders may be more inclined to be truthful or at least lie well.
Igor, turn the machine on!!!!!!!!!
this tool was writing for thestreet.com for a while.
Never trust a guy with a Phil Spector haircut.
If everyone in America died, this douche bag would be bullish on graveyard land sales.
Haha. I got in trouble on seeking alpha for bitching out a guy who had a huge article about how to trade the devestation that would come from the H1N1 slaughter.
I'd punch em if I wasn't afraid of getting white zombie fag juice on my hand. Get a tan Poindexter!
And I'd kick you really hard in the asshole making the blood down there shoot up into your circulatory system blacking you out. Just because you're being uncontrolled, unfocused mean. Which isn't good for anybody.
"I'd kick you really hard in the asshole making the blood down there shoot up into your circulatory system blacking you out."
sounds like someone has been training in the martial arts or good descriptive for kick in the ass.
I would love to see Gilbert Gottfried do an impression of this guy.
or Eddie Deezen
http://www.flixster.com/actor/eddie-deezen
Rick Moranis.......Honey I shrunk the portfolio
http://www.clevescene.com/images/blogimages/2010/06/22/1277228068-rick_moranis.jpg
There are many financial blogs who blindly push dividend stocks to sucker investors these days. It is an "easy" sell. JNJ pays 3%!! more than you can get on a 10 year Tbond.
The "hot" list of dividend stocks is a story every day to this crowd. They are in love with the "dividends for life" idea.
I think these fools will lose a 1/3+ of their capital over the next year or so and then they will puke up this bad idea. Dividend stocks are way overbought. The are overbought by those that see retirement around the corner and are looking for ways to boost income. That crowd is way overinvested in stocks. There is nothing for them to do but sell. This is (another) accident waiting to happen.
Did anyone notice that JNJ had 3 problems that caused them to do product recalls in the last year? The stock is at 58. $1 higher than the one year low set back in November 09. This is dead money. No one who has invested in this dog is above water. By Christmas the suckers will sell it at 40 and wonder why their IRA is not doing so hot.
Looks pretty weak technically as well. Thanks Bruce, it's gonna be a pleasure shorting that one while "the investors" run for the door simultaneously!
This guy? ... is an inverted dick head.
Y-Y
Aldoucher is a moron; he's not even worth discussion.
off topic: could it be time to buy a home? Time magazine is questioning the value of home ownership on this week's cover.
I don't think so, either, but does that mean that Time is correct? How is that possible? I'm very confused.
the only person I've ever seen who's more detached from reality than this numpty is Mike Norman. he's actually batshit insane. but very very funny at the same time.
"does that mean that Time is correct? How is that possible? I'm very confused."
You are confused because you are READING TIME magazine...
It is color toilet paper... Time is desperate for readers to stave off bankruptcy... they will even sound like Tyler to find readers...
That is why the idiot douche bag Murdoch via a WSJ op-ed claims tax payers need to bailout corrupt TBTF corporate media whores...
Time, Newsweek, NYT, WashPost are all bankrupt TBTF morons not even worth discussion...
Here are some amazingly bone-headed articles by James Altucher on Seeking Alpha and elsewhere. Note the dates.:
1. "The Underlevered American Household"
Friday, June 23, 2006
http://bigpicture.typepad.com/comments/2006/06/james_altucher_.html
(This is day-after critical commentary on JA’s article, which is behind a paywall.)
2. 'You Can't Go Wrong': Stocks Still Cheap, James Altucher Says”
Aug 28, 2008
http://finance.yahoo.com/tech-ticker/article/51235/You-Cant-Go-Wrong:-Stocks-Still-Cheap,-James-Altucher-Says
Excerpt:
The rally left the Dow up 213 points at 11,715, within striking distance of a weekly (and monthly) close above its 200-week simple moving average of 11,740 and (possibly) its Aug. 11 high of 11,867, notes veteran market watcher Richard Suttmeier.
Altucher also believes the housing crisis and subprime news is "baked in" to the market. The fund manager and author shares some of his favorite individual names in the accompanying video but declares "you can't go wrong," with a basket of stocks as a long-term investor.
3. “27 Reasons This Rally Is for Real”
April 19, 2010
http://seekingalpha.com/article/199358-27-reasons-this-rally-is-for-real
(That was one week before The Top; the market’s down over 10% since then.)
4. “Why Gold Is the Worst Investment Right Now”
July 12, 2010
http://blogs.wsj.com/financial-adviser/2010/07/12/why-gold-is-the-worst-investment-right-now/
(GLD is up about 2% or 3% since that date. Based on his track record above, the implication is “to da moon.”)
This guy is a propagandist criminal tool. That would be why I would want to hit him. Face it, he could work on his hair and his tan and still be ugly. So why bother?
Well there's no need to question his sincerity. He's sincerely a total tool.
More nonsense from Altucher here: click
http://thetechnicaltakedotcom.blogspot.com/2010/07/bad-journalism-and-ba...
You guys are way too rough on Altucher. Have you ever experimented listening to his jibberish while you're stoned out of your mind? (Disclaimer: Drugs are bad for your health and listening to Altucher is bad for your financial health).
So are you posting this as a way to capitulate that the economy is indeed "Up in smoke?"
Nah, I just don't like picking on quirky morons. Read my comment tonight, more on the economy and stocks.
i have no problem at all picking on them when theyre trying to affect your financial well being.
and I think you meant "moron, the economy & stocks" no?
funny thing is that Altucher gives Druckemiller as an example of bullish billionaire.... didn't he read that Druckemiller has had enough, and is liquidating???
One of the worst out there.
Just one example: Altucher was pumping BAC and EMC in mid-August 2007, basically nailing the tops for both.
http://www.controlledgreed.com/2007/08/market-consider.html
Also he came out (again) the other day with "Buying Gold is a Mistake"
http://finance.yahoo.com/tech-ticker/buying-gold-is-a-mistake----stocks-offer-better-returns-james-altucher-says-535346.html
Has he ever been right on anything, even by accident?
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