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FMCN Halted Over 60% Down
Update 2: FMCN has now been halted 3 times. Dick Bove does NOT have a buy recommendation on the name
Update: Trading has resumed: modest dead cat bounce on short covering
It took the market only an hour or so to realize what is going on with FMCN. To those who shorted the stock outright - congratulations. To those who are long puts - you may be out of luck. The stock may reopen some time in 2012, long after puts have expired.
And here are the firms whose Asian research analysts who are joining the ranks of the unemployed next week.
And don't nobody say TheStreet doesn't provide value. Thank you Cramer:
NEW YORK (TheStreet) -- Focus Media (Nasdaq:FMCN)
has been upgraded by TheStreet Ratings from hold to buy. The
company's strengths can be seen in multiple areas, such as its robust
revenue growth, largely solid financial position with reasonable debt
levels by most measures, solid stock price performance, impressive
record of earnings per share growth and expanding profit margins. We
feel these strengths outweigh the fact that the company has had sub par
growth in net income.
Highlights from the ratings report include:
-
FMCN's very impressive revenue growth greatly exceeded the industry
average of 19.2%. Since the same quarter one year prior, revenues leaped
by 53.4%. Growth in the company's revenue appears to have helped boost
the earnings per share. - FMCN's debt-to-equity ratio is very
low at 0.02 and is currently below that of the industry average,
implying that there has been very successful management of debt levels.
Along with this, the company maintains a quick ratio of 3.87, which
clearly demonstrates the ability to cover short-term cash needs. -
Compared to where it was a year ago today, the stock is now trading at a
higher level, reflecting both the market's overall trend during that
period and the fact that the company's earnings growth has been robust.
Looking ahead, unless broad bear market conditions prevail, we still
see more upside potential for this stock, despite the fact that it has
already risen over the past year. - FOCUS MEDIA HOLDING LTD
reported significant earnings per share improvement in the most recent
quarter compared to the same quarter a year ago. The company has
demonstrated a pattern of positive earnings per share growth over the
past two years. We feel that this trend should continue. During the past
fiscal year, FOCUS MEDIA HOLDING LTD turned its bottom line around by
earning $0.71 versus -$0.78 in the prior year. This year, the market
expects an improvement in earnings ($1.71 versus $0.71). - The
gross profit margin for FOCUS MEDIA HOLDING LTD is rather high;
currently it is at 69.70%. It has increased from the same quarter the
previous year. Along with this, the net profit margin of 29.50%
significantly outperformed against the industry average.
Focus Media Holding Limited, a multi-platform digital media company,
operates liquid crystal display (LCD) network using audiovisual digital
displays in China. The company has a P/E ratio of 25.3, above the
average media industry P/E ratio of 12.2 and above the S&P 500 P/E
ratio of 17.7. Focus Media has a market cap of $3.5 billion and is part
of the services sector and media industry. Shares are up 15.3% year to date as of the close of trading on Friday.
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Reminds me of a Road Runner cartoon. Watch that first step Wile E.
http://en.wikipedia.org/wiki/Wile_E._Coyote_and_Road_Runner
That's all folks!!
Fear not, the supercommittee is moments away from resolution.
ZH,
Next time, can you get Muddy Waters to give you a quick hint in advance so that we can all profit from these please !?
By the sound of it everybody's at it anyway ...
You rang?
Beep Beep. :)
Mud E Waters, Super Genius!
Look at the perfect 50% retrace, otherwise known as a dead cat bounce. Glorious!
Does John Paulson own any of this? Another scam gook stock?
LOL! Cramer was pimping this bag of shit chi-Com stock. I bet Corzine would have been a buyer too.
that was fast
looks like roadkill
which turkey is next up for plucking?
11/21/11 - 05:07 AM EST $FMCN has been upgraded by TheStreet Ratings from hold to buy.
Saw that. Looks like Nomura made a similar call not too long ago.
effin HIlarious.!
Look a unicorn! Oh wait, it was a cliff - sorry. ^^
hey! my unicorns name is clifford! friends call him cliff!
Incredible. Read ZH article about FMCN an hour ago. Tried to short= no shares to short. Considered buying OOM PUTS with stock at 19.20. Went upstairs, talked to wife 10 minutes, came back and see this at 9.00. WOW- Someone made some $$ today.
Bloomberg:
Focus Media Holding Limited operates an out-of-home advertising network in China. The Company uses audiovisual television displays which are placed primarily in high-traffic areas of commercial office buildings such as in lobbies and near elevators, as well as in large retail chain stores and other venues.
China, always China...
good thing etrade couldnt borrow any shares for me to short.
how did you guys short this shit? Interactive Brokers? who's the broker ftw? all these short suggestions are great, except for when your broker won't let you... i tried at 20 today and it wouldnt let me.
IB all the way? mirror mirror on the wall, who's the least bankrupt online broker of them all...
IB had all the shares I wanted. $20 down to $18 no problem. not sure about now.
Is it bad when the volume lines are higher than the share price lines?
watch they'll blame the messenger and the speculators in the media
Yup. if not for the speculators there would be magic money everywhere!
11/21/11 - 05:07 AM EST NEW YORK (TheStreet) -- Focus Media (Nasdaq:FMCN) has been upgraded by TheStreet Ratings from hold to buy. The company's strengths can be seen in multiple areas, such as its robust revenue growth, largely solid financial position with reasonable debt levels by most measures, solid stock price performance, impressive record of earnings per share growth and expanding profit margins. We feel these strengths outweigh the fact that the company has had sub par growth in net income.
Zerohedge you can exercise puts even when halted, I did for PUDA coal earlier this year. I was given a short position which I could then cover at close to zero. Put holders are FINE!
Forgive me, but what IS "FMCN"?
What does this thing PRODUCE? Is it worth anything? Does it add anything tangible to net national worth?
Or is it just another casino counter...
COPY ----- fmcn
into your search field
PASTE ----- fmcn
into google search
READ
A couple post back it says something about Focus Media.
Thats got the fist letters covered "FM??"
FMCN is a Chinese Groupon.
Moose Pasture pump and dump.
"The stock may reopen some time in 2012, long after puts have expired." LOL stop trying to scare the new rich
turn that chart upside down and it looks like a .com stock from 2000
Is this a Cramer darling? He usually likes shit
Dude on bubblevision disagrees. lulz
Another supposedly billion-dollar company I've never heard of.
Does this tell us more about the stock market or about the value of the dollar? Dunno...
Whatever happened to companies PRODUCING real goods? Instead of "selling" something, advertising or "music" or "ambience" or whatever this thing is supposed to have been doing...this is what happens when fund-mad idiots and their "investors" chase performance instead of fundamentals...the secret to success in this market is to buy the stuff that actually makes money by MAKING GOODS and hold it long-term.
Apparently, China advertises like it produces.
if it was for real world, that chart would show UST
Does this mean Americans will never experience watching video in an Elevator? Shocking!
Just amass all BK's with mf glowballs and lock up funds for infinity. By the time any one realizes there's no safe haven electronic trading, it will ALL BE MOOT. Self evident truths are just that way. Maybe if you get off the western bankstering grid right now, this very day, you may avoid dieing a horrible financial death.
Just remember. Focus backwards is pronounced suck off.
Thats funny,because I thought Focus pronounced forward was Fuck Off.
Rhymes with your's ,Kinda.
Can anyone tell me why a stock is being halted from trading? Because it fell 'too much'? So what?
"Tech|11/21/2011 @ 1:48PM
Analyst Alleges Fraud:
Focus Media shares are cratering this morning after the short-side research firm Muddy Water Research issued a report this morning asserting that the China-based digital signage and billboard company has been committing fraud, and setting a Strong Sell rating on the stock.
In the report, Muddy Waters director of research Carson Block asserts that the company “has been fraudulently overstating the number of screens” in the company’s LCD display advertising network by about 50%. “We therefore question whether FMCN’s core LCD business is viable,” he adds."
http://www.forbes.com/sites/ericsavitz/2011/11/21/focus-media-shares-crater-analyst-alleges-fraud/
i went long the april puts, we'll see!
Also, this person is an idiot: http://seekingalpha.com/article/295861-china-technology-stocks-the-best-...
"Of these, FMCN and CIS present the most compelling opportunities. FMCN trades at the bottom of its current trading range at 14 P/E based on 2012 earnings, while earnings are projected to increase at 27% compounded growth rate from $1.20 in 2010 to $1.93 in 2012."
I hope that sob went long
"It took the market only an hour or so to realize what is going on with FMCN. To those who shorted the stock outright - congratulations. To those who are long puts - you may be out of luck. The stock may reopen some time in 2012, long after puts have expired."
Who writes this tripe?
And why are they still employed?
The street upgraded this stock from hold to buy at 5:07 am. Criminal!!
Well it's times like this when you see whose research the market has faith in. The upgrade from Cramer sure didn't do anything for it.
Hey I hear Cramer gets advice for kitco's Jon Nadler.
And Jon is so fucking dumb,he forgets there is a H in John.
Stupid fucker.
fair value is ~11.50
fair value < 0, bond holders could take big loss here...
yo ZH, can we get a corp graph on this article??
are you saying that FOSUN (the biggest investor in FOCUS MEDIA) is also a scam ?
Fosun is listed in Hong Kong HK:0656