IU Conference

Sponsored Content:

The Best Stock Market Buy Signal In 51 Years

by Alexander Green, Chairman, Investment U
Investment Director, The Oxford Club
Monday, January 5, 2009: Issue #910

Media pundits keep reminding us how tough 2009 will be economically. Nevertheless, I predict this will be a good year for the stock market.

How can this be?

The stock market is a leading indicator. It generally falls before consumers and investors realize just how bad the economy is.

It also recovers long before economic activity picks up. Perversely, that means stocks often plummet during good economic times and rally during recessions… or worse.

In the January issue of The Oxford Club Communiqué, for example, I note that:

Stock Market Buy Signal - Full Article


Investment U Black Board From the Editors at Investment U              January 06, 2009

Blockbuster (NYSE: BBI) - Another Nail In The Coffin

Can you hear that, Blockbuster (NYSE: BBI)? It’s the sound of obsolescence.

With the news that LG Electronics will be producing high-definition televisions that will stream movies from Netflix (Nasdaq: NFLX), you can add another nail in the coffin for Blockbuster.

At first, Netflix’s threat to Blockbuster seemed laughable. But now, with more consumers cutting back and looking for instant entertainment, low monthly costs and the ease of Netflix are really starting to squeeze Blockbuster.

And that’s not to say that Blockbuster hasn’t given its rivals a hand. There was the misguided and disastrous attempt to merge with financial-albatross Circuit City (OTC: CCTYQ), the botched roll-out of the “no more late fees - just other fees” program and the complete failure to see how a vindictive fee and collection system could alienate its customers.

But the competition isn’t just coming from Netflix. Redbox’s easy-to-use, dollar-a-day rental system is also stealing revenue. Most Redbox vending machines are located outside of parent company McDonald’s (NYSE: MCD) and inside grocery stores. Often in the same shopping centers as Blockbuster.

In the same way Eastman Kodak (NYSE: EK) missed the advent of digital, Blockbuster missed the transformative power of the Internet and subscription rentals. It’s playing catch-up. And only time will tell if BBI can recover.

Companies mentioned in this article: BBI, NFLX, CCTYQ, MCD and EK.

Blackboard Archives

Editor's Choice

  1. Warren Buffett's Investment Strategy: Time to Buy the Ultimate No-Brainer

  2. Deep Value Investments: How to Find Your Portfolio's Next Superstar

  3. Covered Call Investing: How to Boost Your Bear-Market Income Right Now

  4. The Gone Fishin' Portfolio: Get Wise, Get Wealthy... & Get On With Your Life

  5. Stock Market Research: How to Find Winning Stock Ideas on Your Own

Investment Research


More Investment Research Reports...

Additional Investment Resources

Search Investment U


 

Quick Find

 

Recent Articles

 

Investor Opportunities

Get Back Money that’s Rightfully Yours
In the last 5 years, the oil barons have milked consumers for $200 billion in excess profits. That means each year, thanks to inflated gas prices, you personally sent them thousands of extra dollars of your hard-earned cash. All gone forever.

At least that’s what we thought...

Here's a way - completely safe and legal - for Americans to receive a cash refund for all of the money they’ve spent on gas, plus make a steady income on top of that. Full story.


The "Perpetual Money Machine"
This portfolio gives you:
1) high current income, and
2) diversified capital appreciation. You’ll get 96 dividend checks (big ones) a year. Here’s how to set it up today.


What Readers Are Saying...

"Just a note to let you all know how much I truly appreciate the work you put into making Investment U and The Oxford Club available. My portfolio has changed dramatically since taking your advice in many of your previous columns. There is so much excellent info out there to expand upon and use to enrich our lives… thank you for your time and keep the great articles coming!" Sam T.

"Always enjoy what you have to say, and learn something new (and useful) almost every time. Thanks again for your outstanding work." Jeff K.

"I just want to say a quick thank you to Alexander Green for not only his sage advise, but his reassuring words of encouragement that we all need right now." Bryan W.