Summary Pre-market drop makes perfect sense. The pace of user growth has declined at a much early stage than expected. Valuation is not justified based on this growth. Using a variety of scenarios, Twitter is at minimum 10% overvalued even including the pre-market decline of 11-12%. Around 4-5 hours before the market opens, Twitter (NYSE:TWTR) shares are down … [Read more...]
Archives for April 2014
Sanmina: How Watching Guidance Lead To This Profitable Trade
Summary Tracking management guidance and conference calls can give you hints of what is to come. Sanmina's quarterly performance was improving and management was optimistic about 2014. Management's credible historical guidance convinced me that the market would like 2Q14 results. This is a simple yet powerful example of a plain analysis that can be applied to … [Read more...]
