Happy New Years

Happy New Years from URBANOMICS

I wanted to wish everyone a Happy New Years. To all the first time investors, part-time investors, or people interested in their financial well being: Welcome to the site that explains everything financial in an easy to understand format.  We have it all covered from how to check your credit for free, tax advice, and where to invest in the complex stock market. 

Questions on Technology Stocks

I wanted to post my high level thoughts on three technology stocks that I was asked to consider.

Applied Micro Devices (NYSE: AMD) - I am nervous about this stock because they’ve never been able to get over the hump. I tempted to call them a dog with fleas. There is reason to be concerned as the Board of Directors (BOD) canned the CEO because they thought he wasn't built for the next wave in the PC industry… tablets. It is mind boggling that the CEO may not steer the company in the right direction. How hard is the chip sector to understand, smaller devices (phones, tablets, netbooks) is the direction to go.

URB Recommendation – Pass on this pup



Coinstar (NASDAQ: CSTR) - I have really liked this stock for quite a few years now. This one qualifies as one that got away because I liked it back when it was in the $20 range. I won’t take any credit because a friend who is very loyal to Motley Fool uncovered this gem awhile back and has held ever since. Not many realize they are the brains behind Redbox, which everyone seems to be familiar with. There stock recently fell (roughly 25%), I believe out of concern that the company was being squeezed on their margins.

URB Recommendation – Need more research to identify buying opportunity


Netflix (NASDAQ: NFLX) – I learned from my Napster days if it’s so simple and convenient for people to adopt, then it will be a hit. And Netflix definitely qualifies for this category. I have not used the service but they took off and never looked back. This story definitely qualifies as one that I left get away and I’ve been watching closely. I don’t necessarily like what I see at this point: Plump valuation, hedge funds taking the opposite position, and new competitors popping up everyday. I see this now as a crowded space. They are facing new competition from Hulu, Apple TV, Google TV, DVR's, Redbox, etc.

URB Warning – The Chief Financial Officer (CFO) recently quit, which is strange?!?! Also, when the hedge funds came out shorting and talking bad about the company…the CEO responded….ODD, as CEO don’t you have anything better to do?!?!?

URB Recommendation – More tempted to short this stock, but don’t feel bad about doing nuthin!

Dow take a Bow

Ok maybe more like a curtain call because the Dow Jow industrials has been on a tear. And for the first time ever, the DJ closed above 14000. It was just 3 months ago where the Dow was at 13000, so to put it simply that was a big move. Has this affected our readers here at Urbanomics...you bet.

Urbanomics Flashback:
I'm taking you back to a 2005 article I wrote. What names have we told you to buy, how about Microsoft which hit a 5 year high Don't believe me check out our article here: http://urbanomics.blogspot.com/2005/09/dynasty.html

Urb Homeruns
Check out this list by typing in the name or ticker in the search toolbar on your upper left hand corner and see for yourself how far they have come.

Avid Technology (AVID)
Collectors Universe (CLCT)
Maximus (MMS)

Urb Recent Picks
Our latest picks are in the black and we are seeing great momentum action
South Texas Oil Company (STXX.OB) - This is a low volume stock so like the rides at Six Flags you've got to hold onto your stomach. We've seen this stock dip to $8.95...do we panic, sorry real playa's don't flinch. This closed today at $9.33 and I am looking for company events to propel this stock over $10.
Radisys (RSYS) - Four business trading days ago this stock was at $12.41 and now they have topped $13. With earnings being released on July 26, I am hoping for a great momentum push next week.

Urb Misses
What did we miss this week: Applied Micro Devices (AMD); Intel, the chipmaker ripped through earnings and AMD would have been a great play today knowing that Intel performed well.

Urb Radar
These stocks are on my radar:
Cabela's (CAB)
Starbucks (SBUX)
Rural/Metro Corp (RURL)