samedi 8 août 2015

Patient Home Monitoring (PHM.V): I stay away

There's a lot of things that I don't understand in the stock market. Why Gilead isn't going up after such good results? Why is Amazon so expensive? Why Bruce Berkowitz keeps buying that fucking Sears Holding?

And why Jason Donville, the king of analysts in Canada, has made bad top pick suggestions such as:

Pulse Seismic (PSD)
Directcash payments (DCI)
Delphi Energy (DEE)
Rifco (RFC.V)
Biosyent (RX.V) at 10,25$ (it was pretty expensive back then)

And now, what about Patient Home Monitoring (PHM.V) which is one of the new darling stocks of Jason Donville?

I've always been reluctant about that stock. First, it's on the Venture stock exchange, a stock exchange on which I've only had bad experiences (LOY, MCR, NCI, RFC). That fucking exchange is full of crappy businesses that can only achieve 2 or 3 good quarters and then fall in an abyss of shit. I'm out of there, maybe forever.

But I'll try to pass over my disdain of the venture to push a little further on PHM.

That company is trying to consolidate the market of services to people who need home monitoring (sick people). I agree, it's a nice sector.

That company is buying everything at a phenomenal rate which is something that works for some companies (like Valeant, for instance). But for a small business, I don't know.

On april 28th 2015, they released their fucking results and they had 0,0079$ EPS. FUCK, that's not even 1 cent EPS.

The most important point for me is: even if they buy everything in sight, they haven't proved yet that they can integrate so many businesses in an accretive way. Some analysts expect that EPS for 2015 will be around 2 cents and that EPS will be around 11 cents in 2016. What? Multiply the EPS by 5.5 in only a year???? Who is able to do that!?!?

And more, there has been a lot of insider selling recently, which is something I dislike. Two executives sold more than 13 millions shares at 1,36$ (result: more than 18 millions $).

I've sold my position in United Therapeutics (UTHR) because of that (the transgender CEO is constantly selling shares). It turned that I didn't do such a good move because the stock went from 100$ to about 165$ after my selling (it however went from 50$ to 100$ between my buying and my selling).

But well, for PHM, if they think that their fucking incredible acquisition rate is accretive to earnings, why do they sell their shares? What a bunch of cocksuckers. I can't respect such management.

I may be wrong, but there's a lot of other businesses that do things the way I like it and I'd rather look there. That's why I'm staying away of PHM, whatever anybody thinks about that company.

2 commentaires:

  1. Donville est le king, mais comme tous il se plante de temps en temps... Jai jamais trop compris DCI, qui utilize ces guichets la sauf aux danceuses?!?! Des fois je pense qu il recommende un stock pour se debarrasser d un loser dans son portefeuille; quand c est un petit stock comme RFC, DEE ou PSD, as recommendation pop le stock de 10%...

    J ai pas enbarque dans PHM; mes Health stock sont VRX CRX (merci Donville!) et GUD.

    J ai profite de sea bons coups: CSU, ESL, CRX.... Mais je me suis fait ramasse par ses vieilles recommendations de MDA et HLF.

    Tu penses qui de MDA et HLF? Bonnie evaluation (cheap et Bon ROE) mais le stock transige mal depuis un bou.....

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  2. J'ai déjà possédé du MDA mais jamais de High Liner. Dans les deux cas, je pense que ce sont de bonnes business mais pas exceptionnelles. Sur le long terme, les deux devraient bien faire selon moi. Par contre, il y a mieux. Par exemple, j'augmenterais ma position sur VRX, GIB-A, GILD, AGN ou CRX avant d'acheter MDA ou HLF.

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