Card Factory Share Discussion Threads

[edmondj] 10/1/2020 17:42

Jim Rogers used to famously say that investing on insider information is the fastest way to the poor house and it should not be practised because it is unethical.

But here is what legendary speculator of the 1920s and 1930s, Jesse Livermore has to say in his book ‘How To Trade In Stocks’ :

“… Now and then someone begins trading because he has a hot inside tip from a friend in the inner councils of a large corporation. Let me here relate a hypothetical case:

You meet your corporation friend at luncheon or at a dinner party. You talk general business for a time. Then you ask him about Great Shakes Corporation. Well, business is fine. It is just turning the corner and the future outlook is brilliant. Yes, the stock is attractive at this time. “A very good buy, indeed,” he will say and perhaps in all sincerity. “Our earnings are going to be excellent, in fact better than for a number of years past. Of course you recall, Jim, what the stock sold for the last time we had a boom.”

You are enthused and lose little time in acquiring shares.

Each statement shows better business than during the last quarter. Extra dividends are declared. The stock moves up and up. And you drift into pleasant paper profit dreams. But in the course of time the company’s business begins slipping dreadfully. You are not appraised of the fact. You only know the price of the stock has tobogganed. You hasten to call your friend.

“Yes,” he will say, “the stock has had quite a break. But it seems to be only temporary. Volume of business is down somewhat. Having learned the fact that the bears are attacking the stock. It’s mostly short selling.”

He may follow along with a lot of other platitudes, concealing the true reason. For he and his associates doubtless own a lot of stock and have been selling as much and as rapidly as the market would take it since those first definite signs of a serious slump in their business appeared. To tell you the truth would simply invite your competition and perhaps the competition of your mutual friends in his selling campaign. It becomes almost a case of self-preservation.

So it is plain to see why your friend, the industrialist on the inside, can easily tell you when to buy. But he cannot and will not tell you when to sell. That would be equivalent almost to treason to his associates.

I urge you always to keep a little notebook with you. Jot down interesting market information: thoughts that may be helpful in the future; ideas that may be re-read from time to time; little personal observations you have made on price movements. On the first page of this little book I suggest you write – no, better yet print it in ink: “BEWARE OF INSIDE INFORMATION…ALL INSIDE INFORMATION!”

It cannot be said too often that in speculation and investment, success comes only to those who work for it. No one is going to hand you a lot of easy money. It is like the story of the penniless tramp. His hunger gave him the audacity to enter a restaurant and order ‘a big, luscious, thick, juicy steak,” and, he added to the old waiter, “tell your boss to make it snappy.” In a moment the waiter ambled back and whined: “De boss say if he had dat steak here he’d eat it himself.” And if there was easy money lying around, no one would be forcing it into your pocket.”

[minerve 2] 10/1/2020 17:25

In my experience inside information is just as bad at leading you up the garden path. Founders, directors, employees can sometimes get carried away in their own euphoria or fantasy. Invest on facts and track record as set out in a decent conservative set of accounts.

[smokybenchod] 10/1/2020 17:10

stevieb2190 you're allowed to say anything unless what you say is insider information. ignore some of the posters on here - they are just bitter cos they have been ramping this dog from £2+

[stevieb2190] 10/1/2020 16:51

As im a novice i think i will leave this forum as not sure what you are allowed to say without falling foul of any laws so bye bye all and good luck...

[stevieb2190] 10/1/2020 16:45

Harry..i am a novice, my thoughts are just basic..i don't annalise the fundamentals ..i dont think card is necessarily a better buy than works...good luck with your positions..i watch closely as i only use cfds....im gutted because i shorted card right upto xmas figures being released but closed my position as listened to the professionals and bottled. If i had never came on this forum i would be basking in the bahamas now...there are times when instinct is as good as znything

[ukneonboy] 10/1/2020 16:12

bargainbob

be careful what you wish for. Big Brother is watching !!!!

[harry3021] 10/1/2020 15:56

stevie - can you tell me why in your opinion this is a better buy than theworks? I've opened a position (recently) in both but i have built a bigger position in theworks than this one (opened that one today as well). I respect your opinion but would like to know the reasoning behind yours.

[bubsy2] 10/1/2020 15:50

this will turn its just where is the bottom

[harry3021] 10/1/2020 15:45

Someone from lse posted this and i think he's right. if they are in terminal decline why do they keep opening new stores. Doesn't make sense.

[stevieb2190] 10/1/2020 15:40

If it goes much lower might make a bid myself..

[smokybenchod] 10/1/2020 15:34

I’d be more surprised to see the share price at £1.50 over the next year or so than I would to see it at 50p. If it ever gets back to £1.50, I’ll gladly admit I was wrong. Gla

[harry3021] 10/1/2020 15:21

for those who don't know cardfactory also own hxxps://www.gettingpersonal.co.uk/ which is quite a nice asset.

so stevie why cardfactory and not theworks?

[bargainbob] 10/1/2020 15:19

Who would buy this apart from WH Smiths .

[stevieb2190] 10/1/2020 15:15

When do i press the go long button....tough one

[thomstar] 10/1/2020 15:14

Reasonably large trade just gone through

[hardupfedup] 10/1/2020 15:11

takeover coming ..

[bargainbob] 10/1/2020 15:04

No worry sure someone from advfn boards will come to visit you UKNEONBOY in prison.