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Posted

Most likely MONT is a fraud. But with PDSTI acquisition, shorting it may be too dangerous ? PDSTI could acquire it and IPO in Chinese stock market.

 

 

 

MONT Jan 2015 20 - 15 put spreads at 55 cents

 

Tilson Right, Chinese company is a fraud buyout not real:    8 Profit

Tilson Wrong, Chinese company is a fraud but buyout real: -1 Loss

 

http://seekingalpha.com/symbol/MONT?s=mont

 

 

Why I Just Made Montage Technology Group My Largest Short Position

Whitney Tilson • Today, 12:30 PM • 2 Comments

China Orders Montage Technology To Cease Production And Sale

Aristides Capital • Today, 8:13 AM • 25 Comments

 

    Montage's stated set top box revenue is not consistent with its reputation as a very minor player; other brands dominate Montage by 10:1 to 35:1 among suppliers and finished goods.

    Montage produces the majority of chips in a 5 million chip per month black market; China's government recently ordered them to "stop illegal production and sales activities immediately".

    Excluding illegal chips, Montage trades at roughly 10x revenue. Neither PDSTI nor anyone else is likely to buy MONT at this price. Any of numerous catalysts could drop MONT precipitously.

Posted

SC on speculation that the lower earnings are due to the conservative reserving while the credit portfolio is improving due to the Chrysler deal. I think the new Chrysler/Fiat vehicles are great so they are likely to grow market share. This means at least 9 more years of good growth. I agree with SD that the company is in a position from its scale and expertise from Santander to bleed the competitors such as Ally white. We are mid cycle and I expect more jobs as manufacturing moves back to US primarily due to cheap energy and faster innovation adoption. Good interest margins like this are likely to become scarce. People love their cars keeping margins fat. Finally car sharing technologies will help the poor increase the utilization of cars so they are better able to afford the payments. Can't make your payment? Sign up with Uber as a driver and work during peak hours.

Posted

Most likely MONT is a fraud. But with PDSTI acquisition, shorting it may be too dangerous ? PDSTI could acquire it and IPO in Chinese stock market.

 

 

 

MONT Jan 2015 20 - 15 put spreads at 55 cents

 

Tilson Right, Chinese company is a fraud buyout not real:    8 Profit

Tilson Wrong, Chinese company is a fraud but buyout real: -1 Loss

 

http://seekingalpha.com/symbol/MONT?s=mont

 

 

Why I Just Made Montage Technology Group My Largest Short Position

Whitney Tilson • Today, 12:30 PM • 2 Comments

China Orders Montage Technology To Cease Production And Sale

Aristides Capital • Today, 8:13 AM • 25 Comments

 

    Montage's stated set top box revenue is not consistent with its reputation as a very minor player; other brands dominate Montage by 10:1 to 35:1 among suppliers and finished goods.

    Montage produces the majority of chips in a 5 million chip per month black market; China's government recently ordered them to "stop illegal production and sales activities immediately".

    Excluding illegal chips, Montage trades at roughly 10x revenue. Neither PDSTI nor anyone else is likely to buy MONT at this price. Any of numerous catalysts could drop MONT precipitously.

Yep that's why I bought put spreads that pay you $5 if it's fraud for the premium of 55 cents. I also would t short this for fear of halt risk and borrow risk. Some guys who successfully identified frauds got destroyed by borrow when share were halted for months. Anyways, the base case is obviously thT the deal goes through and I lose my money, but when you see a company that has delayed SEC filings announce a buyout 20 minutes after a seeking alpha article cries fraud and the acquirer is some state owned thing, I think it's a decent bet to taken given the odds the options market is giving you. Obviously to be done in small size. I know people have mixed feelings about tilson, but I think I agree with him that betting against this thing is a good risk reward , and the put spreads make it more appealing.

Posted

Gift cards going for curious prices:

 

http://cgi.ebay.com/ws/eBayISAPI.dll?ViewItem&item=231251221870

 

And seller is charging $2.32 for email delivery...

 

buying using stolen credit cards? I was curious why there were so many gift cards on sale at 80-90 face value. Then I learned hackers were laundering stolen gift cards using these gift cards reselling sites. The discount is warranted because any stolen cards have some possibility of being cancelled.

Posted

Gift cards going for curious prices:

 

http://cgi.ebay.com/ws/eBayISAPI.dll?ViewItem&item=231251221870

 

And seller is charging $2.32 for email delivery...

 

buying using stolen credit cards? I was curious why there were so many gift cards on sale at 80-90 face value. Then I learned hackers were laundering stolen gift cards using these gift cards reselling sites. The discount is warranted because any stolen cards have some possibility of being cancelled.

 

That makes it clear why cards should sell at a discount, but the one I linked was selling at a premium. The face value was $50. It sold for $162.50.

Posted

Most likely MONT is a fraud. But with PDSTI acquisition, shorting it may be too dangerous ? PDSTI could acquire it and IPO in Chinese stock market.

 

 

 

MONT Jan 2015 20 - 15 put spreads at 55 cents

 

Tilson Right, Chinese company is a fraud buyout not real:    8 Profit

Tilson Wrong, Chinese company is a fraud but buyout real: -1 Loss

 

http://seekingalpha.com/symbol/MONT?s=mont

 

 

Why I Just Made Montage Technology Group My Largest Short Position

Whitney Tilson • Today, 12:30 PM • 2 Comments

China Orders Montage Technology To Cease Production And Sale

Aristides Capital • Today, 8:13 AM • 25 Comments

 

    Montage's stated set top box revenue is not consistent with its reputation as a very minor player; other brands dominate Montage by 10:1 to 35:1 among suppliers and finished goods.

    Montage produces the majority of chips in a 5 million chip per month black market; China's government recently ordered them to "stop illegal production and sales activities immediately".

    Excluding illegal chips, Montage trades at roughly 10x revenue. Neither PDSTI nor anyone else is likely to buy MONT at this price. Any of numerous catalysts could drop MONT precipitously.

Yep that's why I bought put spreads that pay you $5 if it's fraud for the premium of 55 cents. I also would t short this for fear of halt risk and borrow risk. Some guys who successfully identified frauds got destroyed by borrow when share were halted for months. Anyways, the base case is obviously thT the deal goes through and I lose my money, but when you see a company that has delayed SEC filings announce a buyout 20 minutes after a seeking alpha article cries fraud and the acquirer is some state owned thing, I think it's a decent bet to taken given the odds the options market is giving you. Obviously to be done in small size. I know people have mixed feelings about tilson, but I think I agree with him that betting against this thing is a good risk reward , and the put spreads make it more appealing.

 

I cloned the exact trade today, but only got 11 contracts filled at $0.55 spread.  Like the risk-reward.

 

In China, "only the fakery is real".

 

Thanks for the idea.

Posted

Gift cards going for curious prices:

 

http://cgi.ebay.com/ws/eBayISAPI.dll?ViewItem&item=231251221870

 

And seller is charging $2.32 for email delivery...

 

buying using stolen credit cards? I was curious why there were so many gift cards on sale at 80-90 face value. Then I learned hackers were laundering stolen gift cards using these gift cards reselling sites. The discount is warranted because any stolen cards have some possibility of being cancelled.

 

That makes it clear why cards should sell at a discount, but the one I linked was selling at a premium. The face value was $50. It sold for $162.50.

 

That is crazy  for that premium. but i buy a ton of gift cards online and often times see ppl pay for more than face value and in my mind I'm just what....

Posted

i found out they were giving out 2.15 on germany beating portugal today. it's a no-brainer based on the definition of football:

 

two teams play for 90 minutes, germany wins.  ;D

Posted

@buylowersellhigh

 

I have not looked at CBI since it rose last year...but I should look again as its dropping, see why and if it makes sense to buy back in.

Posted

Switched ALS.TO+cash to PKX. Looks really good, PKX is now my biggest bet after BP.

 

Anything specific made you sell ALS?

 

Margin of safety is a lot higher in PKX and i didn`t really like the news gamble. But i wish everyone good luck with ALS.

Posted

Switched ALS.TO+cash to PKX. Looks really good, PKX is now my biggest bet after BP.

 

Anything specific made you sell ALS?

 

Margin of safety is a lot higher in PKX and i didn`t really like the news gamble. But i wish everyone good luck with ALS.

 

frommi - can you elucidate what you believe is the MoS in Posco exactly? Thx!

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