Cody Kiss & Tell: Bitcoin update, when Tesla will crash and LAST chance for Scutify investment

The transcript I sent out last night had some issues and errors. So I’m republishing it now.

Here’s this week’s Live Q&A Chat transcript. Join in on the next Live Q&A Chat with me us next Wednesday at 2pm EST at TradingWithCody.com/chat.

And don’t forget to check out the first ever “Cody Underground” podcast. In it, I talk freely about Scutify, $YNDX, Russia/Ukraine Crisis, $FB, and what Pimco’s Bill Gross is really worth. Song of the night – Ryan Adams, “Come Pick Me Up.” If you can’t listen to it in the code imbedded below, click on the link below to listen and/or download it –

Cody Underground Episode 1: Russian Stocks, FB earnings and Pimco’s Bill Gross.

Also, regarding the Scutify offering. The valuation looks like it will be just over $10 million if all these latest requests for shares come through. It’s $3/share and there will be slightly more than 3.3 million shares outstanding when the offering is over. We don’t have a revenue model to send out and we plan on spending our time and energy making it an incredibly high quality and innovative product with our site, our apps and our increasing amount of data about retail investors and their sentiment on individual stocks. You need to buy at least 5,000 shares worth at $3 each to get in on this extended deadline that I’ve offered because so many TradingWithCody subscribers still wanted in. You need to be a US citizen or a have a US tax ID to participate at this point, though there are exceptions as I note below. I’ll send out additional documents and we’ll need them signed and the check sent back sometime next week if you are going to participate in this extended deadline offering. Thanks again for all your support and interest on this increasingly exciting endeavor.

Q:  Thanks Cody and somebody asked about investment in Scutify last week and you were going to get back to us on that? Please let us know if there is still opportunity.

A:  I’m just gonna declare right here for you guys that if you are an US citizen and you still want to buy at least 5,000 shares of Scutify/Wall Street All-Stars at $3 a pop from the recent offering we’ll accept it. Email support@tradingwithcody.com by the end of this week if you’re going to invest in the offering and I’ll get you in. The offering will no longer be available at these valuations after this week though.

Q:  @Cody: Are you saying a minimum of 5,000 shares? Not accepting anything smaller?

A:  We accepted smaller investments in the offering when we made it back in January, but it’s far too late for us to go back and spend the time and energy and money it takes just to take in a few thousand dollars and make it worth Scutify/WSAS’ time, money and effort. So, yes because it’s so late after we’ve made the Scutify/WSAS offering, I’m putting in a 5k share minimum purchase level and a deadline of Friday to notify us of any intent to buy. I am sure you understand.

Q: Oh I didn’t know being US citizen is requirement for buying scutify? Are there any exceptions for it? My friend US citizen is chipping in to buy these along with me anyhow. so I can ask him to buy instead of me, Is this a possibility?

A:  We took in a few large investments from overseas investors but we had to have them set up a US-based LLC to do so. There’s a few thousand dollars in cost to do so and if you’re not looking at buying more than $25,000 or more worth of the offering, I don’t know that it’d be worth it. I have no idea about how you could arrange a joint investment with your US-based friend, but if you trust and/or have a written contract with them, that might work for ya. I don’t know and I’m sorry to say at this point after the offering’s already been done and we’re just extending it a bit, it’s awfully late to try to be finding those answers out.

I don’t even know how to get you that answer about if you are elgible for the offering, or I would try to. If you get an answer and can get us a confirmation that you are going to buy at least 5k shares, let us know by Friday. Thanks for all the interest in the offering, everybody.

Q: Cody, what are your thoughts on bitcoin, more range bound action or do you see any catalysts for the upcoming months/year?

A: Bitcoin looks to be stuck in a funk for now, and without a new catalyst, such as Amazon or somebody like that moving to accept $BTC, I think it’s going to be rangebound from $400-600 or so for the foreseeable future. I continue to use Bitcoin as a merchant at TradingWithCody.com and I still have some that I bought at $70, but I’ve sold quite a few when it was above $1000 as noted here and I am not looking to add any bitcoin to my portfolio for now.

Q: Is ssys a good buy here??

A:  I just pulled up the 2 year chart for $SSYS and boy, does it look like something the Technical Analysts would love. Nice steady trend/channel higher over the last two years. http://finance.yahoo.com/echarts?s=SSYS+Interactive#symbol=SSYS;range=2y That said, I bought my SSYS lower when the valuations wasn’t nearly as stretched as it is now and I do believe I trimmed some near these current levels when it first got up here a few months ago. All that said, I think SSYS has established itself as the premiere 3-D printing pure play and I’d sure consider buying a first tranche, about 1/3 full size, at these levels and then look to scale into more over the next few months.

Q:  @Cody Is it time to add some FB before earnings?

A:  Facebook reports in 3 weeks and I’d much rather be a buyer near $60 here than a seller into that report. $FB is still my largest position or close to it, despite all the profits I’ve taken in it since I loaded up in the low $20s. I am likely to buy some $FB back as I did trim some back above $70 just a few weeks ago as noted here on TradingWithCody.com. I also might even buy some near-term calls if the price is right in coming days.

Q:  Cody, is invensense a play on droids and / or wearable technology??

A:  Being a long-term play on the future growth of the Drone Revolution isn’t mutually exclusive to being a near-term and long-term bet on the Wearables Revolution. INVN is both and that’s a large part of why I’ve been buying it.

Q:  Wow…I posted a whole paragraph and it vanished.

A:  I have had that happen to me many times over the last few years using this WordPress Chat program we use for our Weekly Live Q&A Chat. None of the chat programs that we’ve tried have solved the occasional missing post problem. In fact, I’ve lost entire articles and blog posts and write-ups at Marketwatch, FoxBusiness, TheStreet.com and everywhere I’ve ever written. I try to hit CTRL+A and CTRL+C before I hit publish on ANY internet program. Sorry though, I know it sucks when it happens.

Q:  Ha…no worries! Can you share your most current thoughts on JNPR and INTC? Any near term risks to consider for JNPR? Letdown after big Q4? I have July $28 calls…those seem a decent bet to you? Also on INTC, you recently recommended again. Any indication you’ve seen that they are getting traction in mobile? I have July $25 calls and Jan $25 and $27’s…again…reasonable bets there in your opinion? Thanks. (P.S. I have common positions in both as well.)

A:  The July 28 JNPR calls sure seem aggressive right here right now as the markets are chasing lower-beta, higher-dividend, better value kind of stocks than JNPR. That said, you’ve got 90 days or so to play with and a lot can change about market character before then. Good luck on those. I like the Intel better overall right now, along with its yield on the common stock, and your INTC $25s are already in the money and I think INTC will be above $30 by next January if the markets are still in bubble-blowing bull market mode and maybe even if the markets don’t stay bubblicious as INTC would be chased for its value and yield in a down market, perhaps.

Q:  Hey C.W., any chance in the future we can do weekly QandA with a video conference call? We all get our own equipment and connect once a week? Make it more personal. Next upgrade on the TWC platform.

A:  Tell you what…if one of you can figure out a way to be the moderator for a weekly Live Video Chat that we can record and send out a link to afterward for all the subs, I’ll certainly host it.

Q:  What are your thoughts on GDXJ? Just a smaller cap / more volatile version of GDX or are there other differences to be aware of?

A:  There are more differences than just smaller cap and more volatility when it comes to comparing GDX with GDXJ. For example: “The Gold Miners Index is a modified market-capitalization weighted index primarily comprised of publicly traded companies involved in the mining for gold and silver. ” VS. “The Junior Gold Miners Index includes companies that generate at least 50% of their revenues from gold mining and/or silver mining or have mining projects with the potential to generate at least 50% of their revenues from gold and/or silver when developed.” There’s much more speculation involved in the GDXJ as that whole “potential to generate” gives them a lot of leeway when they choose what stocks they’re buying for that ETF.

Q: I’m trying to take better advantage of Scutify. You initiated a Bullish sentiment on FSLR 35 day(s) ago when the stock was trading @ 58.03 Scutify says that the Bullish sentiment is for another 330 day(s). Since FSLR is now trading north of 72.00, will you be adjusting your Bullish call if the stock continues to climb?

A:  There’s no way to “adjust” my Sentiment Views that I make on Scutify.com. I could go in at some point and put in a bearish Sentiment View on $FSLR at Scutify and that would effectively lock in the gains I’ve currently got on that Sentiment View on Scutify. To be clear, those Sentiment Views I make on Scutify are just for broad guidance and/or for the fun of it. The Trade Alerts you get as subscribers to TradingWithCody.com are the actual moves I’m making with my own money and are what are part of why you pay for this service. The Sentiment Views on Scutify are not nearly the same thing, you know?

Q:  CREE has been underperforming lately. What would be the next catalyst for it to recover? Would you recommend holding or even adding?

A:  I’m holding the CREE for now and I don’t know if it’ll make any big rally while the markets aren’t chasing momentum and growth stocks. Long-term, looking out ten years, I want to have owned CREE for the LED Revolution.

Q:  Bigger picture question, Cody. What is your philosophy on when to cut bait on losing calls/puts. I have a seriously hard time deciding when to cut bait when I’m losing money. We’ve all had losing calls/puts reverse course and become winners…ala MSFT…but sometimes they just keep losing…I’ve read 50% should be the final flag to throw in the towel and preserve capital. Would love to hear your thoughts…Wish all of my options plays were winners…but alas…

A:  I don’t have a set philosophy on when to cut bait on losing calls/puts. I usually don’t buy enough of any particular call or put that by the time it’s down 50%, it’s usually not a big enough chunk of change to mess with and the upside potential of holding the option if the stock does make the right move before it expires, like MSFT has for me lately, that’s even more reason to hold ’em. Sometimes tho, I might change my mind on a position and just cut bait and try to get every dime I can back out of the loser.

Q:  I know that you don’t like Tesla’s business model and you think it will crash. How long do you think that it will take for that to play out? Next year, 10 years, etc.?

A:  I think Tesla will crash when the Republican/Democrat Regime quits sending the company billions in subsidies and loans and carbon credit trading scams and when the RDRegime quits sending $6-10,000 welfare checks to people who buy Tesla cars. That could take another two or three years to end, I would guess. And when it does, Tesla will be a $10 stock I’d guess. I’ll try to short it at some point when the cards start to fall.

Q:  What do you think of KMI. It’s been beaten down recently over an article that seemed to be confused over differences accounting treatment between KMI and what they were used to at El Paso which KMI acquired last year. I’m no expert on financials especially when it comes to the nuances of MLPs but I’ll take Rich Kinder’s accounting methodology over El Paso’s any day. Kinder’s track record is pretty good. Could KMI be a buy for both the good yield and a value play?

A:  I got no edge for ya on KMI. My Revolution Investment analysis on it would tell you this: You got a 5% yield on that stock and the company’s growing revenue 5-10% per year. Not bad in this environment of 0% interest rates and bubbled growth stocks. Hope that helps.

Q: Cody: with the usual APOL craziness — disappointing ER, stock (which had grown in anticipation) plummets back to its few-weeks-ago level, any guess on when you think it will do the cratering you anticipate? I’ve taken some money out of this but wondering (I’m about even now) whether it’s time to get some more value out of that particular investment with something parallel. Related to that — do you see any new put plays in PLUG or BLDP again?

A:  $APOL doesn’t have the momentum/penny stock chasing fools to drive it up in this bubble-blowing bull market, so it’s probably a “safer” near-term short than PLUG or BLDP. Looking out two years, I think all of the above will be a small fraction of their current quote.

Q:  Still no interest in MIDD?

A:  What’s interesting about $MIDD? It looks to me like just another government-protected oligopolistic food distributor which in another time and place would simply be the playing ground of what were Mafias. I mean, as the kid in this 1957 movie asks, “Can I go into the grocery business and compete with the chain stores? Not a chance!” https://www.youtube.com/watch?v=f8jUxg81o8Q $MIDD seems like the kind of business that I’d rather short than buy, no?

Q:  What do you think of KMI. It’s been beaten down recently over an article that seemed to be confused over differences accounting treatment between KMI and what they were used to at El Paso which KMI acquired last year. I’m no expert on financials especially when it comes to the nuances of MLPs but I’ll take Rich Kinder’s accounting methodology over El Paso’s any day. Kinder’s track record is pretty good. Could KMI be a buy for both the good yield and a value play? Just a heads-up for the group. One of my reseller customers has been recruited to resell DDD printers. It seems DDD is changing their sales model from a direct sales strategy to an indirect/channel based strategy similar networking/infrastructure COs like Cisco. More feet on the street and lower S&A expenses could help in future quarters. I’m keeping them on radar.

A:  I got no edge for ya on KMI. My Revolution Investment analysis on it would tell you this: You got a 5% yield on that stock and the company’s growing revenue 5-10% per year. Not bad in this environment of 0% interest rates and bubbled growth stocks. Hope that helps.  Thanks for that heads up about $DDD. I don’t think that sounds bullish for the stock tho. Sounds more like a company desperate to find some growth and new sales distribution outlets. Lower margins are where I’d be concerned.

Q:  Cody: with the usual APOL craziness — disappointing ER, stock (which had grown in anticipation) plummets back to its few-weeks-ago level, any guess on when you think it will do the cratering you anticipate? I’ve taken some money out of this but wondering (I’m about even now) whether it’s time to get some more value out of that particular investment with something parallel. Related to that — do you see any new put plays in PLUG or BLDP again?

A:  APOL doesn’t have the momentum/penny stock chasing fools to drive it up in this bubble-blowing bull market, so it’s probably a “safer” near-term short than PLUG or BLDP. Looking out two years, I think all of the above will be a small fraction of their current quote.