Posts Tagged ‘CNIC’

MAMA – Recommendation to Cover

By: ispeculatornew | Date posted: 06.14.2007 (12:00 am)

MAMA – Inc. (Nasdaq) (Closing Price – $4.22)

In my last post I stated that I thought would fall through its support level. However, this hasn’t happened so I am going to recommend to cover your short position in if you have not already done so. may still fall but I think there are better places to invest your money. Also, the stock price of tends to jump up more than it should when the company issues a press release. Therefore, I think it would be wise to get out before some trivial announcement sends the price back up. (more…)

MAMA – Update

By: ispeculatornew | Date posted: 05.27.2007 (12:00 am)

MAMA – Inc. (Nasdaq) (Closing Price on Friday 5/25/07 – $4.15)

I mentioned in my last update that if found support I would recommend to cover. has found support around four dollars but I think barring some positive news the stock price will fall through this support level and start to decline more dramatically. Therefore, I wouldn’t recommend to cover yet.

I will provide an update based on what the stock price does in the next few weeks.

Disclosure: I am not shorting shares of MAMA.

MAMA – Q1 2007 Earnings

By: ispeculatornew | Date posted: 05.14.2007 (12:00 am)

MAMA – Inc. (Nasdaq) (Closing Price – $4.50) reported first quarter results on May 10 and the numbers they released were very unimpressive. reported a loss of 0.10 per diluted share on revenue of 2.64 million. Search revenues increased but graphic advertising and “other” revenues were down sharply. Last quarter they had “other” revenues of 1.19 million (comprised of search advertising – 0.26 mil, software licensing – 0.7 mil, and customized development & maintenance – 0.23 mil). This quarter they said “other revenues such as software licensing and customized development and maintenance support” totaled 0.127 million. I am not sure if search advertising is part of the “other” revenues since they said “such as” and didn’t provide a breakdown of “other” revenues. However, even without search advertising taken into account this is a huge decrease in “other revenues” from the previous quarter. (more…)

MAMA – Q4 2006 Earnings

By: ispeculatornew | Date posted: 03.11.2007 (12:00 am)

MAMA – Inc. (Nasdaq) (Closing Price on Friday 3/9/07 – $5.19) announced fourth quarter results on March 7 and surprisingly they managed to report a small profit. However, the stock is still way overvalued based on any fundamental valuation and I would recommend to continue holding your short position. reported a profit of 0.03 on revenues of 3.57 million. This is a stark contrast to the losses they posted in the previous year but I it remains to be seen whether they can become consistently profitable. Even if they were to make the same amount each quarter next year, which is doubtful, MAMA would have a PE of 43 with Friday’s closing price. That is extremely high. (more…)

MAMA – Update

By: ispeculatornew | Date posted: 02.10.2007 (12:00 am)

MAMA – Inc. (Nasdaq) (Closing Price on Friday 2/9/07 – $5.13)

There have been some interesting developments since my last post on MAMA.

First, the CEO abruptly announced his resignation on January 23. This is never a good sign for a company. However, the share price barely reacted to this news.

Last Tuesday there was a surge in volume and MAMA’s stock price jumped up considerably on no news at all. In my opinion this should raise some eyebrows about someone trying to manipulate the share price (or maybe someone trading on inside knowledge). A couple of days later MAMA issued a press release stating they had extended an existing agreement with Yahoo Canada. This press release shouldn’t have affected the share price considering the agreement has been in place. However, the share price opened up considerably higher than the previous close. It has promptly been going down since. (more…)

MAMA – Accumulate Short Position

By: ispeculatornew | Date posted: 01.11.2007 (12:00 am)

MAMA – Inc. (Nasdaq) (Closing Price – $5.90)

I would continue holding your short position in MAMA and if you are a patient investor I would recommend shorting more. MAMA may not drop immediately but eventually its share price is going to correct and reflect its fundamentals.

If you are looking for a short term gain I would not recommend shorting MAMA. There are a lot of daytraders and greater fools buying MAMA right now and they may continue to send MAMA up in spite of its ridiculous valuation. However, the momentum will die out and MAMA will assuredly drop. (more…)

MAMA – Accumulate Short Position

By: ispeculatornew | Date posted: 01.05.2007 (12:00 am)

MAMA – Inc. (Nasdaq) (Closing Price – $5.60)

If you followed my advice and shorted MAMA at $4.89 you might be a little worried that it has now risen to $5.60. However, shorting a stock requires the same amount of patience as buying a stock.

There is still a major disconnect between the fundamentals of MAMA, which are terrible, and the recent runup in its share price. The runup has been based on hype and nothing else. It may take a while for the share price to reflect this, but eventually it will. (more…)

MAMA – Initiation of Short Recommendation

By: ispeculatornew | Date posted: 12.30.2006 (12:00 am)

MAMA – Inc. (Nasdaq) (Closing Price on Friday 12/29/06 – $4.89)

It is never wise to chase gains. Some people will keep buying a stock even after it has had a significant runup. They will hope the run will continue and that a greater fool will buy the stock at a higher price than them. This is the case with MAMA and now is a great time to short the stock.

MAMA is a search engine that recently announced that it is adding video search to its website. The hype surrounding this sent the stock from two dollars to over eight dollars in less than a month. Well the party is over and the stock price is crashing back down. (more…)