Anybody buying BP?

http://money.cnn.com/2010/05/06/news/economy/BP_liability/index.htm?source=cnn_bin&hpt=Sbin

I'd stay away - check out this article..way too many unknowns

If they increase the liability of the claims in Congress and find them in violation of anything they will hang them out to dry. I'd sell them short.

 

I could think of a few tens of millions of people who might disagree with you on that given the past few years. In my opinion, buy a house because you like it and want to live there, not because you think it will make you rich. Housing and land come with a LOT of carrying costs that can eat through "profit" very quickly.

 

For some reason this old guy at work told me he thought BP was going to split shortly. Not really sure what that means...But from what he explained to me if i bought 100 shares at 50$, i would then have 200 shares at 25$. But it would be cheaper for ppl to buy in therefore BP makes more money.

Is that right?

 

I also agree that Roth's are a great investment for young people. That being said, like was mentioned, if you're not investing in a 401k that is matched by your employer, you're crazy. In my sense, I get matched, dollar for dollar, on up to 10% of my income. That means I've automatically doubled my money. Even with 50% capital gains taxes, I've made 50%. This is extremely rough math, but you get the idea. Bottom line - pay yourself first in all ways you can!

 

That's how it works, yes, but usually stocks split when they get too costly, not when they start to trend downward. Dell was a famous one in the past...I think it split 4 or 5 times. The idea is that if a stock gets too expensive, no one will buy it, so you split it, bring the price back down, and increase the demand without reducing the ownership amount of current shareholders.

 

Damn... 100% of the first 10%?!?!? That's the best I've heard.

 

yeah what company is that, I'll get my resume shined up fast!

 

I sure as hell wont buy any bp products. With what they done they blame on other people and try to brush it off buy then blame coal for everything else to try and make gas sell better because its prices cant compete with the low price of coal. And some of the scientist that were involved in hiding the decline of the earths global temperature actually decreasing rather than increasing were also working for bp.

 

There is usually one conspiracy theorist in every crowd...

Last I heard is BP accepted full responsibility of the accident including the cleanup fees.

I personally would hold off on buying depending on what happens in the next few weeks. But of course if their stocks keep dropping I would be forced to buy in!

 

I wouldn't be heartbroken if they passed some laws that let the people sue the shit out of them to Bankruptcy. How the hell can you not have a back up plan for capping a well that completely fuggs up the entire area, coast, fish, etc.

A complete FAIL on BPs part. Bankrupt them rich bitches.

 

they do have a backup plan. its just not a silver bullet. sometimes a situation is just bigger than ever anticipated.

on that note anybody think the containment dome will work?

 

They say they've done it before and its worked but no one has done it at that depth before.. I give it 75% yes, 25% no.. just cause i'm hopeful.

 

Houses are not as good investments as people would like you to believe. They depreciate (unless you dump money into them to keep them up), and you are charged tax on them every year.

Then, if the market tanks (i.e. has happened the past 2.5 years) you lose much of your equity.

Bottom line, houses are no better an investment than any other.

LAND is an excellent investment, because it never depreciates and requires no maintenance.


I agree 100% with people who say you should run your 401k and Roth accounts concurrently - the question is simply where do you put most of your money between the two, and that varies by person. Either get educated, or get a financial advisor.

 

there are no good investments only good prices on investments

a share of coca cola at $500 is not a good investment.
5 tons of cow crap for $1 is a good investment

its all about the price you pay (valuation)

 

Agree completely, except for land. It has no carrying costs, is stable, only appreciates, and can't go into bankruptcy.

As Mark Twain said, "Buy land. They've stopped making it."

 

just because I'm young doesn't mean I'm stupid.

 

While on the topic of oil, y'all should check out HOU, much better chance of return on investment than BP (short or mid term). Can you imagine what this cleanup is going to cost? Also, when these losses get on the books, BP is going to be trading for $25ish. At $50, you are looking long term to even get your money back. My opinion is never buy until the losses and costs are on the books, until then, the actual value of the stock is only speculation.
My .02

 

I never said it did.