October 28, 2016

Relying On Investors Without Real Demand

It’s Friday desk clearing time for this blogger. “Real estate experts watch the Naples market because it holds clues to the resilience of wealthy buyers. Realtors estimate that 25% of the home-sale market in the Naples area is new construction. Homebuilders have been building and selling speculative homes in recent years, though some have offered incentives as sales slowed this year. Homebuilders have adjusted their prices lower, says Ross McIntosh, longtime Naples commercial real estate broker who has arranged land transactions for homebuilders. Homes that sell well today are in the $300,000 range, not the $500,000 category that was hot a few years ago. ‘I don’t think anyone can put their finger on what caused that,’ says McIntosh. ‘Prices people are willing to pay has eroded substantially.’”

“Some builders are responding to the shift in the market, building homes in the $300,000 to $350,000 range. ‘Buyers who delayed buying decision have been rewarded,’ McIntosh says. ‘The die is being recast on the new-housing side.’”

“Is the Bay Area housing market losing steam? Could be. With more buyers saying ‘no’ to mile-high prices, September sales of single-family homes were up a modest 2.3 percent — a far cry from the red-hot market of the last several years. And even more revealing, June-through-September sales for the nine-county region were down 5.1 percent from the same period of 2015. The numbers mirrored the observations of brokers and agents, who cited push-back from buyers after years of bidding wars and spiraling prices.”

“‘Buyers are kind of digging their feet in and saying, ‘We’ve hit a threshold of pain in terms of affordability and you’ve got to say no,’ said Jennifer Branchini, past president of the East Bay Association of Realtors. ‘It’s going to be a big issue going forward. It’s not going away.’”

“It’s a good time to buy for anyone looking to purchase a high-end home in Thunder Bay. Canada Mortgage and Housing Corporation analyst Warren Philp said there’s an over-supply of houses priced at more than $300,000 on the market, adding overall the resale market appears to be a balanced one. ‘We no longer have a seller’s market, we have a balanced market and arguably in parts of the reseller’s market in Thunder Bay, we’ve got a buyer’s market conditions … Which means there are little to no price increases, and in fact, some price adjustments are taking place, especially at the high end of the market,’ Philp said.”

“To sell their 10-bedroom home, celebrity chef Jamie Oliver and his wife may have to first undo what they’ve done. Six years ago, the couple bought adjacent townhouses in North London’s Primrose Hill neighbourhood and combined them into one very large home. The couple, who have five children, now plan to move and are listing the property for £9.95 million, or about $15.7m. Amid a slump in London’s luxury market, the Olivers’ house has failed to sell — despite a $3m price cut earlier this month.”

“So now they’re planning to revert the house back into two properties likely to list for around $7.9m to $9.5m apiece. But while high-net-worth buyers can afford to create these urban mansions — and some still do — the decision may haunt them when it comes time to sell. That’s because market demand for these vast homes has softened significantly. The average sale price of homes in the £10m-plus bracket has fallen 10.4 per cent in the past two years, according to estate agents Savills.”

“On October 1, seven property investors and four industry experts joined the Property Investor Roundtable Luncheon jointly organized by Knight Frank and Property Club Singapore. ‘My friends are having 20 percent decrease in rent,’ said Investor A. ‘Mine are 30 to 50 percent. One of my properties the rent drops from $18,000 to $10,000,’ echoed Investor H. ‘Many MNCs are moving their staff out of Singapore because of cost. No market can rely only on investors without real demand. Investors need rental income.’”

“Debbie Lam, Consultancy & Research Manager at Knight Frank, told the property investors that there are currently over 21,000 unsold units. Given buyers can clear about 7,000 homes a year, it will take at least three years for the market to absorb all the unsold units. ‘The questions we need to ask are: What is the rate the market is buying these unsold units? Who is going to rent or buy them? At what price?’”

“Apartment rents in popular central Doha districts such as Al Sadd, Bin Mahmoud and Al Mirqab are finally starting to come down, according to a new real estate report. Some properties are now up to 10 percent cheaper than last year. The change comes following an exodus of people from Qatar earlier this year, DTZ Qatar said in its Property Times report for Q3 of this year. Additionally, in recent months, more ‘affordable’ apartments have convinced residents to relocate to areas like Ain Khalid and Muaither.”

“A glance through the latest housing index – both the locally compiled index and international index – reveals that consumers worldwide are feeling the pinch in their pockets. There is simply no money as the world economy exhibits signs of continuous slowdown. And Namibia is no exception. There are cautions that things would get tighter in the months to come. For Namibians this could translate into some people being no longer able to afford mortgages, those who were thinking of buying houses may find themselves putting it off until the burden on their pocket eases.”

“In Oshikango, for instance, house prices fell by nearly 53 percent. A house that in 2014 was priced at N$1.1 million is now priced at N$425 000. In Oshakati, a house that was priced at N$964 100 in 2014 is now priced at N$539 900. It was not long ago that the FNB Housing Index of 2015 declared Oshakati as Namibia’s town with the highest house price increases in 2014 – as well as for the last five years. An Oshakati house that cost N$486 300 in 2009 was priced at N$964 100 in December 2014, while as a similar house in Windhoek priced at N$472 000 in 2009 was priced at N$900 000 in December 2014.”

“FNB Housing Index author Daniel Kavishe says a comparison of Namibia’s first quarter house price index growth data with the latest report from the Knight Frank House Price Index ranks Namibia at number six in the world. Which is good news, seeing that Namibia was at one point ranked as the most expensive country, up there with Hong Kong.”

“Nevertheless, property price growth across the world has started to cool with increasing economic and political uncertainty creeping in.”

“A federal grant was supposed to create four homes in the inner city to help kick-start revitalization, but there’s a problem. The money for the program ran out and the homes were never finished. There are four homes for sale in the Blue Hills Neighborhood, but they’re not attracting any buyers. Construction stopped because the money from a Housing and Urban Development grant ran out. Anthony Bolton, who has lived in the neighborhood for six years, is concerned the project will never be finished. ‘There was a lot of work and then there was nothing,’ said Bolton.”

“The houses are intended for buyers with low incomes and are listed at $125,000, but that’s not enough to drive a sale. ‘I think it’s a waste of money. They could be using the money for something else instead of wasting it on houses they’re not going to finish,’ said neighbor Lakeisha Ridge.”

RSS feed


Comment by Ben Jones
2016-10-28 09:17:50

‘Is the Bay Area housing market losing steam? Could be.’

The Mercury News has been singing this song for about 8 months. Just come out and say it already.

‘It’s a good time to buy for anyone looking to purchase a high-end home in Thunder Bay. Canada Mortgage and Housing Corporation analyst Warren Philp said there’s an over-supply of houses priced at more than $300,000 on the market’

Not Thunder Bay! But, Chinese teenagers? All cash, uh, where the heck is Thunder Bay? BTW, the CMHC has sounded the housing bubble hurricane warning up north.

Comment by snake charmer
2016-10-28 12:14:22

If you look at a population density map of Ontario, Thunder Bay is the shaded spot on Lake Superior, surrounded by thousands of square miles of Canadian territory where almost no one lives.

My college geography professor once opined that you could break Canada in half right about there. And in fact something like that may someday happen.

Comment by Overbanked
2016-10-28 14:36:41

About 200 miles to Duluth and 300 miles to Minneapolis.

Comment by new attitude
2016-10-28 14:39:42

Why do we want to colonize Mars when we haven’t even colonized Canada yet?

Comment by Ben Jones
2016-10-28 09:21:35

‘Homes that sell well today are in the $300,000 range, not the $500,000 category that was hot a few years ago. ‘I don’t think anyone can put their finger on what caused that,’ says McIntosh. ‘Prices people are willing to pay has eroded substantially.’

Hot, eh? How about some real reporting down there, not this “it’s a good time to buy” stuff.

Comment by Jesus Navas is my Lord Savior
2016-10-28 10:11:08

not the $500,000 category that was hot a few years ago

Everyone was making more salary few years ago, ofcourse.

Comment by azdude
2016-10-28 10:27:52

where is the big bounce from that awesome 2.9% gdp report?

Comment by Apartment 401
2016-10-28 11:15:40

Median household income in Denver is less than $60,000 in case anyone forgot.

Comment by In Colorado
2016-10-28 11:31:01

Meh, let ‘em rent luxury apartments.

Comment by palmetto
2016-10-28 09:54:05

Looks like we are witnessing the great unraveling, and I’m not referring to the H campaign, although that’s part of it. The headlines this AM are flying thick and fast with info about Malaysia pivoting to China as a result of the TPP in jeopardy. Russian and US jets in “near miss” over Syria. Deutsche Bank teetering. US consumer confidence crashing. Obamacare dying. The Bundy Bunch acquitted. WSJ calling out the grifters in thief (they did? wut?).

Geez, who just kicked out the props?

Comment by taxpayers
2016-10-28 10:25:21

the consumer number means the refi cash is gone.

Comment by rms
2016-10-28 13:23:13

That mall piece in yesterday’s thread was (is) ominous… ushering the death of the middle-class.

Comment by azdude
2016-10-28 10:15:31

Creating more credit out of thin air and creating more debt slaves isnt working anymore. People cant afford their minimum payments.

Comment by In Colorado
2016-10-28 11:32:43

100 year, 0% interest mortgages to the rescue!

I shouldn’t say that, the PTB might actually try to do that.

Comment by palmetto
2016-10-28 10:28:06

HOLY JEEBUS, the FBI is re-opening the probe into the Clinton emails.


Comment by Ben Jones
2016-10-28 10:44:39

It’s the Russians.

Comment by azdude
2016-10-28 10:51:24

hilary is good for stocks.

Comment by palmetto
2016-10-28 11:14:53

stocks don’t seem to like the news much, lol. Neither does the peso.

(Comments wont nest below this level)
Comment by Ben Jones
2016-10-28 11:19:48

It could be that Amazon spent too much on their new self-driving, flying rickshaw.

Comment by palmetto
2016-10-28 11:29:01

“It could be that Amazon spent too much on their new self-driving, flying rickshaw.”

Curses, foiled again!


Comment by Blue Skye
2016-10-28 12:16:38

“the peso”

There might be too much oil.

Comment by new attitude
2016-10-28 11:01:53

Silly Gary J. has a chance now!~

Comment by Raymond K Hessel
2016-10-28 14:41:57

Gary Johnson will be forever clueless. And the Libertarians will never go anywhere with their support for free trade and open borders.

(Comments wont nest below this level)
Comment by palmetto
2016-10-28 11:02:18

LOL, I’d love to hear that one from the MSM: James Comey is a secret Russian agent and is interfering with the “sanctity” of the US elections, lmao. Or, how about: James Comey is a racist and is suppressing the minority vote. Or maybe: James Comey is a sexist and doesn’t want a woman to be president.

Truth be told, however, this is largely symbolic if they don’t convene a grand jury. As great as this news is, I’m not popping the champagne just yet.

Comment by new attitude
2016-10-28 11:21:47

I like Trumps idea of term limits.
I hate his ideas to spend all the money on wars, walls and lawsuits. And no plan to fix health insurance costs.

Bring on the crash.

(Comments wont nest below this level)
Comment by palmetto
2016-10-28 11:46:40

I hate his ideas to spend all the money on wars, walls and lawsuits”

He wants to spend money to re-build the military, not on wars. I know it sounds like an oxymoron, but he’s using the “peace through strength” line. In fact, he doesn’t want “wars”, but he does want to “knock the hell out of ISIS”. Really, all he has to do is cut off the funding.

I like the wall, I think it is a good idea. And if he staffs up the DOJ properly and drains the swamp, it will be well worth it, provided the banks are handled. JOBS, JOBS, JOBS for out of work attorneys.

Comment by new attitude
2016-10-28 14:09:56

Sounds like bigger government and more deficit spending Those bombs that target ISIS are not cheap. Russia doesn’t care if we have 400 nukes and they only have 50.

Not too mention more trickle down…

(Reagan tripled the deficit)

Comment by Rental Watch
2016-10-28 12:26:42

Apparently it’s Carlos Danger.

Comment by palmetto
2016-10-28 12:33:17

Heh, just now saw that.


Gawd, no one could possibly make this stuff up. Brought down by a weiner.

(Comments wont nest below this level)
Comment by palmetto
2016-10-28 12:51:24

And to add to the above:

Huma Abedin, sucks to be you!

Comment by Rental Watch
2016-10-28 13:41:02

If we found out 6 months ago that a man’s sleazy nature would ultimately cause the downfall of HRC’s campaign, 999 out of 1,000 would have said it must be Bill Clinton.

Carlos Danger!

What a brilliant pseudonym.

Comment by Raymond K Hessel
2016-10-28 14:44:20

Hillary undone by a Weiner probe. Some jokes write themselves.

Comment by Rental Watch
2016-10-28 14:52:14


Oh sh*t, Huma’s e-mails, unscrubbed by HRC’s attorneys.

I guess we’ll find out if all the e-mails her attorneys deleted were about yoga and wedding planning after all.

Comment by Professor Bear
2016-10-28 14:05:29

Is he running for president now? It seems like we can’t get enough candidates with a sketchy history of sexual abuses.

(Comments wont nest below this level)
Comment by palmetto
2016-10-28 14:56:02

It seems Hillary got grabbed by the Weiner.

Comment by Rental Watch
2016-10-28 14:56:15

Apparently he used to share a device with Huma that is now in the FBI’s possession, and it contains previously undisclosed e-mails.

If any of those e-mails show an intent by HRC to break the law with respect to her e-mail server, well, that is kind of a big deal.

Comment by Raymond K Hessel
2016-10-28 16:33:36

Sure, Loretta Lynch and FBI Director Comey will get right on that….

Comment by GuillotineRenovator
2016-10-28 19:17:54

“Sure, Loretta Lynch and FBI Director Comey will get right on that…”

Exactly. This is all for appearances, to make it seem like they’re actually doing their job and not corrupted lawbreakers who should be imprisoned.

Expect more of the same- NOTHING.

Comment by Ben Jones
2016-10-28 19:30:50

If you see a fumble, pick it up and run for the goal line.

Comment by jerzdebil
2016-10-28 10:48:42

Yep, this is bigly, BIGLY! No way is a person under federal investigation going to be elected prez. They best fire up the gulfstreams and bail to their safe space in Saudi. Most of DC and ((wall street)) can go as well.

Still would have liked to see her elected and then have a draft of women sent off to fight Isis in Syria. Dont worry, theres even an app for that princess!


Comment by Apartment 401
2016-10-28 11:12:55

Send Lena Dunham first.

Comment by rms
2016-10-28 13:26:17

“…have a draft of women…”

Anything to protect the jooz.

Comment by Jesus Navas is my Lord Savior
2016-10-28 11:09:14

Does it mean the elites decided to dump her after all? As might as well elect Trump and bring on the depression, that will teach the plebs, no?

Comment by palmetto
2016-10-28 11:35:17

Hard to say what it is. For sure there’ll be a lot of speculation. While the new emails that “came to light” are said to have nothing to do with wikileaks, some of the “elite” got a glimpse into the inner workings and infighting of the personnel and consultants involved in the campaign.

They really dissed the heck out of Rupert Murdoch and judging from the WSJ today, he’s had enough.

Comment by palmetto
2016-10-28 12:01:03

I dunno, but I’m watching her speech in Iowa intermittently, and ya have to almost admire her ability to put a good face on things, forge ahead and act as if nothing’s happened.

That said, I really do wonder about this investigation, if it’s some sort of head fake. I was pleasantly surprised at first, but now I kind of don’t trust it. Wouldn’t surprise me to find out she knew all about it ahead of time. If it has an impact, I guess that’s good.

Comment by Jesus Navas is my Lord Savior
2016-10-28 14:03:27

Even the NYTimes is covering it….the elites are not happy.

(Comments wont nest below this level)
Comment by mcbain!
2016-10-28 15:35:59

They are protecting Obama, who was going to do the same thing with his foundation. Thats the trick every oligarch uses - facecrook, gates, bloomberg, etc.

Poor hillary, got shlonged again. By a wiener no less!

I wonder if Ken Bone approves?

Comment by taxpayers
2016-10-28 17:25:41

1st time in 20 years

Comment by Jesus Navas is my Lord Savior
2016-10-28 14:31:20

if it’s some sort of head fake.

Could be. Anything is possible…they know they are in deep doo-doo with only 11 days left.

(Comments wont nest below this level)
Comment by Jesus Navas is my Lord Savior
2016-10-28 14:16:16

How much Trump paid Hillary to throw the election?

Comment by Carl Morris
2016-10-28 21:14:06

He’s rich but he’s not that rich. They’ll have to pry it from her cold dead hands.

Comment by Ben Jones
2016-10-28 10:33:06

‘The retail marketplace continues to undergo a period of retrenchment and reinvention, the likes of which we have not seen since the rise of the suburbs starting in the late 1950s. The new period of disruption has been fueled by the rise of e-commerce, in particular Amazon, with the emergence of smartphones and tablets acting as a major accelerator since 2010.’

‘Combined with a consumer base that downshifted into frugality mode during the Great Recession, the current marketplace is one of the most challenging retail landscapes of the past 50 years.’

‘In spite of these challenges, overall shopping center vacancy has actually continued to trend downward. Despite a significant increase in retail closures (through the third quarter Cushman & Wakefield has tracked over 4,000 major chain closures for 2016, surpassing 2010’s record of 3,600), as well as multiple notable bankruptcies, the disruption has not equally impacted all retail sectors.’

‘Most strikingly, following five consecutive years of rising rents, the average asking rent for shopping center space in the U.S. fell for the first time this quarter.’

‘For the most part, however, this will just be a continuation of the trends we are seeing already in the marketplace. What is more challenging is the increasing weakness we are starting to see in some of the categories that have driven growth over the past few years.’

‘Roughly half of all of the retail unit growth that we have tracked in the U.S. in the post-recession era since 2010 has come from restaurants. Prior to 2010, this category typically accounted for one-third of the total retail unit growth annually in the U.S. But years of aggressive expansion from hundreds of concepts mean that the dining landscape is increasingly saturated. Though American consumers are eating out more than ever, restaurant closures are on the rise and will increasingly be an issue heading into 2017 and beyond. This sector isn’t likely to see contraction in 2017, but we are due for a shakeout with winners and losers emerging.’

‘The same is likely to hold true for grocery stores. Look for new, smaller niche concepts to continue expanding while consolidation plays out among many traditional concepts, mostly those active with larger footprints. Meanwhile, the discounter, off-price apparel and dollar store categories each have varying degrees of runway left.’

‘But after years of aggressive expansion we are already starting to see signs of market saturation for these players. These categories are also likely looking at a shakeout sometime in the next 12 to 24 months. The long and short of it is that many, if not most, of the categories that have been in expansion mode over the past few years are likely to slow growth ahead.’

Comment by Ben Jones
2016-10-28 10:42:59

‘REITs, which own buildings that range from residential, office, retail and hotel properties to data centers, cell phone towers, prisons and farms, have certainly matured as an asset class. Yet, the same low interest rate environment that has made them so popular with investors has also made it harder for REITs to acquire new properties at valuations that make sense, industry sources told The Real Deal.’

‘Many public real estate companies have adjusted to that change on a national level by upgrading their current properties and paying off debt to prepare for the next downturn. For the first web installment of the Q&A, we bring you TRD’s interviews with Anthony Paolone of J.P. Morgan and Steven Marks of Fitch Ratings.’

‘Which property types in NYC are the most and least attractive to REITs right now? Office actually looks pretty good to us. In the apartment business, you had a pretty strong run of rent growth a few years back, but that has weakened. There are now concessions, rents are down, and there’s a surge of supply either underway or that’s been recently delivered. Where it gets interesting is on the office side. A couple of the larger office platforms, like SL Green TRData LogoTINY and Vornado, are trading below real estate value.’

‘What are the most surprising trends you’re seeing with REITs that invest in NYC? The high degree of office and multifamily development in Brooklyn — particularly the Downtown submarket — is a surprise. The market is becoming saturated with supply, and while there is an expectation of unbridled growth, it appears to be getting ahead of itself.’

‘Any REITS that investors should be wary of? There are a few REITs whose dividends exceed, or are close to, their cash flows, and a dividend reduction would enhance these companies’ liquidity. In particular, Liberty Property Trust has a dividend payout ratio [a dividend of $1.90 a share, 4.88 percent yield, according to Yahoo Finance] that is well above the sector average. Fitch generally views persistently high dividend payout ratios as a weakness in corporate governance that is evidence of a focus on shareholders over bondholders.’

Comment by Rental Watch
2016-10-28 12:39:06

I own a number of industrial REITs and two retail REITs. As I’ve watched them over the past 5+, I’ve noted a couple of common trends among the REITs that I own:

1. They have been selling less prime locations, and keeping/buying more prime locations. I believe the theory is that in a downturn, it is better to have still full buildings, but with lower rents, than empty buildings with no rent. Better locations will have steadier demand.

2. They have been focusing on having longer-duration debt, rather than a lot of money outstanding on floating rate lines of credit. They are paying more in interest than they NEED to (because fixing your rate is more expensive than floating), but they have less exposure to interest rate risk (as it relates to their ongoing cost of servicing debt). There is also less risk related to a major credit market calamity, since they don’t need to constantly find large sources of debt for large short-term renewals.

On the last point, they may be fighting the last war, but they are certainly keeping themselves positioned more conservatively from a balance sheet standpoint.

They certainly won’t be immune to the next downturn, but they are positioned far better than they were in 2007/2008.

Comment by Blue Skye
2016-10-28 12:53:16

How leveraged are they?

Comment by Rental Watch
2016-10-28 13:21:37

I looked at one yesterday, it’s about $6B of debt, with market cap of about $5.5B, so just a bit over 50%. The market cap is indicative of a total value at about a 6% cap rate on the real estate ($700MM of NOI, on total debt plus equity of about $11.5B). So, they have $700MM of income to service about $6B of debt (an 11.5% “debt yield), and are paying out about 60% of free cash flow as dividends, which today is about a 5% dividend on today’s stock price.

Ticker is DDR. I might be a buyer today given the yield, but I’d be nervous about retail as their main product type. I don’t sell because I hold it in a taxable account, and my basis is in the low single digits. It would be impossible for me to replace that cash flow after paying tax in any reasonable risk-adjusted way.

(Comments wont nest below this level)
Comment by Rental Watch
2016-10-28 13:22:51

In general though, I’m seeing leverage in the 50-60% range…generally.

(Comments wont nest below this level)
Comment by Rental Watch
2016-10-28 13:27:54

Don’t mean to be responding to my own posts, but others are lower…FR has market equity of $3B, and $1.5B of liabilities, so they are at about 35% on it’s face, but I think the stock is trading at more than NAV, so perhaps the leverage isn’t that low, but still likely not more than 50% of value.

PLD has market equity of $27B, and total debt of about $12.6B, so similar to FR (but I think very fully valued at the moment).

Comment by new attitude
2016-10-28 10:50:18

US gross domestic product grew at an annualized rate of 2.9% in the third quarter, its fastest in two years, according to the advance estimate released Friday.

Should make it easier to increase rates.

Comment by Jesus Navas is my Lord Savior
2016-10-28 11:04:26

Everything is so contrived, I don’t think any thing they put out.

Comment by new attitude
2016-10-28 11:45:01

True. Might as well ignore it all and go fishing.

Comment by azdude
2016-10-28 12:11:49

that # is a green shoot and bullish for clinton cause it means nothing will change except more debt and artificial asset prices.

There is infinite debt available. You just create credit and loan it out. It is easy peasy!

Comment by Blue Skye
2016-10-28 13:01:15

No limits to the amount of money the banks can create to lend, just tap the Fed. No reserve requirements. No accounting standards.

However, if the banks do not generate income off the money they borrow from the Fed, might that limit them?

(Comments wont nest below this level)
Comment by Ben Jones
2016-10-28 12:38:36

‘Uber’s claim that its drivers are contractors — and not employees entitled to vacations — was rejected Friday by a British tribunal, in a ruling that may have implications for a range of companies that rely on self-employed workers. The employment tribunal ruled that the two drivers who brought the action were employees of the ride-hailing service, and so were entitled to paid time off and a guaranteed minimum wage. Uber plans to appeal.’

“The Uber ruling will demystify much rhetoric on the gig economy being inherently liberating,” said Guglielmo Meardi, director of the Industrial Relations Research Unit at Warwick Business School.’

‘Attorney Nigel Mackay, who is representing the drivers, said he was pleased the tribunal recognized that his clients were entitled to basic workers’ rights. “Uber drivers often work very long hours just to earn enough to cover their basic living costs,” he said. “It is the work carried out by these drivers that has allowed Uber to become the multi-billion-dollar global corporation it is.”

You read that right folks. Uber is a sub-minimum wage position where you have to bring your own car.

Comment by azdude
2016-10-28 15:47:16

nobody owes u a job. If they dont like the working conditions, leave.

Comment by taxpayers
2016-10-28 17:29:08


Comment by Ben Jones
2016-10-28 12:41:41

Rocket Fuel Inc. (FUEL)
2.135-0.205 (-8.76%)

Market Cap 94.91M
P/E Ratio (ttm) -1.54

52wk Range 2.09 - 5.19


The stock market smells like a dog kennel.

Comment by Professor Bear
2016-10-28 14:03:54

“Rocket Fuel Inc. (FUEL)”

No bubble here!

Comment by new attitude
2016-10-28 14:43:17

I remember the buy and sell 3 mins later game in 1999 based on email picks. The last one i did was (ATOM) after buying and selling and making a quick $200-300, (beat the next guy) I found out it was Atomic Burrito.

Comment by Raymond K Hessel
2016-10-28 14:45:23

Does the CEO wear a black turtleneck? ‘Cause if he does he’s a visionary and stuff.

Comment by oxide
2016-10-28 16:45:32

I went to the Rocket Fuel website to see what the heck they actually did. Basically they are a push marketer. They go further than just targeting the desires of a particular customer. They target the tastes of a particular customer at a particular moment. For example, Janey like oatmeal, but only for breakfast. So it’s worth it for Quaker Oats to advertise oatmeal only in the morning, so they can save ad money in the evening. That’s the kind of information that Rocket Fuel sells.

Comment by GuillotineRenovator
2016-10-28 19:34:42

These are nothing but marketing schemes which make money for one entity- the person selling the scheme.

Comment by Rental Watch
2016-10-28 12:44:37


Champion of democracy, right here…perfect microcosm of HRC’s brain at work.

Comment by rms
2016-10-28 13:30:51

“…perfect microcosm of HRC’s brain at work.”

Yep, Hillary’s brain with a yarmulke on top.

Comment by butters
2016-10-28 17:21:52

“I do not think we should have pushed for an election in the Palestinian territories. I think that was a big mistake,” said Sen. Clinton. “And if we were going to push for an election, then we should have made sure that we did something to determine who was going to win.”

Comment by Jesus Navas is my Lord Savior
2016-10-28 14:05:17

Whatever they have on Trump, they better bring it asap. Time’s running out and with the FBI reopening investigation…….

Comment by Rental Watch
2016-10-28 15:08:21

Unless it’s a spoof, the NY Post cover on the new FBI investigation is great.

“Dickileaks: FBI Re-Opens E-Mail Case”

“Stroking Gun: Weiner Sext Probe Found Dirt on Hill”

Comment by palmetto
2016-10-28 16:16:36

Not a spoof. That’s tomorrow’s NY Post cover. I don’t know who dreams up these headlines and titles, but that’s some great stuff.

I recall the “Snakes on a Plane” headline for Bill and Loretty.

Comment by butters
2016-10-28 16:29:32

I don’t know who dreams up these headlines and titles, but that’s some great stuff.

Ivy-league edumcation.

(Comments wont nest below this level)
Comment by palmetto
2016-10-28 16:50:45

Nah, that’s brash, wise-arse, old-school New York type stuff, much like Trump himself. Part tabloid, part nuts-and-bolts journalism.

Comment by butters
2016-10-28 17:29:00

Have you met any ivy-leagurer in power of position?

Comment by palmetto
2016-10-28 18:30:42

Well, now that you mention it, I’ve met many an Ivy-Leaguer, but not many in a real position of power. Mostly wealthy feck-ups. Some genteel poor, putting on a good show. Some were OK people, a few were arrogant.

The worst were the non-Wasp climbers who made it, money-wise.

Comment by Jesus Navas is my Lord Savior
2016-10-28 14:40:55

They ignored for so long. Why are they covering it now nonstop?

Comment by Jesus Navas is my Lord Savior
2016-10-28 14:44:50

2 observations:

1. They think she has it on the bag or they have a sure way to rig it. So this doesn’t matter. FBI (and gobmit as whole) and MSM get some credo back.

2. She’s always been in deep doo-doo regardless of the fake narrative with fake polls. Finally they decided to pull the plug.

Comment by butters
2016-10-28 16:26:22


Comment by Jesus Navas is my Lord Savior
2016-10-28 14:46:26

President Biden?

Is it too late?

Comment by mcbain!
2016-10-28 15:52:49

I thought about this, it probably is too late. And it wouldnt be Creepy Joe, it would be creepy Tim Kaine. The two together would make a good police line up for pedos.

Anyway, we may be looking at the period where the US empire ends. We all know the economy and housing and education and healthcare and pensions and and and are broke and broken. Time to pack up our world wide war machine as its only serving the oligarchs. Trump may be the best way to transition to a more self reliant nation, rejecting the sociopathic ((tribe)) and their need to control the world. See the latest on Albright? That old hag appears to have been running a front for mercenaries. All these people need to be fed to komodos.

Comment by phony scandals
2016-10-28 19:19:26

You would have to get all those dead people to change their early votes from Hillary to Biden.

Comment by Jesus Navas is my Lord Savior
2016-10-28 14:47:32

What a fun election! Better than Santa Claus.

Comment by Jesus Navas is my Lord Savior
2016-10-28 14:49:55

They know the depression is coming, they want to blame Trump. Will Trump want this? If I were him, I would release any tape or video I may have in my disposal.

Comment by new attitude
2016-10-28 14:54:22

I want less gov, who do I vote for?

Comment by butters
2016-10-28 16:23:08

Why pretend? You already voted Clinton.

Comment by Mole Man
2016-10-28 16:27:36

Maybe you should run for office yourself, possibly starting small such as with a school board or local council of supervisors to learn the ropes and make connections. Just a suggestion. If you want things done right you might have limited alternatives.

Comment by butters
2016-10-28 16:36:03

He’s an agent of elites aka Hillry voter.

Comment by azdude
2016-10-28 15:11:58

We need to create more credit so people can jump start this economy!

Comment by Rental Watch
2016-10-28 16:01:00

I love how the Democrats praised Comey for his impartiality when he let HRC off the hook before, and now they are demanding his head and claiming that he’s trying to influence the election.

The e-mails could be few in nature, and meaningless, in which case, we will find out quickly that it’s a big nothingburger.

Or, there could be basically Huma’s entire e-mail archive on the computer, unscrubbed by HRCs counsel, in which case, the FBI will have plenty to look through, and we won’t know much of anything right away unless they find a smoking gun in the near-term.

Comment by butters
Comment by Ben Jones
2016-10-28 16:59:33

Democratic Underground: “the system is rigged.”

Comment by butters
2016-10-28 17:34:54
(Comments wont nest below this level)
Comment by Rental Watch
2016-10-28 22:12:44

That’s OK, it’s only one letter that Comey sent. If the FBI couldn’t find anything in thousands of e-mail from HRC to justify indictment, I don’t see how anyone could prove Comey is interfering in an election by sending a single letter to Congress noting an update on an investigation based on the receipt of new potential evidence.

Comment by Raymond K Hessel
2016-10-28 16:53:55

Hillary got schlonged by a Weiner.

Comment by butters
2016-10-28 17:00:20

As a child she knew she would not like Weiners.

Comment by palmetto
2016-10-28 16:01:41

And here’s the tolerant left badgering the homeless lady guarding Trump’s walk of fame star. Do not watch if you have high blood pressure.


Comment by mcbain!
2016-10-28 17:02:13

Wow, thats nuts. Reminds me of when I was in college and from time to time there would be some religious guy talking about the bible and how everyone is a sinner, how a woman is the property of man, etc. A number of students would lose their minds arguing with him, almost on the verge of getting physical. I found it amusing for the most part - I may or may not agree, but I would listen and then just head to my next class. Those who got unhinged seemed to be the more demented if I was to make an honest mental assessment of everyone.

Comment by palmetto
2016-10-28 18:35:43

Michael Cohen, Trump’s in house counsel, has put out a tweet looking to locate the woman. The reddit sub is going nutz trying to get someone in the area to find her. The poor thing is probably terrified, I would be the same, not knowing if the people trying to find me were friends or foes. I hope they handle it correctly.

Comment by butters
2016-10-28 17:06:04

Whose stars are next to Trump’s?

Comment by Raymond K Hessel
Comment by butters
2016-10-28 16:12:02

I am gonna enjoy some Carona tonite. President Trump might just ban it next year.

Comment by Raymond K Hessel
2016-10-28 16:17:56

Will Weiner discharge more leaks?

Comment by butters
2016-10-28 16:20:51

Mobile off. Lost of hate mails and death threats.

Comment by Raymond K Hessel
2016-10-28 16:35:57

Meanwhile, in Toronto, “investors” are buying condos most have no intention of living in.


Comment by Raymond K Hessel
2016-10-28 16:40:33

The disdain Team Hillary has for the precious snowflakes and Millennials who vote for her is palpable. Thank God for Wikileaks for pulling back the curtain on these grifters and cynical political manipulators of the stupid.


Comment by butters
2016-10-28 16:51:26

Democratic coalition files complaint against FBI Director for interfering in the election

LOL…where does Trump file his grievances?

Comment by Blue Skye
2016-10-28 17:54:25

From the beginning, it is not the truth that points to guilt. It is the revealing of truth that points to guilt.

Comment by butters
2016-10-28 17:17:51

Trump: ‘We should just cancel the election’ and declare me the winner


Comment by butters
2016-10-28 17:38:47

Hope Trump can pass his presidency to Ivanka after he gets bored in a month or 2.

Comment by butters
Comment by butters
2016-10-28 17:31:38

Clinton Campaign Manager Robby Mook deleted his entire Twitter stream today.

Comment by Raymond K Hessel
2016-10-28 18:08:32

Hehehehehe. Somewhere, Triggly-Prof and Sweet William are sobbing disconsolately.

Comment by Professor Bear
2016-10-28 20:05:26

I care less about the election outcome than I do about people who never outgrew their junior high school bullying days calling me moronic names.

Comment by butters
2016-10-28 18:04:48

I am really done with Politico, HuffingtonPost, and Salon. . . .


Comment by butters
2016-10-28 18:06:20

But on politico.com, I have been avoiding that site for weeks now as their coverage is skewed anti-Hillary I think.
And I am not looking for a skew but their headlines are suspect.
Sticking with vox.com so far. Any others you recommend?


Comment by Raymond K Hessel
Comment by Raymond K Hessel
2016-10-28 18:07:18

Carlos Danger may have saved the Republic.

Comment by Professor Bear
2016-10-28 20:10:12

Do you really think the American electorate is stupid enough to decide how to vote based on a few emails from a defunct politician who compulsively sexted his wiener?

Comment by Raymond K Hessel
2016-10-28 18:25:16

But…but…the Keynesian central bankers assured us debt-fueled “growth” was the path to permanently expanding economic prosperity.


Comment by Karen
2016-10-28 19:45:35

No one has commented on this, so I will. From the last article Ben linked to:

“A federal grant was supposed to create four homes in the inner city to help kick-start revitalization, but there’s a problem.”

“The money for the program ran out and the homes were never finished.”

“The city allocated $725,000 in federal funds to Blue Hills Community Services to build four houses. That was two years ago.”

Four houses in a poor neighborhood cost $181,250 each to build???? And they didn’t even manage to finish them because ‘the money ran out’ ?!?!

I only have one question: whose pockets did this money line?

Blue Hills Community Services. Here we go with these public housing/development/social service agencies. Pure rot. They are a plague.

Name (required)
E-mail (required - never shown publicly)
Your Comment (smaller size | larger size)
You may use <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <strike> <strong> in your comment.

Trackback responses to this post