Market Mad House

In individuals, insanity is rare; but in groups, parties, nations and epochs, it is the rule. Friedrich Nietzsche

Family Dollar

Market Commentary

Who Else Would Acquire Rite Aid?

Yes it is a bit of a dark horse, but Rite Aid does meet some of Warren Buffett’s value criteria: it is a good company that has been going through a rough patch yet still has the potential to generate a lot of cash. It also has an easy-to-understand business model in a decidedly unglamorous industry—selling shaving cream and prescriptions. Rite Aid also meets another one of Uncle Warren’s classic criteria: it is a company that an idiot could run if necessary.

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Good Stocks

Kroger Is Now a Bulk Discounter

Most investors seem to have missed a massive disruption in the world of American retail. Kroger (NYSE: KR), the venerable grocer, has successfully transformed itself into a highly effective and aggressive bulk discounter with capabilities rivaling those of Costco Wholesale (NASDAQ: COST).

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My Thoughts

The High Price of Poverty in America

One reason why the poor stay poor is that they often lack the opportunities to save money that middle and even working class Americans enjoy. By save I don’t mean put money in a bank account, which is obviously important, but simply pay less to live.

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Good Stocks

Alco’s Demise Reveals Kroger’s Incredible Ability to Discount

Walmart and Target certainly have their work cut out for them if they want to maintain their positions in the retail market. Safeway will have even more work to do if it wants to become a credible rival to Kroger.

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My Thoughts

My Investment Philosophy

I like stocks because these questions are pretty easy to answer when it comes to publicly traded companies. You can look at things such as TTM revenue, free cash flow, and net income and quickly determine if a company is actually making money. More importantly, you can see if a company has a history of making money and the potential to make more money in the future.

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Politics

What is the Cause of Income Inequality?

You see the problem here. Technology is most likely to take the jobs of those members of the working and lower middle classes that make the most. It also takes the jobs that provide them with some upward mobility. This

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Good Stocks

Low Gas Prices Good and Bad for Dollar Stores

The oil industry may have just handed discount and dollar stores a huge Christmas gift. Gasoline prices in parts of Missouri are now below $2 according to Springfield News-Leader.

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Thrift

Items that you should Shop for at the Thrift Store

Women’s shoes, especially dress shoes. Lots of women have closets stuffed full of shoes. At some point, most of them end up donating those shoes. If you’re willing to buy shoes a couple of years out of fashion or classic looks, you can find some bargains here.

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