Caterpillar, Pain, CEO discussed on Phil's Gang
Now, here's Phil. Caterpillar has its best third quarter in the company's history that sock. I'm sorry is down eleven percent. Since the earnings report. There's no sensible human who'd be making these decisions when we're looking cat and they've got eight to ten percent earnings growth ahead of them. And they're trading at ten times earnings, and they'd have these out of the park earnings calls. It's gotta be robo based artificial intelligence based. Oh my God. No. It's not robo based artificial intelligence base with Caterpillar, very simple. The institutions the biggest hedge funds the biggest insurance companies denying biggest banks in our country, pull their money out of Caterpillar. And it went down. It went down. Yesterday. Pain was going crazy. I can't figure it out. He said I went through the balance sheets. I went through all the bells did all the numbers should be going down. Well, it goes down when you take money out. If you listened to stories to buy stock. That's what they tried to tell you. And they try to tell you stories like Kramer, always tells you a story why should by stop. You always have I met with the guy. I know the CEO I know they're going to China. I know there's no you don't have to know anything about stocks to make money. All you need to know is when I take my money and put it in with the institutions, why do I take my money out with the institutions I want to be going in with them and out with them. And I realized that I realized that for years, I'm going. I've been in this market over forty years, but under served seventy two years and longtime ago, I kept saying how can people not make money when the market goes up seventy two times seventy two percent of the time. How it's impossible. How can people? Not make money winning the last eighty years the market has only gone down where the major correction we've only had seven corrections in eighty years and seventy two percents time to market goes up and the answer came to me. And that's right developed my chart, you answer is because just like Caterpillar when they pulled their money out you get out. But no, why did they stay in because like pain says he's gone through or if you can keep financier yesterday right here. Let's listen to what he say why he's all confused about Caterpillar. Let me tell you something Caterpillar it's getting crushed today. I'm so confused. I went to the income statement. I went through the balance sheet. I didn't listen to the conference call. But he says he wants you to balance sheet. He all the financials. I didn't do any of that. All I know that we're in Caterpillar when it was one hundred thirty dollars a turn green. It went from one thirty up to a one hundred fifty three that's about an eight percent gain. I think okay. Let's see. Seventeen percent gain. So we keep percent gain. All gang members got an exactly when I got it. But let's say they got half of it. Let's take got eight percent of it. The important thing is not if they got seventeen percent gang or ten percent gang or five percent gain in. Caterpillar thing was when I saw it turn green identify the institution, you're putting money, but more important. The most important is on is. On Tuesday, October ninth. It turns red then we waited one more day. It was read again for confirmation. I didn't go and redefine the balance sheets. I didn't read any of that. So while it dropped down. Caterpillar dropped out about twenty percent. Pain the genius. He's thumbing through the financial sheets. He's thumbing through the ballot sheets. He's thumbing through the. Ten ten k he's gone through who cares? Maybe maybe they got a shipment of steel in late or something in the balance. You may have maybe they got shipping steel in that where they couldn't produce these bulldozers they're sending over to Taiwan. Who cares? The institutions please listen to me, the institution's biggest banks insurance biggest henchman they're paying people millions and millions of dollars to do research and you'll see them pull their money out as a result of that research. So it doesn't make common sense. It did to me. That's why my chart so if it turns red, and and Goldman Sachs and j p mortgage and mortgage Danny is paying twenty two million dollars a year to the geniuses. They graduated from Harvard and for me L would masters degrees to follow these companies to find out when they're pulling their money out. Not to the balance sheets how the balance sheets work out for paying. He got confused. Let me tell you something Caterpillar it's getting crushed. I'm so confused I to so so so he's got everybody in Caterpillar is going down there getting killed. I got people in Caterpillar, but shorting it. Opposite shorting it. That's just one. Can't take all homebuilders. I said the home builder's you're gonna get crushed. They're going to get crushed listen. I was right. When we got in the home builder's, we got into the home builder's about God about three months ago. But here, let's just let's just take. Toll brothers. Just take toll brothers. So toll brothers. We saw the money starting to come out on September nineteenth. There's around thirty six bucks. And now today's down to twenty nine so, okay. So thirty six down to twenty nine. So so it went down nineteen percent. So I spotted mite color coded chart. It was green. It was green from. It was green from August twenty four and it stopped turning green turned red September nineteen. I didn't look at their balance sheets. I didn't go through their ten ks. I didn't do any of that. All I saw it turned. Right. So I said to my gang members. Let's sell short the institutions are pulling the money out. So now, what would you say down down about twenty percent? And we're still in it. We're still in it and yesterday. In fact, I said let's start taking some profits. Because they're going to try to snap these back and yesterday. Sure enough, they tried to snap these stocks back. We had the prophets in our pocket. And I said, well, we make new laws will go in and slam him again. It's that easy. But when I every day when I tell you, why don't you join my gay. He's trying for a month. Just follow the video stocks. These are for people who have no time. Don't wanna learn anything. They just wanna make money. Okay. So I said, let's give it to them much. Give these people don't wanna do anything. Don't wanna work. Don't want to put any time is let's give them it. We'll just tell them. Okay. Get in because it's turned red. We want to sell it short. Okay. Or get in its greens going up. Now get out it's red. And we do that through a video every day. We give you the by the cell, and we're going to give you a run like hell order. Okay. Get out of dodge move run. Like hell, why don't you try it for a month? That's all it works. So now, we got for example, I knew at the same time. It's pretty easy to figure out we got interest. We have Helwe headwind, well, well pain in Barney and Maria Barreda, aroma and all those guys on CNBC and Bloomberg. We're tell us. This is the greatest economy to ever ever happen to us. The greatest economy listen to this year. This is unbelievable. The cut where he goes. Here. We are here. If you're just looking at themselves. I thought they were pretty fantastic. We just blow it out in the earning side earnings discontinued to to move higher earnings are still very solid. We still earnings very solid earnings, really solid. So just buying earnings or Charlotte. We got revenue MRs from Hilton Texan Illinois tool. Sales falling short at UPS. I mean, when you're looking at some of the numbers that were getting out of the earnings, you'd think the market would be doing far better than it is right now literally Lucia theories a bunch of nonsense. It's not like it used to be, you know, where they get the earnings from what they do with earnings is they do stock buybacks stock by Dax creates earnings phony earnings and the minute you have phony earnings which we've had for for the last eight years, and you building a bubble when the interest rates start going up those earnings are fake, and when you start paying instead of zero on your money, if you're you're a big institution your big corporation, you're boring boring boring up to your next you're going to debt because it's free money. And then all of a sudden the interest starts going up. You're get your dead dead and they got show, greedy. They're so addicted they've been so addicted to stock buybacks these CEO's they ended their addicted. They're like heroin addicts. They couldn't stop themselves. Now, all of a sudden interest rates go up. That's a headwind interest on our national debt. In two thousand seventeen was two hundred sixty three billion. It's going now at two thousand eighteen to four seventy five billion. But guess what? With the United States had to reduce its investments by forty five percent because the interest rates have gone up so much. They can't invest, and you're telling us this the best economy of the world.