Recently a countersuit was filed by Gradient Analytics against Overstock.com (NASDAQ:OSTK) and Patrick Byrne, claiming that the company and Byrne engaged in a smear campaign after negative reports on Overstock were issued by Gradient. The suit includes allegations that Overstock and Byrne committed acts of defamation, tortuous interference with prospective business relations, and unfair business practices.
Gradient President and CEO Brad Forst said: Continue reading
The Sith Lord lives on, according to Overstock.com (NASDAQ:OSTK) CEO Patrick Byrne. I am thankful that we have Wacky Patty to look out for the interests of investors. He gave a speech March 3rd at the University of Utah, and the school newspaper wrote about his comments.
And who would have guessed that Byrne was going on and on about conspiracy theories? Again, he’s talking about naked short selling. And of course, naked short selling is the reason Overstock’s financial performance stinks and the stock is such a bad investment.
As usual, there is a conspiracy between journalists and hedge funds to screw investors. And now organized crime is involved, and Byrne laughably is quoted as saying: Continue reading
I present for you today one (just one) example of the accounting shenanigans at Overstock.com Inc. (NASDAQ:OSTK) to demonstrate the deception of management. This accounting concept is quite elementary, and it is called EBITDA.
EBITDA = Earnings Before Interest, Taxes, Depreciation and Amortization
Accountants and investors generally agree on what all of those items (earnings, interest, taxes, depreciation, amortization) are. So the computation of EBITDA is quite simple, if presented with accurate and complete financial statements. Continue reading
2006 was a bad year for Overstock.com (NASDAQ:OSTK). (As if any year isn’t bad for them?) Jason Lindsey even said that the 2006 numbers were “bad on purpose”:
“All of the things we have talked about before as far as classifying all of our SKUs as either red and green and 80% of our — excuse me, 20% of our inventory was doing 80% of our gross profits, or even more than that. We took all that to heart in the fourth quarter and although the fourth quarter results are very bad, and I admit they are very bad, they were bad on purpose. In other words, we used the fourth quarter to get rid of all the slow-moving inventory. I am quite pleased with the inventory balances we have now.”
Patrick Byrne spent much of 2007 bragging about the “turnaround” that the company was having: Continue reading
The “Black Ops” train at Overstock.com (NASDAQ:OSTK) has been chugging full steam ahead over the last month, so that can only mean one thing… Patrick Byrne and his minions have something to hide.
And indeed, the fourth quarter financial results were not so good. So in order to deflect your attention from the numbers and the facts, the so-called “executives” spend their time smearing those who criticize the company. Executives take pot shots at writers who question the company and its management… writers like Herb Greenberg, Gary Weiss, Floyd Norris, Zac Bissonnette, and others. And then there’s Sam Antar.
Sure, Sam Antar is an easy target for Bryne and his lead stalker, Judd Bagley. After all, he is a convicted felon because of his role in the fraudulent family business, Crazy Eddie, which caused over a hundred million dollars in losses. But even when doing the right thing, Sam’s still a target… he decided to give law enforcement the goods on the Crazy Eddie business. Of course, instead of portraying this as an individual who took responsibility for his actions and did the right thing by confessing, Sam is vilified as a rat. He can’t win! Continue reading
Once again, Overstock.com (NASDAQ:OSTK) loses money. During the fourth quarter…. you know… the quarter that is supposed to be the best quarter of the whole year? Yep. Still couldn’t pull out any profits there.
But don’t worry… it’s a smaller loss than the previous year, only $4.3 million, for a loss of 18 cents per share. Apparently analysts thought there would be earnings of 13 cents per share, but no dice!
So for all of 2007, Overstock.com posted a loss of $44.1 million. Way to go Patrick. I think you’re shoring up your place in the list of worst CEOs… at this rate, you’ll never get off that list!
This year, Patrick Byrne and company have taken a liking to discussing the Overstock.com (NASDAQ: OSTK) financials using non-GAAP measures. This means that they present certain financial figures that are not computed in accordance with GAAP (accounting rules).
Who cares? As long as they disclose that they’re non-GAAP measures, it doesn’t matter, right? Wrong. You see, companies use non-GAAP measures for one of two things: Continue reading
I am in favor of school vouchers. It has worked well in Milwaukee. Don’t let anyone tell you any different. Is the system perfect? No. But the public schools here are terrible, and at the very least, the voucher program gives children an alternative.
Does the voucher program help everyone? No. Some parents are not involved with their children and don’t really care, so they don’t utilize the program. But for the low-income households with parents who care, it has been fantastic. Continue reading
The regular readers of this blog are familiar with the issues at Overstock.com. The company can’t turn a profit to save its life, but CEO Patrick Byrne blames that on short sellers. The fact is that the financial statements have some curious things in them, but Byrne never gets around to actually straightening out all the discrepancies.
This week Sam Antar offered Byrne an opportunity to do just that… explain discrepancies and answer questions.
You see, Patrick Byrne thought he was being cute during last week’s earnings call when he said:
Sam Antar, if you want to join us as an [inter-locketer], I have to stick around — I have to leave in 15 minutes but I’m hoping you’ll join, Sam.
This is none other than the Patrick Byrne who believes a Sith Lord is masterminding a conspiracy that is causing Overstock.com to be a horrible company. The same Patrick Byrne whose underlings threaten teenage bloggers. The same Patrick Byrne who is so interested in his job that he’s busy playing on the internet while he’s supposed to be paying attention to an earnings conference call for investors. The same Patrick Byrne who posts messages about Overstock.com on discussion boards without disclosing that he is the CEO of the company he’s hyping. The same Patrick Byrne whose financial statements hint to the possibility of earnings management. Continue reading
Last week, Overstock.com CEO Patrick Bryne celebrated an apparent victory in court. Overstock is suing Gradient Analytics and Rocker Partners over some negative reports that were issued about Overstock. Of course, the negative reports weren’t negative because Overstock is a crappy company. No, the negative reports were negative simply because there is a Sith Lord conspiracy against Overstock.
So Byrne was busy doing his happy dance over this court ruling that allowed Overstock’s lawsuit to proceed. We’ll see how happy that ends up for Overstock, though, as there will certainly be some interesting things revealed when discovery begins and depositions are taken. Continue reading