US-Stocks viewed from the Eurozone

So far there was some money to be made with US-stocks. I myself made some with E*Trade (NASDAQ:ETFC) and Oracle (NASDAQ:ORCL) but less than I could’ve expected since the Dollar went down and down against other major currencies. That leads me to the idea that one should consider the exposure of certain stocks to export. Oracle sells a lot of its software and service to all parts of the world, E*Trade has branches in the Eurozone. Especially E*Trade with the momentarily low price seems to be a good re-investment for people in the Eurozone or Yen: the stock price in US-Dollars now is somewhat 10% lower that 2 months ago at the same levels. Someone investing in Euro has either lost 10% or can re-invest 10% cheaper now.

The question is: will the Dollar go lower or not?

I’d say, the risk of going much lower is far more unlikely than going up. This means, buying US-stocks now could bring a lot more profit than risking a lot. Especially with cheap stocks like E*Trade. Honestly: the bankruptcy-szenario of Prashant Bhatia is gone with the wind and a single act (or a unique chance seen from today’s point of view). No one will listen to this guy and his fantastic analytics anymore …

However, E*Trade remains a good investment for long – but also for fast money since the volatility will keep up.

ORCL: Oracle profits rise 35%

Actually I don’t like software companies. Why? Because software is something virtual.

Sure, software makers profit from the fact that people have to follow their rules and are fed by the sw companies thru permanent changes and the need for better hardware and the other way around. But even monopolys like Microsoft that suck us are going south by time: other OS like MacOS X or Linux have growing market share and show the world what a computer with the right operating system can do.

However, Oracle (NASDAQ:ORCL) is one of the most successful software companies in the world. Its CEO is a strange guy but as charismatic as Steve Jobs. After the closing bell they announced an increase in profits of 35% – far more than so called “analysts” had predicted.

I have to admit it: Oracle stinks of money but does not pay a dividend. But Oracle made a lot of money and whoever invested right in the beginning made more than 11000% profit – even more if he sold shortly before the internet bubble burst.

I think that an eye should be kept on this stock.