A Great Way to Blow a Stock Call

I blew a stock call. It doesn't happen too often, so when it does, I get really, really mad.

The hours upon hours of research put into coming to an informed conclusion to articulate to a client. The broken record line of "Be there in a second, hun, I just have to read this last 10-K line," only to realize a second has morphed into an hour and a cold dinner. All of these things, honestly, only give me a better opportunity of scoring a mega win for a client, not outright guaranteeing a successful outcome. I could claim that the blown call to short Brinker International (EAT) in early July was not blown because I tend to be early in the selection process (cut the loss at 5%, or so). While I continue to believe many of the aspects to Brinker's stronger-than-expected quarter are at risk in the second half of 2012, specifically the upside sales into the teeth of rising gas prices and fiscal cliff, the fact is that the stock is doing the opposite of what the hours of research said was probable. But there is an interesting facet, the common thread to most blown stocks calls: the research was flawed....346 more words left in this article. To read them, just click below and try Real Money FREE for 14 days.

Read the full story and get access to the Real Money Pro trading floor.

There’s no substitute for a trading floor to get great ideas, so Jim Cramer created a better one at Real Money and blogs there exclusively. We then added legendary hedge fund manager, Doug Kass, with his exclusive Daily Diary and best investing ideas. Staffed with more than 4 dozen investing pros, money managers, journalists and analysts, Real Money Pro gives you a flood of opinions, analysis and actionable trading advice found nowhere else, and allows you to interact directly with each expert.

Already a Subscriber? Please login.

Except as otherwise indicated, quotes are delayed. Quotes delayed at least 20 minutes for all exchanges. Market Data provided by Interactive Data. Company fundamental data provided by Morningstar. Earnings and ratings provided by Zacks. Mutual fund data provided by Valueline. ETF data provided by Lipper. Powered and implemented by Interactive Data Managed Solutions.

TheStreet Ratings updates stock ratings daily. However, if no rating change occurs, the data on this page does not update. The data does update after 90 days if no rating change occurs within that time period.

IDC calculates the Market Cap for the basic symbol to include common shares only. Year-to-date mutual fund returns are calculated on a monthly basis by Value Line and posted mid-month.