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This Stock Way Overvalued: Jim Iurio

Monday, 25 Jun 2012 | 6:16 PM ET

If you’re looking to sell a stock short, top trader Jim Iurio has an idea for you.

Iurio, of TJM Institutional Services, is bearish on Priceline .

“The market had priced in a big premium for growth in emerging markets and Australia,” he says.

Trade of the Day: How to Play Priceline?
The Fast Money traders explain why they are short on Priceline right now; and Guy Adami of stockMONSTER.com, discusses his training for the Ironman U.S. Championship in support of the Leukemia & Lymphoma Society.

However, given the precarious state of the global economy, he doesn't think the premium is warranted.

But - Iurio also says the market never adjusted - the stock never traded lower.

Iurio has crunched the numbers and feels certain, “the premium is still in the stock.”

He also think the business faces fundamental challenges. “It doesn’t have high trade barriers,” he says

All told, Iurio is looking for a decline. “I’m short. $600 is my target,” he says.

Posted by CNBC's Lee Brodie





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Trader disclosure: On June 25, 2012, the following stocks and commodities mentioned or intended to be mentioned on CNBC’s "Fast Money" were owned by the "Fast Money" traders; Pete Najarian is long AAPL; Pete Najarian is long BAC CALLS; Pete Najarian is long INTC; Pete Najarian is long JOYG CALLS; Pete Najarian is long SBUX; Pete Najarian is long FB CALLS AND STOCK; Pete Najarian is long MSFT; Pete Najarian is long MOS; Karen Finerman is long AAPL; Karen Finerman is long BAC; Karen Finerman is long JPM; Karen Finerman is long WMT; Karen Finerman is long TGT; Karen Finerman is long MSFT; Karen Finerman is long M; Karen Finerman is short SPY; Karen Finerman is short IWM; Karen Finerman is short MDY; Guy Adami is long C; Guy Adami is long GS; Guy Adami is long INTC; Guy Adami is long MSFT; Guy Adami is long AGU; Guy Adami is long NUE; Brian Kelly is long BAC; Brian Kelly is long PNC; Brian Kelly is long JPM; Brian Kelly is long WFC; Brian Kelly is long XLU; Brian Kelly is long INTC; Brian Kelly is long IBM; Brian Kelly is long TGT; Iuorio Is Long (HOV); Iuorio Is Short (JPM); Iuorio Is Short (MS); Iuorio Is Short (GS); Iuorio Is Long (C); Iuorio Is Short (PCLN); Nations Is Long (SPY); Nations Is Long Citigroup (C); Nations Is Long Bank Of America (BAC); Nations Is Long JPMorgan (JPM)

For For Charles Neivert
Dahlman rose & company, llc, and/or its affiliates may have positions in the securities of (agu), (cf), (ipi), (mos), (pot), (rnf), (uan). However, none of those positions equal or exceed 1% of the equity securities outstanding for the subject companies.

For Dennis Gartman
Gartman Is Long Gold In Euro Terms
Gartman Is Long Gold In Yen Terms
Gartman Has A Short Position In Corn

CNBC.com with wires.

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The Priceline Group
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