Not every all-time high is buyable when we cover it on Wallstrip. The best entry on LPHI came back in late 2006 and early 2007 once again when the stock powered through bases to all-time highs. Sometimes, they never look back. That’s the case of Life Partners.

That said, there is much to learn from the all-time high patterns. Today on Wallstrip we check in on Life Partners (LPHI). Hilarious work by Lindsay and her crew.

Here is the Google Finance start page . Here is what they do:

Life Partners Holdings, Inc. (Life Partners) is a financial services company and the parent company of Life Partners, Inc. (LPI). LPI is engaged in the secondary market for life insurance known generally as life settlements. These financial transactions involve the purchase of the life insurance policies of terminally ill persons (viatical settlements) or elderly persons (life settlements) at a discount to their face value for investment purposes. Life Partners’ operating revenues are derived from fees for facilitating viatical and life settlement transactions. Both viatical and life settlement transactions involve the sale of an existing life insurance policy to another party. By selling the policy, the policyholder receives an immediate cash payment to use as he or she wishes. The purchaser takes an ownership interest in the policy at a discount to its face value and receives the death benefit under the policy when the insured dies.

A perfect Wall Street formula for growth. Bigger is better. Banks pile in as American’s buy their death benefits early. Genius. I like that there are no pure public plays in this space save for LPHI.

I love Brian’s analysis on this one. He makes an interesting forecast/comparisonn to that of Jones Soda:

I missed the great entries and I am not in the chasing mode…ever. Too many opportunities. I do think this is a genius business model and will be following it for a better entry. If you can manage the risk, and believe this stock is not ever coming in, you can own it.

While the experts try to call a top in consumer spending, the success of LPHI and buying your death benefits today may prove to be the ultimate tell of silliness and the consumer being ‘tapped’.

Always something to learn in the markets.

Disclosure – No Positions