Author Topic: What are you buying today?  (Read 954645 times)

oplia

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Re: What are you buying today?
« Reply #3080 on: June 18, 2018, 07:53:53 AM »
RCII trades at 12% spread to acquisition offer. Rejection by the board would indicate BoD's (controlled by activist investor) conviction in turnaround and far higher valuation. So hard to see reasons for such spread to exists.
More detailed discussion here:
https://www.specialsituationinvestments.com/2018/02/rent-a-center-rcii-expected-acquisition-60-upside/

I posted the above few days ago. Today's news RCII agreed to be acquired for $15/share - much more favorable outcome than expected.
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petec

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Re: What are you buying today?
« Reply #3081 on: June 18, 2018, 08:49:02 AM »
CTL & DC/A.
« Last Edit: Today at 05:02:29 AM by petec »

CorpRaider

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Re: What are you buying today?
« Reply #3082 on: Today at 08:20:21 AM »
VXUS, SPDW, IVAL, FNDF
« Last Edit: Today at 08:22:20 AM by CorpRaider »

Dynamic

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Re: What are you buying today?
« Reply #3083 on: Today at 09:10:55 AM »
I've sold my entire Apple (AAPL) position today at around $188.42 USD (£140.73 GBP) leaving me about 28.4% cash (previously 0.13%), 68.4% BRK.B, 2.2% my spouse's ShareSave employee option scheme, and a tiny few dribs and drabs in HPE, HPQ etc.

This is not a bearish move on AAPL, although I may have estimated that I was selling near a short-term high, hoping not to lose too much in the many days it may take to shift the proceeds to their new home and possibly reinvest at least some of it into AAPL.

I wanted to sell a small proportion of my BRK.B holding to add to the AAPL proceeds I want to shift to its new home, hopefully repurchasing most or all of that BRK.B in a few days within this new account. I decided I'd hold out until BRK.B was a little higher before doing so, as it seems particularly cheap right now.

So I figured I'd take a bit of a short-term punt and put the AAPL proceeds into BRK.B while it was so cheap and maybe gain a couple of percent with luck without too much downside risk and no tax consequences, before I aim to make the sale and transfer the proceeds to their new home.

Uncharacteristically, just this once, I'm acting like a day-trader! I won't make a habit of it!

I sold that short-term BRK.B over a week ago at a bit over $194, roughly break-even measured in GBP (the exchange rate has moved quite a bit though). I then waited for it to settle, withdrew the money in GBP, and transferred it to the alternative investment I mentioned and also have some in our new, more flexible, but not tax-sheltered joint investment account where I can hold currencies like USD, use limit orders etc., file a W-8BEN to reduce my withholding tax and even employ margin if I wish. The currency moved against me a little at the time.

Today I restored much of my BRK.B position at an effective price of about $189.84, reducing my cash to essentially zero.
I made some losses in the GBP:USD exchange but offset them by the drop in BRK.B stock price, so my brief time out of the market having to withdraw and transfer cash is pretty much a wash, maybe fractionally in my favour.

Effectively over about 2-3 weeks (ignoring the initial money taken out of the picture for my alternative investment), the weightings among my discretionary stock portfolio have changed as follows:

WAS: about 26% AAPL & 70% BRK.B + 4% others
NOW: exactly 0% AAPL & 96% BRK.B + 4% others

SafetyinNumbers

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Re: What are you buying today?
« Reply #3084 on: Today at 12:48:10 PM »
Added some PIF.TO today.

The stock has recently been weak based on unrest in Nicaragua. There are a multitude of reasons why there is unlikely to be a nationalization or impairment of the asset but uncertainty often provides opportunity.

Ironically, the company's financial and operating performance is currently the best it's ever been and the stock is trading around 4.3x EV/EBITDA 2019E EBITDA. which is pretty low for a renewable asset with a PPA. Every multiple point increase is worth about C$5/share.

I attended the AGM today and management seems to be considering all of their options for their extra cash, including a NCIB/SIB and investing in projects outside of Nicaragua (this is something they have talked about for years so it's not a reaction to the events in Nicaragua).

They also maintained that they will keep a 40-50% payout ratio and move towards a US$1.00 dividend from US$0.60 currently within the next 12-18 months which is about a 10% yield at the current share price/exchange rates.

They are reporting earnings in the second week of August so expect updates on all of these initiatives at that point.
Top 5 positions: ELF IAM GCM.NT/GCM PIF EFR.DB

John Hjorth

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Re: What are you buying today?
« Reply #3085 on: Today at 01:21:15 PM »
I added a bit to BRK.B today - not much though.

- - - o 0 o - - -

Dynamic, congratulations on your very nice gain on AAPL. I have tried to understand your recent moves of capital between your taxable sphere and your tax deferred sphere. I simply don't understand it yet, despite I have tried to read up on the available UK schemes for you and your wife. I would really appreciate, if you would take the time - when possible, and when it fits for you - to elaborate a bit on your line of thinking on this move of capital you have done.

It could be in a separate topic in the Personal Finance forum.

I'm just curious here, and eager to learn some more from you about it. Personally, during the years, I have spent enormous amounts of time on thinking about taxes related to investing, and I think reading such a post from you could be inspirational, at least for me, and perhaps also for other board members.
”In the race of excellence … there is no finish line.”
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