Author Topic: What are you buying today?  (Read 1248456 times)

DooDiligence

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Re: What are you buying today?
« Reply #3640 on: February 16, 2019, 04:44:50 AM »
Spekulatius,

It's just a part of my eternal hunt for interesting stuff to study, where I'm searching for stuff on this side of the Atlantic Ocean. I think I know the European investment holding companies that I already own well enough now, after having owned them for quite some years now, to take on to expand the sphere of companies that I know about. Trackers keep my interest up, if I catch just some degree of interest. It's an eternal educational journey, and I like to do it, even if the price of the stock may not be right to me right now [here, it is so-so], because perhaps some day, it may.

I looked at Indus AG not so long ago, and passed [no tracker]. I think next will be Lifco AB and Kinnevik AB, trying to learn something new and challenging the way I do things so I don't fall totally asleep and freeze without any kind of personal movement, perhaps even progress.

It's great to have a reading/study backlog on companies.

If our brains continually use the same neural pathways, they stagnate.

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Spekulatius

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Re: What are you buying today?
« Reply #3641 on: February 16, 2019, 05:23:55 AM »
Spekulatius,

It's just a part of my eternal hunt for interesting stuff to study, where I'm searching for stuff on this side of the Atlantic Ocean. I think I know the European investment holding companies that I already own well enough now, after having owned them for quite some years now, to take on to expand the sphere of companies that I know about. Trackers keep my interest up, if I catch just some degree of interest. It's an eternal educational journey, and I like to do it, even if the price of the stock may not be right to me right now [here, it is so-so], because perhaps some day, it may.

I looked at Indus AG not so long ago, and passed [no tracker]. I think next will be Lifco AB and Kinnevik AB, trying to learn something new and challenging the way I do things so I don't fall totally asleep and freeze without any kind of personal movement, perhaps even progress.

It's great to have a reading/study backlog on companies.

FWIW, I agree on Indus AG, it’s nothing special. They do add a layer of holding company debt on top of the operating company debt, so they seem to be more leveraged than I’d like. I have owned some in the 90’s last time. At times, the stock is cheap, but it’s not particularly well managed. I do like the concept of rolling up Mittelstand companies, but haven’t seen a vehicle that does this consistently well. There are some that do seem to do it Ok with a concept of owning several independently operated companies in the same industrial sector. Dürr AG and ISRA AG come to my mind. I particularly like Dürr, but I don‘t think we are at the right time of the cycle to buy this yet.

France and Scandinavia the richest hunting ground for holding companies.
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John Hjorth

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Re: What are you buying today?
« Reply #3642 on: February 16, 2019, 06:33:30 AM »
Thank you, Spekulatius,

Yes, I got scared away from INDUS Holding AG because it had "strategic considerations" about getting rid of a whole "leg" / "cluster" of subs / business unit consisting basically of vendors to the German automakers, in some way. I was surprised to read that, I did not know things were so bad right now in Germany, despite reading about Germany being recession near for the last few months. [Denmark will with certainty be hit by this in the near future, btw, because of the close German-Danish trade relations, important from a Danish perspective.]

I will take a look at Dürr AG and ISRA AG at some point in time in the near future, too. -Thank you for sharing, and a privilege to have access to such information from you because of your German background.
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Og

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Re: What are you buying today?
« Reply #3643 on: February 16, 2019, 07:34:23 AM »
Bought more BAM, FCAU, and TRUP.

Spekulatius

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Re: What are you buying today?
« Reply #3644 on: February 16, 2019, 07:39:06 PM »
Thank you, Spekulatius,

Yes, I got scared away from INDUS Holding AG because it had "strategic considerations" about getting rid of a whole "leg" / "cluster" of subs / business unit consisting basically of vendors to the German automakers, in some way. I was surprised to read that, I did not know things were so bad right now in Germany, despite reading about Germany being recession near for the last few months. [Denmark will with certainty be hit by this in the near future, btw, because of the close German-Danish trade relations, important from a Danish perspective.]

I will take a look at Dürr AG and ISRA AG at some point in time in the near future, too. -Thank you for sharing, and a privilege to have access to such information from you because of your German background.

I didn’t feel that INDUS situation is dire, it‘s just that the stock was too expensive at 20x earnings and now is around fair value, but still not cheap. A shallow revision in Germany is possible. It might bring better buy opportunities. A lot of stocks in Germany were quite overvalued and have now come down to fair value and might become good values going forward. There are a lot mid cap companies in Germany that are world leaders in their niches and could be great investments in a recovery.
To be a realist, one has to believe in miracles.

rolling

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Re: What are you buying today?
« Reply #3645 on: February 22, 2019, 03:01:55 PM »
Sold BRK and bought KHC
My usual portfolio: Highly concentrated (up to 3 or 4 positions) in smallcaps and microcaps.

Spekulatius

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Re: What are you buying today?
« Reply #3646 on: February 26, 2019, 12:47:27 PM »
Bought a little bit of GNRC. I might get this one cheaper , but I like the sector and the brand equity. I also believe this sector has secular growth, even though near term results can vary, based on weather patterns.
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Spekulatius

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Re: What are you buying today?
« Reply #3647 on: February 27, 2019, 04:06:52 AM »
Added to Metro Bank (MTRO.L) - UK exchange
Hi. I've been looking a bit into that. Seems very interesting. Have you seen a decent writeup anywhere or mind to share a couple of points?

What's obvious is the deposit growth, which is incredible. The culture is based on the Commerce Bank model, that Vernon Hill "invented" in America.
The culture is real - I can tell you that. Both customers and employees love this company. You have 56 "stores" going to 100-130, roughly in 5-6 years.
The "store model" is totally repeatable - and UK will eventually support, perhaps, 200 stores.

There are structural reasons for the growth - by that I mean - the UK banking sector is being forced to shrink (I mean the legacy banks) as the
UK regulators and the public's interests have not been served. (RBS is still 65% owned by gov).  So some assets are being dispersed, the market is opening up, and
legacy branches have closed at a fast rate due to cost cutting and poor locations. So there are significant industry tailwinds for the
growth of "challenger" banks. Metro is the best of them all. It's the fastest growing bank I have ever seen in my life.

Looks like Metro Bank is blowing up. Risk weighting for mortgages off - they had  RWA for commercial mortgages at 50% rather than 100%. Did they forgot to read the manual for bank accounting in the UK? Looks doomed to me, or at least has to raise capital. On then surface, it still looks adequately capitalized, but I stay away from financials that can’t get their accounting right - a lot of them become doughnuts.
https://finance.yahoo.com/news/british-lender-metro-banks-2018-072746266.html

Dumpster fire continues - cash call:
https://finance.yahoo.com/news/metro-bank-slumps-shareholder-cash-081129938.html
To be a realist, one has to believe in miracles.

scorpioncapital

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Re: What are you buying today?
« Reply #3648 on: February 27, 2019, 04:48:32 AM »
Sold BRK and bought KHC

I just did the opposite  ;D

rolling

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Re: What are you buying today?
« Reply #3649 on: February 27, 2019, 07:02:17 AM »
Sold BRK and bought KHC

I just did the opposite  ;D
:( realized my mistake. Costly mistake. Sold out khc and I’m considering going back to BRK or opting for my small caps, most heavy in cash, but so is BRK
My usual portfolio: Highly concentrated (up to 3 or 4 positions) in smallcaps and microcaps.