Yes. If you look at BHE's annual investor presentation they have this as pending CAPEX --- along with another $25B or so of upgrades that are required. This is regulated, long duration return type of stuff - but a great example of a public/private infra buildout which is needed in the USA in a big way.
I took a modest loss in Sirius and swapped into Broadband about a week ago. The buyback story for Broadband is a lot easier for me to understand + I think Charter is oversold. NAV discount is basically -20%, and Charter continues to buyback stock aggressively which is a positive for Broadband which has to sell into it. I like that they sold Skyhook in the quarter as well. We shall see how it plays out. There is also a really interesting Liberty preferred which went from ~$29 to $25 during this whole selloff. It's small, but is noncallable, and has a 7% yield. From the old GCI ideas and is fairly illiquid but is also attractive IMHO if you like that type of stuff.
@John Hjorthit's there in the Q .. just search for it ... BTW great to see you posting again! I've always found your insights helpful & interesting! Cheers - VM
wow - what a strong quarter!! MSR is finally turning around/improving. You know if Abel is taking a more active approach to improving operations there?!
@thepupilhow about Preferreds? This Liberty Preferred: LBDRP is unique and has sold off very hard recently from about $30 to $26. It's backed by Charter's cash flow and is a legacy preferred in the capital structure from Liberty's merger with GCI. 7% coupon and par is $25 ... so you are getting it at a YTM of high 6% currently
@thepupil How about NYSE: MHN ... down 20% YTD, -6% discount to NAV, monthly distribution, distribution rate of 5.6% which is a tax equivalent yield of over 10%+, 85% of the portfolio is rated A or higher ... thoughts?
High quality munis are getting CRUSHED. This tends to happen every 5-7 years. This is an interesting piece of paper. @thepupil thank you for the idea ... I have some research to do ... what other NY munis are on your radar list??
Closed End Muni Funds have been CRUSHED YTD ... some down -25% to -30%. I live in NYC and have been looking at Blackrock MuniYield NewYork Quality Fund: NYSE: MYN. -8% discount to NAV ... fairly high quality ... and about an 11% tax adjusted yield ... these are super long duration assets with leverage. I do agree there is some wreckage here that is worth looking into for those of us that general hate fixed income
Looks like the Y deal will all but close. Go Shop ends tonight at Midnight EST. No one is willing to outbid Berkshire here esp given the mark-to-market losses on the fixed income portfolio in 1Q. The Agg had its worst quarter in 40 years down -6% !!