Charlie Posted June 17, 2022 Posted June 17, 2022 Bought some Berkshire b shares. I think there is an increase in intrinsic value and a decrease in share price. That´s a good combination.
Longnose Posted June 17, 2022 Posted June 17, 2022 14 hours ago, Mephistopheles said: Loaded up on Tenneco over the last few days (merger arb with a huge spread) Wrote a whole bunch of BRK puts which are underwater. Will buy them back and write more aggressively to be cash flow positive How confident do you feel about the deal going through??
no_free_lunch Posted June 17, 2022 Posted June 17, 2022 (edited) JBHT - Trucking company with an edge. Their main business is intermodal, which means they shuttle containers to rail yards and move them by rail most of the way. Given rail is much cheaper energy wise they are in a strong position right now. Also have logistics business which is low capital. Excellent long term track record. There is a lot to like here. I may start a post on them later. Currently trading for around 18x PE so not crazy cheap but it has often traded 25-30x (just approximating it). It has historically grown mid double digits so your are getting close to the elusive 1 PEG. If anyone hates them speak up. Edited June 17, 2022 by no_free_lunch
modiva Posted June 17, 2022 Posted June 17, 2022 Added to EPSN. Unheard of balance sheet. No debt. 30mil cash at 20% of market cap. Generating about 30mil cash (based on annualizing recent quarter cash generated).
Spekulatius Posted June 17, 2022 Posted June 17, 2022 40 minutes ago, modiva said: Added to EPSN. Unheard of balance sheet. No debt. 30mil cash at 20% of market cap. Generating about 30mil cash (based on annualizing recent quarter cash generated). So it trades at 4x EV/ Cash flow. That's actually not that cheap for an E&P producer. What's their value add ? They are not doing any exploration and the production itself is apparently outsourced, if I understand this correctly.
Gregmal Posted June 17, 2022 Posted June 17, 2022 There is not much execution risk, they have Oklahoma space thats starting to produce well above expectation, and on top of this their core is Marcellus acreage operated by CHK. Its one of the lowest risk ways Ive found to play nat gas. You dont need a whole lot to go right here. You've currently got a couple clown funds competing to exit which is presenting a good opportunity while the company repurchases stock and sandbags guidance.
modiva Posted June 17, 2022 Posted June 17, 2022 5 minutes ago, Gregmal said: There is not much execution risk, they have Oklahoma space thats starting to produce well above expectation, and on top of this their core is Marcellus acreage operated by CHK. Its one of the lowest risk ways Ive found to play nat gas. You dont need a whole lot to go right here. You've currently got a couple clown funds competing to exit which is presenting a good opportunity while the company repurchases stock and sandbags guidance. Along with their promising assets, they have a good track record. Thanks to Greg for finding and sharing.
Mephistopheles Posted June 19, 2022 Posted June 19, 2022 On 6/17/2022 at 9:16 AM, Longnose said: How confident do you feel about the deal going through?? They’ve got a group of committed lenders so minimal financing risk. I don’t see anything on the regulatory side. There’s a risk of Apollo pulling out. I’ve owned the company for a few years I think it’s a good business to own even if it doesn’t work out. and the upside is like 30% in 6 months
ourkid8 Posted June 21, 2022 Posted June 21, 2022 A bit more RFP, its now a full position around ~6% of my portfolio.
no_free_lunch Posted June 21, 2022 Posted June 21, 2022 (edited) Bought a medium position in gold miner BTO.TO. The stock is down almost 50% from last year and now trades 10-12x earnings and pays a 4% dividend. It is a lower cost producer and has a conservative balance sheet. Also one of the few gold miners I have found that has actually grown since the 2007-2008 peak. Edited June 21, 2022 by no_free_lunch
Spekulatius Posted June 22, 2022 Posted June 22, 2022 50 minutes ago, ICUMD said: Added to BAM.A That's a shoe in <pun>. Added some META.
DooDiligence Posted June 22, 2022 Posted June 22, 2022 More Disney. Trying to get more Google sub $2100 but it won't cooperate. Should've just bought more when it was there.
Kupotea Posted June 23, 2022 Posted June 23, 2022 Took a full 10% allocation in MSGE at sub $51. There's nothing better than a stock with covered downside and significant upside optionality.
Gregmal Posted June 23, 2022 Posted June 23, 2022 (edited) 1 hour ago, Kupotea said: Took a full 10% allocation in MSGE at sub $51. There's nothing better than a stock with covered downside and significant upside optionality. Agree. I’m kinda at a loss for what the case is here on the downside? City pays then double the EV to relocate? Tao itself puts up a 10% FCF figure? Sphere gets 20% of market cap for naming rights? Weird all around. Edited June 23, 2022 by Gregmal
Red Lion Posted June 23, 2022 Posted June 23, 2022 I've been adding to BX over the last few trading sessions in the low 90s. Would like to build this into a big core position especially if it keeps going down closer in valuation to the other alt managers. Seeing a lot of other companies I've been interested in that I think are buys right now. META/GOOGL/AXP/WMT/LEN.B/MO May be adding to these soon, I've been trying to hold onto more cash for this downturn and add in a more measured pace until we see how far the FED goes with interest rates, and when and where the forced selling starts.
Gregmal Posted June 23, 2022 Posted June 23, 2022 13 minutes ago, RedLion said: I've been adding to BX over the last few trading sessions in the low 90s. Would like to build this into a big core position especially if it keeps going down closer in valuation to the other alt managers. Seeing a lot of other companies I've been interested in that I think are buys right now. META/GOOGL/AXP/WMT/LEN.B/MO May be adding to these soon, I've been trying to hold onto more cash for this downturn and add in a more measured pace until we see how far the FED goes with interest rates, and when and where the forced selling starts. Oils come down, crypto done, stocks way down, every commodity has come down, but they’re still hand waving about CPI. Soon it seems they’ll say the effectively solved the problem.
fareastwarriors Posted June 23, 2022 Posted June 23, 2022 35 minutes ago, Gregmal said: Agree. I’m kinda at a loss for what the case is here on the downside? City pays then double the EV to relocate? Tao itself puts up a 10% FCF figure? Sphere gets 20% of market cap for naming rights? Weird all around. Picked up more MSGE too.
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