What are you buying today?

[Jaygo]

Atz.to prior to great earnings today for the taxable
 

HDV high Div in the us for my rrsp

and LEI etf in Canada for monthly dividends in the tfsa. 
 

if we get another 9 to 18 months of downward pressure I want to average in about 15000 per quarter roughly. Today felt good but am prepared to buy anything I bought today considerably lower. My bias is Canadian so if we have a housing crash up here all bets are off. 

[Monsieur_dee]

38 minutes ago, Viking said:

@Dean

  VRE Canadian real estate etf? Or any other Canadian low cost etf? 

[Spooky]

VRE seems very cheap ... I've been slowly adding some in my TFSA. P/E of 6.8x and P/B of 1x according to Vanguard.

[dipod]

Long TSLA 12/16 $100 put options.

[Viking]

BAM, GOOG, AMZN

[Luke]

New Position in ASML

[ourkid8]

More BAM

[dealraker]

I know my timeframe and price divergence tolerances are both far larger than most, one thing that seems to come often as to BAM is that Bruce Flatt gives shareholders his view of the per share stock value.  Often the stock is selling at the time he gives these talks for far less than his figure - only to then fall signficantly to 50% of his figures.

 

I've owned Brookfield, the old Brascan, nearly 30 years now and it certainly has been something I've enjoyed.  Not yet though do I have a lot of trust in Bruce Flatt, I find him and the actions/words of management at times very annoying and at times plain unprofessional.

 

I get a lot of "hell buddy, sell the stock if you feel that way" replies when I write this sort of thing.  Problem is I have the same view of many of my stocks...lord help my opinon of some of Norfolk Southern's managment decisions is as low as it goes.  I don't sell stocks, I enjoy business amongst the agitation.  Participating in life, rather than cowering in fear, does keep you thriving in some ways.

 

The one business, by far my largest holding, I don't get annoyed with is AJ Gallagher.  We merged with them nearly 30 years ago now and the outcome has been...let's say...phenomenal.  My local compeitior who was beating our butts still owns and runs his brokerage.  He has literally thrived for these last 30 years since I bailed.  But we merger bunch have done far better than him financially.  I'm not the brightest but I'm smart enough in some businesses to know who the smart people are...and it wasn't me!

 

First thing this morning, not quite early enough, I held my nose...

...and bought a tad more BAM!  AHHHHHHHH!!!   My wife says, "You HATE those guys!"  LOL.  

 

But AJ only sells cheap for short periods and those seem to never come any longer.   Oh my though, what a great business for inflation.

 

 

 

[dealraker]

Speaking of buying stocks, I believe in diversification myself.  No Buffett/Munger here.  Why diversify?

 

I grew up in a small town in the middle of North Carolina.  My family, and by "my family" I mean grandparents, uncles, aunts, and great uncles were in the newspaper business, a.m. radio station business, the two largest (in the world) bedroom furniture businesses, building supplies businesses, and the oil delivery business.

 

Newspaper was sold to NY Times for $4 mil and today has zero value; 2nd largest bedroom furniture maker bought by Burlington Industries for $25 mil in the late 60's and went to zero; largest bedroom furniture business sold to Masco around 2000 for over $500 million and later sold to Sun Capital Partners for...(yes, true) $25 mil; the a.m. radio stations went from being worth $250k per location to virtually zero when f.m. radio got popular...and ever-so-slightly recovered; the building supply businesses got the living hell beat out of them (fortunately sold all but one well-managed location) by a combo of Lowes/Home Depot, Carter's, and business cycles; the oil delivery got sold early.

 

So KABOOM!  All the businesses I grew up watching family run got annihilated.  I got lucky going into the insurance business, I hadn't a clue.

 

What am I buying today?  Still adding to the energy businesses I own.  Bird in hand vs bird in bush for me.  I do own Google and Facebook and about 300 other stocks, but I'm not certain about them enough to load up on any one, or ten for that matter.

 

The one business mentioned on here that I struggle with is Joe.  I've owned companies like Joe before, asset rich companies selling for fractions of "worth" and such.  Pretty much got poor, very poor outcomes.   The worst was NC Railroad which owned all the rail right-of-way from Charlotte through the Raleigh area to Goldsboro.  Norfolk had a lease on it that was due to be renewed and the land was appraised for x amount by independent appraisers.  Stock never got anywhere close to that appraisal, not even 30% of it.  In the end the state of NC owned the majority of the stock and it got bought from us (by the state of NC) for less than 25% of appraised value.  They leased it again long term to Norfolk saying, "That's what's best for us in NC."   They were correct of course.  Many say the "appraised value" was half the real value, and I pretty much agree.  Probably the most valuable real estate asset fathomable in our area as in places in the big cities it was several hundred, yes hundred, feet wide.

 

Assets versus on-going free cash flow.  I like AJ Gallagher, the free cash flow is ALWAYS far more than the "earnings".

 

Rambling.

Edited October 13, 2022 by dealraker

[Xerxes]

Thanks @dealraker

I very much enjoyed reading your last few posts.

[Gregmal]

Yup. Same here. Great stuff.

[Cod Liver Oil]

40 minutes ago, dealraker said:

I know my timeframe and price divergence tolerances are both far larger than most,

I realize this is an unattainable standard but I love the idea of a hundred year time horizon where you only buy cool companies and never sell them. I love the idea of enjoying the businesses you own amidst all the agitation as both a source of pleasure and education which informs your life.  Owning Nintendo, Disney and MSG is a hell of a lot of fun and has made me a better businessman. I expect the economic returns will come with time. Thanks for articulating that, dealraker.

[CorpRaider]

@dealraker You're not from Salisbury are you!?  hah.

[Castanza]

Added to BRKb, GOOG 

 

Starter in COST 

[E. Nashton]

On 10/12/2022 at 8:13 PM, Monsieur_dee said:

  VRE Canadian real estate etf? Or any other Canadian low cost etf? 

sorry just seeing this now - yeaa i've gotten enough exposure to CDN REITs via my positions in DRM.TO, AX-UN.TO and SRU.UN of which this board has zero interest in. Fair enough - I've gotten destroyed on these positions  

[dealraker]

I think I remember that Parsad is invested now in General Electric.  Today I'm going to buy the stock simply to be contrary because it has been years since I've followed (and criticized) managment.

 

If I am correct I wish Parsad would write about GE as I'd really enjoy getting in to the businesses and valuations...but I'm not over energetic now.  

[Spekulatius]

@dealraker I also have $GE on my to do list, but I have my hands full with stuff I own already and know more about.

 

Years ago, we had quite a bit of discussion about a similar case $DD (was $DWDP, DuPont). Like GE is was a lumbering Gina where new management came in ( Breen) and split up and restructured the company with complex mergers. This was a case that created a lot of brain damage and very little results. It may serve as a cautionary tale to be very careful in these situations. @BG2008

 

Same with spin-offs lately as most of them have been disasters.

Edited October 14, 2022 by Spekulatius

[RetroRanger]

Bought more $EVO yesterday at 78€ (during the short drop phase of the market )

[Monsieur_dee]

8 hours ago, Dean said:

sorry just seeing this now - yeaa i've gotten enough exposure to CDN REITs via my positions in DRM.TO, AX-UN.TO and SRU.UN of which this board has zero interest in. Fair enough - I've gotten destroyed on these positions  

I' like the alignment interest with Micheal cooper and mitch goldhar. Same with morguard and Rai sahi. Which I am surprised doesn't get more attention on this forum from the Canadians. 

[changegonnacome]

HSW

[Jaygo]

31 minutes ago, Monsieur_dee said:

I' like the alignment interest with Micheal cooper and mitch goldhar. Same with morguard and Rai sahi. Which I am surprised doesn't get more attention on this forum from the Canadians. 

 

I follow SRU.u very closely. I live and work right around the largest project and see their properties everywhere. This is a major covered land play with a big distribution. I dont expect to shoot the lights out but see my investment as a very long term 10 % per year. Unless you have millions and want to go into development this is the best way to capitalize on the the flattest land with the fewest natural disasters that has abundant resources and will most likely be home to 40 or 50 million people in the next 50 years. Find me another juridiction like that and i'm all ears. The corridor from Windsor to Quebec city will slowly grow with a very high probability. Smart Centres is right there along for the ride.

 

To me we have an inevitable thing going on in Ontario. We have a culture of acceptance and being the neighbor of the US we will attract as many immigrants as we as a country allow. Currently around 2% population growth for the whole country. Ontario has decent weather and more importantly lots of flat farmland that is cheap to develop on. Smart centres is the best way to play this long term via the stock market. 

 

The way i see it is we have this company that is keeping the lights on plus a bit of profit with the most un-cyclical company as their anchor tenant. Sure Walmart gets a great deal on rent but it draws in lots of traffic day after day, that brings smaller tenant to the table and that is where you get the margins from. So we have a major retail footprint in every single large town and medium city in Ontario and Quebec plus a few in the remaining provinces. 185 Centres in total. These towns are the epitome of suburban Canada and most of the centres are on major through fares and and slated for population growth.

 

Smart centres has a few thousand acres ranging from farmland to properties valued at 5 million an acre that they are slowly densifying. They make money on retail leasing, land sales, development and often take a JV role in many of the new businesses such as retirement homes, self storage, hotels and apartments. 

 

I am not a financials guy and this is major 1st level thinking by the way. 

 

 

[E. Nashton]

@Jaygo Great summary/insight. I'll start a separate thread for SRU.UN. I'll kick it off with your post above...hopefully you don't mind. 

[Jaygo]

11 minutes ago, Dean said:

@Jaygo Great summary/insight. I'll start a separate thread for SRU.UN. I'll kick it off with your post above...hopefully you don't mind. 

I don't mind at all. Thanks

[Spekulatius]

Bought some TSM. Missed the dump yesterday.

[Xerxes]

10 hours ago, dealraker said:

I think I remember that Parsad is invested now in General Electric.  Today I'm going to buy the stock simply to be contrary because it has been years since I've followed (and criticized) managment.

 

If I am correct I wish Parsad would write about GE as I'd really enjoy getting in to the businesses and valuations...but I'm not over energetic now.  

 

@dealraker

 

Barrons had a recent breakdown of the three business that are going to be spun off.

I posted it on the General Electric thread. Re-posted below.

 

Personally, while i am interested in GE Aerospace (re-named GE Aviation) with Larry Culp at the helm, i dont want to deal with spin-offs in 2023 and 2024.

 

I dont even believe they have shared yet even the proforma capital structure of three companies, since i last looked. I do know however that the remenants of the Baker Hughes stake and AerCap will be remain part of GE Aerospace until fully unwinded, which would probably mean matching liabilities to it.

 

I am not expecting a UTC like spin off of Otis and Carrier.

 

 

 

Edited October 14, 2022 by Xerxes