Gregmal Posted August 22, 2023 Share Posted August 22, 2023 Started SMP Link to comment Share on other sites More sharing options...
E. Nashton Posted August 22, 2023 Share Posted August 22, 2023 Folks gonna hate this one. Added to DIS. Link to comment Share on other sites More sharing options...
KPO Posted August 22, 2023 Share Posted August 22, 2023 TRC Link to comment Share on other sites More sharing options...
yesman182 Posted August 22, 2023 Share Posted August 22, 2023 4 hours ago, Gregmal said: Started SMP What's the thesis on Standard Motor Products? cars are older and need more parts? I have always thought of them as a no moat business. I curious to hear what you see. Link to comment Share on other sites More sharing options...
jfan Posted August 22, 2023 Share Posted August 22, 2023 ntdoy Link to comment Share on other sites More sharing options...
Spekulatius Posted August 23, 2023 Share Posted August 23, 2023 2 hours ago, yesman182 said: What's the thesis on Standard Motor Products? cars are older and need more parts? I have always thought of them as a no moat business. I curious to hear what you see. I owned this too for a bit (thesis being a that car repair should do well) but was very underwhelmed but their execution. They also have persistent asbestos related charges that keep popping up in “discontinued operation” losses. I think it’s a no moat and fairly mediocre business. Link to comment Share on other sites More sharing options...
Gregmal Posted August 23, 2023 Share Posted August 23, 2023 4 hours ago, yesman182 said: What's the thesis on Standard Motor Products? cars are older and need more parts? I have always thought of them as a no moat business. I curious to hear what you see. It’s cheap, good balance sheet. Pays out decently. Think less bad than historical bodes well going forward. Expect a big tailwind for these as auto prices remain high and people much like with their homes are forced to stay put. Bit more to it but I’m still doing some work. Link to comment Share on other sites More sharing options...
Spekulatius Posted August 23, 2023 Share Posted August 23, 2023 (edited) On SMP - I think the auto part retailers like AZO, ORLY, AAP hold the power in the supplier buyer relationsship, if you think in terms of Porter 5 forces. You can see that over time SMP gross margin has been slowly slipping over the years which is sort of the income statement proof of above. Also SMP is seemingly used as an inventory buffer, which means they have lots of inventory on their hand lowering their ROIC. Insider sells for SMP look pretty depressing too. Anyone interested in this idea should look at DORM, which I think is the better business, but also has similar problems and is higher valued on most metrics. Not wanting to dunk on the thesis, but those were my thoughts after exiting SMP late last year, but maybe I was just a bit early. They may or may not be useful for others looking at the stock. Edited August 23, 2023 by Spekulatius Link to comment Share on other sites More sharing options...
Gregmal Posted August 23, 2023 Share Posted August 23, 2023 2 hours ago, Spekulatius said: On SMP - I think the auto part retailers like AZO, ORLY, AAP hold the power in the supplier buyer relationsship, if you think in terms of Porter 5 forces. You can see that over time SMP gross margin has been slowly slipping over the years which is sort of the income statement proof of above. Also SMP is seemingly used as an inventory buffet, which means they have lots of inventory on their hand lowering their ROIC. Insider sells for SMP look pretty depressing too. Anyone interested in this idea should look at DORM, which I think is the better business, but also has similar problems and is higher valued on most metrics. Not wanting to dunk on the thesis, but those were my thoughts after exiting SMP late last year, but maybe I was just a bit early. They may or may not be useful for others looking at the stock. Nah, you're pretty spot on with the negatives. Theyre all true. Link to comment Share on other sites More sharing options...
Malmqky Posted August 23, 2023 Share Posted August 23, 2023 NTDOY and MSG stuff. Starter in FRPH. Link to comment Share on other sites More sharing options...
Luca Posted August 23, 2023 Share Posted August 23, 2023 Opened a basket of china retail: PDD and JD.com. And added to Prosus. Comparatively, so much cheaper than western retail and china retail will continue to grow strong. Will do further digging but JD especially seems quite cheap again with a 5 year outlook. Link to comment Share on other sites More sharing options...
frommi Posted August 23, 2023 Share Posted August 23, 2023 (edited) 30$ BTI 2025 Calls. Pretty much doubled my already outsized BTI position with these calls. Nominal value is around 35% of my portfolio now. Final Menthol proposal should come any day now and i expect a relief rally following this, but can be completly wrong here. Edited August 23, 2023 by frommi Link to comment Share on other sites More sharing options...
Castanza Posted August 23, 2023 Share Posted August 23, 2023 CPRT and BRO to the coffee can. Two quality names that should compound well over the next 10-15 years. Link to comment Share on other sites More sharing options...
throw123 Posted August 24, 2023 Share Posted August 24, 2023 more DG Link to comment Share on other sites More sharing options...
E. Nashton Posted August 24, 2023 Share Posted August 24, 2023 Basket of hated stuff because why not. Nke, dis and C. Link to comment Share on other sites More sharing options...
DooDiligence Posted August 24, 2023 Share Posted August 24, 2023 1 minute ago, Dean said: Basket of hated stuff because why not. Nke, dis and C. You need some Nintendo with that. Link to comment Share on other sites More sharing options...
lnofeisone Posted August 24, 2023 Share Posted August 24, 2023 Bought some 2025 SAVE 25/30 verticals. Link to comment Share on other sites More sharing options...
Whensthepaintdry? Posted August 24, 2023 Share Posted August 24, 2023 Bought ARW Link to comment Share on other sites More sharing options...
keegomaster Posted August 24, 2023 Share Posted August 24, 2023 (edited) Bought some Enbridge Preferreds (Series H) on margin. The rate reset is happening on Aug 30th and I anticipate the upcoming rate will have a ~9% yield that should cover the ~6% margin cost. EDIT: Like @lessthaniv pointed out, the rate was reset on Aug 2nd at 6.112% Edited August 26, 2023 by keegomaster Correction Link to comment Share on other sites More sharing options...
lessthaniv Posted August 25, 2023 Share Posted August 25, 2023 22 hours ago, keegomaster said: Bought some Enbridge Preferreds (Series H) on margin. The rate reset is happening on Aug 30th and I anticipate the upcoming rate will have a ~9% yield that should cover the ~6% margin cost. Not sure I'm understanding the math on your comment? Can you elaborate on your calculation? The following is from the Aug 2nd, 2023 newswire but the 5yr hasn't moved materially. https://www.prnewswire.com/news-releases/enbridge-provides-notice-of-series-h-preferred-shares-conversion-right-and-announces-reset-dividend-rates-301892118.html Link to comment Share on other sites More sharing options...
maplevalue Posted August 25, 2023 Share Posted August 25, 2023 34 minutes ago, lessthaniv said: Not sure I'm understanding the math on your comment? Can you elaborate on your calculation? The following is from the Aug 2nd, 2023 newswire but the 5yr hasn't moved materially. https://www.prnewswire.com/news-releases/enbridge-provides-notice-of-series-h-preferred-shares-conversion-right-and-announces-reset-dividend-rates-301892118.html coupon based on $25 par value but shares trading around 17 Link to comment Share on other sites More sharing options...
gokou3 Posted August 25, 2023 Share Posted August 25, 2023 48 minutes ago, maplevalue said: coupon based on $25 par value but shares trading around 17 Interesting idea. In the past, share prices of rate-reset prefs tend to correlate with general interest rates. The consensus seems to be that the current rate cycle is closer to the top than the bottom. Are you concerned about an rate decrease in the next year or so? Link to comment Share on other sites More sharing options...
dipod Posted August 25, 2023 Share Posted August 25, 2023 M today. C yesterday Link to comment Share on other sites More sharing options...
Saluki Posted August 25, 2023 Share Posted August 25, 2023 added a little NTDOY and TAYD Link to comment Share on other sites More sharing options...
ourkid8 Posted August 26, 2023 Share Posted August 26, 2023 Used my C dividend to buy a few more shares. Link to comment Share on other sites More sharing options...
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