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Posted

Not much yet.

 

I think we have weeks or more of worse Coronavirus news to go. It would surprise me if Trump & the fed can paper over it.

Posted

On one end, much of this is overdone, especially if you are investing in US isolated companies. I can think of plenty that have gotten wrecked. On the other end, the market had no business going up 10% or whatever the past few months, for practically no reason. So I guess much of it is a wash. As always, life is a lot easier when you focus on specific investment you know well.

Posted

Added a small bit to MSG at 272. Algos are going bananas today

 

Not Algos, they depend on live events which might get cancelled if things go Corona south. MSGN is tied to the same mast.

 

The volume surges definitely seem like algos, and zip within ranges quite noticeably. Either way, at worst, this is a one off hardship assuming its full blown Resident Evil. Hardly enough to impair the value 10% when it's already discounted 20%+. Just markets being skittish. Could be worse. Like AMC.

Posted

I bought more LGL Group (LGL) at $11.50 to $12.50.  Sells products to defense industry.  Down from $16 last couple days on both the general market / virus and reported lower bookings in 4Q19.  Big picture -  my estimate for 2020 - LGL will earn $2 million to $4 million FCF on enterprise value of $38 million (at $11.75 stock price).  Did $1.75 million FCF in 2018 & I estimate about $3.25 million in 2019.

 

Has an ownership in a SPAC, that, if successful in finding an acquisition, can materially move the stock price.  (Lottery ticket that's not priced into shares at all.)

 

Mario Gabelli owns over 20%.  Can't remember exact ownership figure.

 

Good price, good business, with motivated management and owners.

 

Good luck all :)

Posted

Added a small bit to MSG at 272. Algos are going bananas today

 

Not Algos, they depend on live events which might get cancelled if things go Corona south. MSGN is tied to the same mast.

 

 

The volume surges definitely seem like algos, and zip within ranges quite noticeably. Either way, at worst, this is a one off hardship assuming its full blown Resident Evil. Hardly enough to impair the value 10% when it's already discounted 20%+. Just markets being skittish. Could be worse. Like AMC.

 

 

I know I repeat myself regarding MSG, but “fear the sphere” (in Las Vegas) is a bigger concern than a virus induced zombie apocalypse for me.

 

I can see already the news headlines about cost overruns first and a $500M write down next.

 

Anyways, added to PSX and a bit more DFS, STAY and FRA.DE

Posted

Some BRK.B @1.23 P/B

 

Same..every time I scan the market brk seems imminently reasonable at these prices, although be sure to adjust for inevitably lower mark to market equity portfolio. Probably it's closer to 1.3 but still reasonable.

Posted

Added a small bit to MSG at 272. Algos are going bananas today

 

Not Algos, they depend on live events which might get cancelled if things go Corona south. MSGN is tied to the same mast.

 

 

The volume surges definitely seem like algos, and zip within ranges quite noticeably. Either way, at worst, this is a one off hardship assuming its full blown Resident Evil. Hardly enough to impair the value 10% when it's already discounted 20%+. Just markets being skittish. Could be worse. Like AMC.

 

 

I know I repeat myself regarding MSG, but “fear the sphere” (in Las Vegas) is a bigger concern than a virus induced zombie apocalypse for me.

 

I can see already the news headlines about cost overruns first and a $500M write down next.

 

Anyways, added to PSX and a bit more DFS, STAY and FRA.DE

 

I do think the sphere may be a problem... but... a lot of thought and conversations have led me to believe that the exact scenario you describe, costs getting out of hand, will force Dolan to pull the trigger on an asset sale. People have already wrote down the net cash position because of the sphere. If any extra $300-500M in costs present themselves it almost certainly puts a lid on Sphere London, and most likely forces Dolan to go to market with some assets. The scenarios Ive heard are that following the spin, the sports assets become the ATM. His real interests are the entertainment business and the RSNs. Probably in that order.

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