What are you buying today?

[HalfMeasure]

Over the past few days I sold DIS and added to ALX and WFC.

 

Thanks

Lance

 

What pushed you to sell DIS?

 

Hi HM - I still like DIS in the long term, but prefer ALX and WFC for now.  I bought DIS between $85 and $80 and would likely start buying again under $90.

 

Also, added to WFC and started a new position in DOW.

 

Thanks

Lance

 

Got it, that makes sense. WFC has been left for dead.

[valueinvestor]

PK, TDG, AER

 

Let’s hope they fly  ;D

 

Haha - that’s my hope too. However so far, they’ve been floating on infested waters.  ;D

[Castanza]

Over the past few days I sold DIS and added to ALX and WFC.

 

Thanks

Lance

 

What pushed you to sell DIS?

 

Hi HM - I still like DIS in the long term, but prefer ALX and WFC for now.  I bought DIS between $85 and $80 and would likely start buying again under $90.

 

Also, added to WFC and started a new position in DOW.

 

Thanks

Lance

 

Got it, that makes sense. WFC has been left for dead.

 

Trump doing his best to put a bullet in the back of their head.

 

https://twitter.com/realDonaldTrump/status/1260206276216266754

[LC]

Starter positions in livenation and cloudflare

[Spekulatius]

Trump doing his best to put a bullet in the back of their head.

 

https://twitter.com/realDonaldTrump/status/1260206276216266754

 

Yeah a day after the St Louis Fed came out stating that they don’t want low interest rates. You can’t make it up.

 

He may need the negative interest rates to keep his cardboard box empire from collapsing.

[Guest]

Trump doing his best to put a bullet in the back of their head.

 

https://twitter.com/realDonaldTrump/status/1260206276216266754

 

Yeah a day after the St Louis Fed came out stating that they don’t want low interest rates. You can’t make it up.

 

He may need the negative interest rates to keep his cardboard box empire from collapsing.

 

It's quite possible negative rates may actually be what causes his cardboard box to collapse.

[plato1976]

this does look like a value trap to me at this point (together with most other big banks)

 

WFC

[valueinvestor]

XPEL - Small Starter Position (Thanks Snowball82)

 

AER, TDG, PK, AEO

[bskptkl]

MFCB owns a royalty on an iron ore mine that has shut down in Canada. Tacora, the private company that owns the mine announced they had closed the funding on the 27th. This is a big deal, as it should be $20 MM+ in annual revenue at 100% gross margins for a company that has a market cap of ~$60MM after the move.

 

We talked a but about it in the ALS thread.

I couldn't resist, have a small position in SRL again...after feeling so good to be rid of Michael Smith last year too.

The 20F out yesterday shows $28 book value.

[valueinvestor]

MFCB owns a royalty on an iron ore mine that has shut down in Canada. Tacora, the private company that owns the mine announced they had closed the funding on the 27th. This is a big deal, as it should be $20 MM+ in annual revenue at 100% gross margins for a company that has a market cap of ~$60MM after the move.

 

We talked a but about it in the ALS thread.

I couldn't resist, have a small position in SRL again...after feeling so good to be rid of Michael Smith last year too.

The 20F out yesterday shows $28 book value.

 

Why not have a larger position? I don't see the mine being affected by COVID-19 and iron prices have been relatively stable. I have a position too but it's relatively small compared to other position sizes, I think it's 2.5-5% of my port.

[TwoCitiesCapital]

Trump doing his best to put a bullet in the back of their head.

 

https://twitter.com/realDonaldTrump/status/1260206276216266754

 

Yeah a day after the St Louis Fed came out stating that they don’t want low interest rates. You can’t make it up.

 

He may need the negative interest rates to keep his cardboard box empire from collapsing.

 

It's quite possible negative rates may actually be what causes his cardboard box to collapse.

 

Honestly.

 

Can you imagine what would happen if the RESERVE CURRENCY OF THE WORLD had negative rates?!?!?!

 

I think that'd be quite a bit different than the euro having negative rates, but you could still expect the destruction of the U.S. banking sector and their profits a la Europe.

 

Might be a time to jump into gold if you seriously expect that to happen as I imagine Central Banks all over the world would be moving some dollars into gold at that point in time.

[Lance]

Added to ALX, ESRT, PGRE, SLG and WFC.

 

Thanks

Lance

[Castanza]

BRK, WFC, MSGS, RTX

[sleepydragon]

USB, MTB, BOH, PM

[LC]

Sold out of MO, bought PM with proceeds. Bought a little WFC and cloudflare

[thepupil]

sold Prosus, purchased on 3/24 mostly, for a 40% gain. still "cheap" to 700HK/NAV but this is my way of sizing down the big cap tech exposure, selling out the chinese one. holding onto the other ones is hard given the absolute/relative valuations, but I'm doing it.

[Gregmal]

ESRT and PCYO

[sleepydragon]

Wfc

[plato1976]

The heated up discussion about WFC and the increased number of ppl buying WFC here scared sh*t out of me

 

sold Prosus, purchased on 3/24 mostly, for a 40% gain. still "cheap" to 700HK/NAV but this is my way of sizing down the big cap tech exposure, selling out the chinese one. holding onto the other ones is hard given the absolute/relative valuations, but I'm doing it.

[thepupil]

The heated up discussion about WFC and the increased number of ppl buying WFC here scared sh*t out of me

 

sold Prosus, purchased on 3/24 mostly, for a 40% gain. still "cheap" to 700HK/NAV but this is my way of sizing down the big cap tech exposure, selling out the chinese one. holding onto the other ones is hard given the absolute/relative valuations, but I'm doing it.

 

sorry what does that have to do with Prosus/700HK? do you mean the performance/resilience of big cap tech is scaring the shit out of you or do you mean the dip buying in WFC is? or both?

[LC]

It is interesting all the people buying WFC whereas WB was selling.

 

(And WB may be fully exiting his WFC stake - if you recall during the annual meeting he mentioned "We don't trim positions")

 

Makes me fear I am missing something big and obvious.

 

 

[Mephistopheles]

It is interesting all the people buying WFC whereas WB was selling.

 

(And WB may be fully exiting his WFC stake - if you recall during the annual meeting he mentioned "We don't trim positions")

 

Makes me fear I am missing something big and obvious.

 

 

 

Is WFC fundamentally broken? For him to unload WFC and not BAC means it must be WFC specific. Yes WFC is like toxic waste right now in the banking world, but it is also like half of TBV and very well capitalized. He bought into BAC when not only was it toxic but also had tens of billions of legal liabilities. Is he saying it was possible to turn around BAC but not WFC? Did he like the odds of BAC in 2011 more than WFC today? BofA was not too much lower in total market cap then what WFC is today, and capital levels at all these banks are much better now.

 

Or does he think it's an industry wide problem, interest rates, great depression? In that case he should be selling both off.

[fareastwarriors]

What about CM and DJCO? What are they doing with their WFC stake?

 

[karthikpm]

It is interesting all the people buying WFC whereas WB was selling.

 

(And WB may be fully exiting his WFC stake - if you recall during the annual meeting he mentioned "We don't trim positions")

 

Makes me fear I am missing something big and obvious.

 

How do we know he is selling now ?

[JRM]

It is interesting all the people buying WFC whereas WB was selling.

 

(And WB may be fully exiting his WFC stake - if you recall during the annual meeting he mentioned "We don't trim positions")

 

Makes me fear I am missing something big and obvious.

 

How do we know he is selling now ?

 

He reduced his position by about 15% as of Berkshire's last 13f filing.