General Motors Stock: Classic Value Trap
When General Motors filed for Chapter 11 bankruptcy in 2009, it was carrying $172 billion in debt and a pension shortfall of nearly $50 billion. It represented one of the four greatest shareholder...
View ArticleJohnson & Johnson Stock: The Acquisitions Continue
Legendary UCLA basketball coach John Wooden was famous for saying “preparation is the prize.” He explained what he meant by this concept on page 53 of his biography “Wooden: A Lifetime of Observations...
View ArticleJohnson & Johnson Stock: Reinvested Dividends Since 2002
After publishing my recent article on Johnson & Johnson, I wanted to perform my own case study on the reinvestment impact of Johnson & Johnson dividends over a decent stretch of time to isolate...
View ArticleThe Cost Of Being A High-Quality Bank
I haven’t yet written about the cross-selling scandal at Wells Fargo because I suspect there are more relevant facts that will come out, and I want to analyze them before I publicly share my opinion on...
View ArticlePhilip Morris International: Three Years Of Dividends
If I had to name a stock that shares the most characteristics in common with the Johnson & Johnson of the late 2000s, I would point to Philip Morris International (PM) right now. It has become...
View ArticleThomson Reuters Stock Repurchase: Why Below Market Price?
Yesterday afternoon, Thomson Reuters announced that it was repurchasing 6.5 million shares of stock in privately arranged transactions as part of its efforts to repurchase approximately 37 million...
View ArticleNike Stock: A Top Ten Buy-And-Hold Investment Right Now
In after hours trading today, Nike stock has fallen nearly 5% to the $52 range. It is my opinion that this makes Nike stock one of the ten most attractive investment candidates right now with a...
View ArticleWal-Mart Stock: Value Investing Paying Off
One of the weird quirks that is necessarily associated with being a successful value investor is that attractive entry points are nearly always caused by the aftermath of a stock reporting some...
View ArticleBiotech Index Funds Will Outperform The Market Through 2026
Since 2011, Lockheed Martin has been compounding at a rate of 30% per year. It has beaten the S&P 500 by over fifteen points annually over that time frame. It is one of my greatest personal...
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Qualcomm Stock: Another Top Ten Investment
If you look at a stock screener, you will see that Qualcomm (QCOM) stock currently trades at a P/E ratio of 20x earnings. For instance, if you type in “Qualcomm stock quote” into a Google search, you...
View ArticleCabela’s Merger With Bass Pro Shops Analysis
The big corporate merger news on Wall Street today is that Cabela’s (CAB) is being bought out by / merged with Bass Pro Shops at a price of $65.50 per share in cash for a valuation of $4.5. billion....
View ArticleOld-School Blue-Chip Value Investing
The reason why I prefer the type of investing that is conventionally called “growth at a reasonable price” investing is because the ride is enjoyable and time is your friend. If you own a huge block of...
View ArticleTarget Stock: A Poor Business Strategy Ahead
Guess what Wal-Mart Stores, Inc. just did in my former university town today? They launched a clearance sale at their Wal-Mart Express mini-location that will be closing down for good this Friday. This...
View ArticleVanguard Dividend Growth Fund (VDIGX) Closes To New Investors
You know how I look for the presence of Google/Alphabet stock and the exclusion of Facebook stock in a mutual fund as a shortcut signal for finding talented mutual fund managers? I feel this way...
View ArticleCoca-Cola Dividends: Loading The Spring
Since 2012, Coca-Cola (KO) stock has traded in the low $40 range. It has hit the upper $30s higher and there, but over 82% of the trading days since the start of 2012 have found the stock essentially...
View ArticleHoneywell Stock Tumbles To Fair Value
If you are a long-term investor, and own cyclical stocks as an investment, the obvious psychological limitation that can give rise to ill-timed selling is the wild fluctuation in earnings that can give...
View ArticleWhat Does Exclusive Reliance On Stock Buybacks Look Like?
Imagine you owned a 10% percent stake in a million-dollar restaurant with nine other people that earned $100,000 per year in profits for thirteen years in a row. Although the amount of profits never...
View ArticleActing Intelligently After A Dividend Cut
The Viacom dividend cut in September, which resulted in the annual payout declining in half from $1.60 to $0.80 per share, is one of the more unnecessary cuts to payouts I have studied based on a...
View ArticleQuestioning Management at Whole Foods Stock
It wasn’t that long ago that Whole Foods Markets was in a position of enviable strength. In 2013, it was earning $551 million in profits, had operating margins of 10%, and had a trailing ten-year...
View ArticlePolitical Connections, Insider Trading, and Stock Performance
Ever been curious for some statistical data on how political connections influence insider trading and stock performance in highly regulated industries whose regulations are informed by the politics of...
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