SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

   Strategies & Market TrendsValue Investing


Previous 10 Next 10 
To: Paul Senior who wrote (30200)3/1/2008 11:35:48 AM
From: RockyBalboa
   of 70600
 
IAR drew my interest so I looked further. It seems that a whole industry succumbs to new media. The fall of IAR competitor RHD makes me wary and RHD is in a much better shape than IAR.

As you mentioned Hertz, there´s also its large competitor, CAR / Avis which was a part of the old cendant plus budget which they bought out of bankruptcy a few years ago.

Share RecommendKeepReplyMark as Last ReadRead Replies (2)


To: RockyBalboa who wrote (30199)3/1/2008 11:39:09 AM
From: Madharry
   of 70600
 
re use.de:do you have an analysis of this company you could provide us with a source to find it in english. we all love a bargain but its hard to find sources in english to do due dilligence on foreign companies sometimes. thanks.

Share RecommendKeepReplyMark as Last ReadRead Replies (1)


To: Madharry who wrote (30202)3/1/2008 11:42:41 AM
From: RockyBalboa
   of 70600
 
As a starter, look here: en.wikipedia.org

Share RecommendKeepReplyMark as Last Read


To: Paul Senior who wrote (30200)3/1/2008 1:53:46 PM
From: RockyBalboa
   of 70600
 
A more defensive way would be YPG. It suffered recently, also pointing to a slowdown in the business. So far it paid all dividends, amounting to a yield of 10%

finance.yahoo.com

biz.yahoo.com

Share RecommendKeepReplyMark as Last Read


To: Paul Senior who wrote (30172)3/1/2008 3:56:42 PM
From: Spekulatius
   of 70600
 
SIL, since they appear to have a large derivative position in Silver and Zink, a short position in those metals to presumably offset pricing risk for the mining assets we can only assume that they will show a gigantic loss for the next quarter (silver has almost doubled during the last 2 month). Their mine is not producing much due the water problem (if i remember correctly) that sounds like it will take another 6 month to solve. I wonder if they are still liquid by the time the mine starts. Shareholder equity is already negative and the huge short position at some point will cause margin cause, IMO. And we do not even know if those derivative losses are tax deductable in Bolivia.

SIL will have to raise capital (which is very difficult right now) or sell some ownership in their mine (to Sumitomo, i presume) to stay afloat.

Share RecommendKeepReplyMark as Last Read


To: Paul Senior who wrote (30184)3/1/2008 4:12:53 PM
From: Spekulatius
   of 70600
 
Hutchison Whampoa is one of the most opaque company i am aware of. it is impossible to determine operating earnings because year after year, investment special dividends etc. gains bury operation results. this year it was the huge windfall from the sale of the Indian cellphone business and some special dividend that accounted for 2/3 of the cash flow. I do know that the Telecom arm generates huge losses and that the property/ports/hotels are nicely profitable. My best guess is that if all special gains are backed out HW is barely, if at all profitable. maybe that's what HW is, a conglomerate that wheels and deals with companies. They seem to have done OK doing this in the past and it may work in the future. But i would not be surprised if one day the whole thing comes tumbling down.

In the current market simplicity trumps complexity. When the going get's tough a lot of people will dump the stuff they do not understand first. HW seems on the wrong side of that equation, IMO.

Share RecommendKeepReplyMark as Last ReadRead Replies (1)


To: Spekulatius who wrote (30206)3/1/2008 4:56:58 PM
From: Paul Senior
   of 70600
 
HUWHY. If they can turn around their huge telecom investments in 3-G, the stock will do very well imo. They've not been successful though in past three years.

Yes, not possible to understand billionaire Li's balance sheet or his strategies. Or his often gutsy (erratic?) bets. HUWHY is a conglomerate with great assets and lousy earnings visibility.

Reminds me of Berkshire in that there are lots of core assets throwing off cash that the company uses to invest in presumably higher growth areas and industries.

My opinion is that people won't bail from the stock because its complicated financials are anathema in difficult times. My opinion is that people have generally always ignored Hutchinson because of Mr. Li and his complexity. That I suspect (and hope), has made the stock undervalued.

I've been in the stock since '03 with a small add in '04. It's not been a great performer. At current price and with the few shares I hold, I'm willing to add a little more now.

hutchison-whampoa.com

Share RecommendKeepReplyMark as Last ReadRead Replies (1)


To: Paul Senior who wrote (30207)3/1/2008 7:57:51 PM
From: RockyBalboa
   of 70600
 
HWL acted very nimble in 2000 when they sold their massive stake in German Deutsche Telekom practically at the top (still 6 times todays prices; it was DT who hopelessly overpaid Omnipoint/Voicestream which was co owned by HWL). Actually Orange / Mannesmann / Vodafone was not much different...

Earlier they founded Orange, and they also invested in European 3G like "3".

Hutchinson has actually 5 pillars:

drei.at

drei.at

from "3" homepage, HWL founded it in 2001

Share RecommendKeepReplyMark as Last Read


To: Paul Senior who wrote (30194)3/1/2008 11:07:00 PM
From: Jurgis Bekepuris
   of 70600
 
BDCs is yet another bunch of companies where you either have to trust the management or you have to diversify like heck. Paul diversifies and what can I say against it. I try to get into "trustworthy" companies, but unlike banks and insurers where you can follow Buffett, here it's my own call and I am not sure it is very good one. :)

Share RecommendKeepReplyMark as Last Read


To: Paul Senior who wrote (30200)3/1/2008 11:17:31 PM
From: Jurgis Bekepuris
   of 70600
 
With SPF behind me, I am back into "don't buy leveraged companies" camp. The interesting thing is that so far almost no companies went BK in this credit crunch atmosphere. When you remember that KMart managed to BK in the middle of pretty OK economic picture, it becomes rather weird that we don't see that many bankruptcies yet...

It's your guess whether it's time to buy levered ones because of that, or they just gonna keel over in the next year or so. ;)

Share RecommendKeepReplyMark as Last Read
Previous 10 Next 10