I read today that Icahn was a big holder of Oshkosh Corporation (OSK). I don't know if you know what this company is (I didn't), but it's an old and major-though-second-tier heavy equipment maker. They make a majority of their revenue from U.S. defense applications (armored vehicles, etc.), but also make garbage trucks, cranes/lifters, de-icing trucks, fire trucks, etc. I looked it up and it has no dividend (it cut its $0.40/year divvy in Spring 2009, it's one of those), and a P/E of under 5, with a one-year forward P/E of around 9ish because it's going through some hard times right now. It's clearly a cyclical industrial stock. The 3-year beta is 2.5. [more]
A few weeks or a month ago, TMFBullnBear, in the comments to one of his great posts on gold, posted a link to a blog post that a commenter on his post on Economist.com had brought to his attention. That blog post is a 2010 article by Eddy Elfenbein, who writes Crossing Wall Street. The blog and the post and the model blew me away, reading it as I did, much farther into the trend than it was written. You can find it here. [more]
Did anyone else see this news? Is it true? Not unexpected, but still likely the result of a sad story.
I'm a regular reader of Josh Brown ("The Reformed Broker"). He has a great post up today that I highly, highly, highly recommend: [more]
Title is self-explanatory.
"The price of gold has risen for every one of the past ten years. Isn't it about time YOU added gold to YOUR portfolio?"
-- Goldline Commercial, Overheard on a TV in my Building's Cafeteria/Restaurant
I liked the report today, it has been on my watchlist for some time, and at one point today it was suffering a 38% drop. I picked up a 1/2 position today at the above-referenced price. I'll buy more either if there is 1) significant further stock drop combined with no perceived business deterioration; or 2) improved business conditions after next quarter, even if the stock has appreciated. [more]
Okay, I am officially in violation of my trading rules now, having added to my Berkshire position today at $67.47, and to my RIG position at $48.50/share, despite telling myself I would not add until 8/15/2011. I'm very happy about my prices, but I'm going to unplug from the market for a day or two.
Yes, please, I'll take two, and one for the lady. If and as things go down I'll continue to add occasionally, and post about it.
"When asked if he felt the U.S. deserved the downgrade, Buffett said, "No." He took a swipe at S&P, quipping, "Remember, this is the same group that downgraded Berkshire."
Read more: http://www.foxbusiness.com/markets/2011/08/05/buffett-to-fbn-sp-downgrade-doesnt-make-sense/#ixzz1UIFtEdY4 [more]
Make my day, beyotch. $73.18/share. They's mo capital where that came from. Let us see how much farther these markets drop until the judgment is rendered about whether this is a soft patch or we are entering a double-dip. Let's look at velocity of money and at TIPS spreads to gauge the likelihood of more Fed easing being announced at the end of August. [more]