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Two More Interesting Stocks, One with a 17% Yield!



December 02, 2012 – Comments (2) | RELATED TICKERS: NTI.DL , HTBI

I always like Todd Johnson's Seeking Alpha articles. We seem to have similar taste in stocks. Here's a new one that he wrote about an MLP that I went long in CAPS right after the IPO, but didn't actually buy in real-life. I wish I had though, I'm up 67.27% on it here versus a 2% gain in the S&P over the same time period...AND it's still yielding an estimated 17%. Wow.

My Must-Own 17% Dividend Yield Equity

The other stock that I came across this morning 

just got caught in my "Google Alerts" web. I have one set up for "Thrift Conversions." These things really clog up your in-box but they're one of the best sources of ideas that know of. It's a piece from this week's Barron's on a thrift conversion, prototypical special situation that both Peter Lynch and Joel Greenblat talk about extensively in their books. The bank that is talked about, HomeTrust Bancshares (HTBI) doesn't seem to be very well-run at least in terns of its loan portfolio, but that theoretically can be fixed, especially if the economy continues to improve as I believe it will.  Plus it's flush with cash after its recent conversion and cheap compared to its peers.

Earning Wall Street's Trust 

As an interesting, at least to me, side note. I used to subscribe to Barron's for years, but I found that the way I read it, blasting through all of the political, opinion, and PENTA stuff for the few special situation-esque nuggets didn't really justify the cost for me personally. I can usually find anything that I want to read from them eventually on-line for free. Then a couple of months ago, poof, I started getting Barron's in the mail again every week for free. I have absolutely no idea where it's coming from. I certainly didn't pay for it. Did someone here in CAPS? Perhaps I have a secret admirer :). Anyhow, it's pretty funny.

Thanks for reading everyone.  Have a great day!


2 Comments – Post Your Own

#1) On December 03, 2012 at 12:43 PM, Schmacko (92.55) wrote:

The 17% yield is based on the sa author's opinion and not any actual input from the company.  If you read through the comments of that article there's a lot of back and forth about how posting "17% Yield!" is misleading.  Apparently the company is figuring closer to $2.80ish in distribution, which works out closer to 12%.  That's still pretty awesome but might be dissappointing to people looking for 17%. 

Yahoo lists their yield as 25% right now based probably on just multiplying their first dividend payment by 4.  Hopefully not too many people will buy into this without doing their own due dilligence first.

I found the MLP tax strucutre annoying and that caused me to get out of my only MLP, UAN (at a nice gain), and more or less avoid the asset class since then.

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#2) On December 09, 2012 at 11:32 PM, Marshals (< 20) wrote:

I'm up over 60% on NTI and PSX mostly thanks to your blog.  Thanks for writing!

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