Why Do You Want Financial Freedom?

Achieving Financial Freedom Starts by Asking WHY and not HOW

The other day a reader asked me for some ideas as to how I go about selecting companies in which to invest. He had read other blogs where the writers make extensive use of technical indicators and oscillators (Williams%R, MACD, Bollinger Bands, Stochastic Oscillator, etc.) and relied to a great extent on charting tools (SharpCharts, Point & Figure Charts, Candle Glance Charts, etc.). While he recognized these tools might work well for some investors, he could not see himself using these tools. In essence, his personality was such that he would not have the patience to make extensive use of these charting tools. Continue reading “Why Do You Want Financial Freedom?”

Wal-Mart Stock Analysis – Don’t Rule Out This Company

Summary
  • WMT released its Q4 and FY2017 results February 21, 2017 and reported $4.38 Diluted EPS from continuing operations.
  • Total revenue of $485.9B increased 0.8% or 3.1% to $496.9B if currency adjustments are excluded.
  • Operating income decreased 5.6% to $22.8B or decreased 2.9% to $23.4B when currency adjustments are excluded.
  • $31.5B in operating cash flow and $6.2B in dividends and $8.3B in share repurchases.
  • WMT generated just under $21B in FCF!!!

Continue reading “Wal-Mart Stock Analysis – Don’t Rule Out This Company”

Stop Drowning in Debt. Get Rid of It!

I have previously written about my concerns re: consumer debt levels here and here. While I don’t like to harp on the negative, I can’t help but become increasingly concerned when I read that Deutsche Bank’s chief international economist who has been staunchly bullish on the economy for quite some time is now talking about the following two downside risks to the US outlook:

  • the US has already experienced a very long recovery
  • credit quality is deteriorating

Continue reading “Stop Drowning in Debt. Get Rid of It!”

VF Corporation Stock Analysis – There Are Better Investment Options Out There

Summary
  • VF Corporation released its Q4 and FY 2016 results on February 17, 2016. Market conditions continue to be extremely challenging.
  • VFC is unlikely to hit many of its 17X17 key targets which it introduced to shareholders in June 2013.
  • VFC continues to reward shareholders with attractive annual dividend increases but this is small consolation for investors who acquired shares 2014 – 2016.
  • I do not view VFC as a company I will be acquiring any time soon.

Continue reading “VF Corporation Stock Analysis – There Are Better Investment Options Out There”

United Technologies Stock Analysis – Another Company Making Huge Share Buybacks

Summary
  • United Technologies reported its Q4 and FY2016 results late January 2016 with 2016 GAAP EPS of $6.13, up 35% vs. FY2015 and adjusted EPS of $6.61, up 5% vs. FY2015.
  • Adjusted EPS of $6.30 – $6.60 projected for FY 2017.
  • Treasury Stock has increased roughly $12B from FYE 2014-FYE 2016 of which $6B came from sale of Sikorsky Aircraft.
  • UTX is unlikely to be a favorite for an investor focused solely, or primarily, on dividend yield.
  • UTX is an example of how investing in a company at different times can have entirely different results thus leading to extremely different opinions about a company.

Continue reading “United Technologies Stock Analysis – Another Company Making Huge Share Buybacks”

Greater Toronto Area Real Estate Prices Are in Bubble Territory

This real estate bubble is going to pop!
Real Estate values in the Greater Toronto Area are in bubble territory

I have previously written about ridiculously high real estate prices before. I can’t help, however, but to write another very short post on this topic because it has hit much closer to home…as in across the street and four doors down from our home. Continue reading “Greater Toronto Area Real Estate Prices Are in Bubble Territory”

Cisco Stock Analysis – Sometimes Investment Ideas are Right Under Your Nose

Cisco logo

Summary
  • Cisco reported $11.6B in revenue for Q2 2017 on February 15, 2017, a 2% YoY decrease, but in line with guidance of a 2% – 4% YoY decline.
  • “Cash” of $71.8B at the end of Q2 2017 with only $9.6B is in the US. The introduction of a Corporate Tax Holiday could have huge + ramifications for CSCO.
  • CSCO announced an increase in its quarterly dividend from $0.26 to $0.29 effective with the April 26, 2017 dividend.
  • CSCO is no longer a super-charged high growth company but don’t rule it out as an investment because it should continue to reward shareholders.

Continue reading “Cisco Stock Analysis – Sometimes Investment Ideas are Right Under Your Nose”