Summary This fairly recently acquired member of the FFJ Portfolio just reported Q2 2018 results wherein Total Revenue increased 7% of which 4% was organic growth. All 7 of the company’s business segments delivered positive YoY organic revenue growth but 5 of the business segments missed quarterly revenue expectations and only 2 units beat expectations. [...]
Summary Strong Q2 results recently reported and projected earnings for FY2018 reaffirmed. Shareholder returns on the basis of dividends reinvested over the past 20 years are almost double that of the S&P500. Share price has risen ~10% from the level at which my previous article indicated shares were attractively valued. Despite this increase, shares are [...]
Summary This company is the largest player in a highly regulated industry and is deemed to be a Global Systemically Important entity. Dividend distributions and share repurchases come from profits generated from normal business operations as opposed to the issuance of debt. The barriers to entry are very high to the extent where the probability [...]
Summary This company has doubled its revenue since being spun off as a separate legal entity in 2007. Growth has been such that within a span of 11 years this company has reached the stage where it recently became a member of the S&P500 (SPY). There is not much variance between Free Cash Flow and [...]
Summary This company has increased its dividend for 35 consecutive years. An investor who acquired 100 shares for $1,110 when the company was founded in 1955 and never sold them you would now have 375,960 shares. The company’s total return to shareholders over the 10 year period ending December 31, 2017, including reinvested dividends, was [...]
Summary Making money in equities involves finding well managed companies that are undervalued. As at the end of Q1 2018, this entity had a ‘unitholder equity per unit’ value roughly 1.6xs that of the market price per unit. Sometimes companies can remain undervalued for extended periods, and therefore, an attractive and sustainable dividend yield allows [...]
Summary Even investing in high quality companies can result in inferior investment returns. Investing in a high quality company does not mean invest at any price. Pay particularly close attention to valuation levels. We are in the late stages of one of the longest bull markets in US history. Investors should be cautious when making [...]
Summary Ingredion has pulled back ~25% from its 1 year high of $146.28 set late January 2018. When Q1 results were released, management lowered its FY2018 adjusted EPS guidance from that provided when FY2017 results were released. It is facing headwinds in the form of higher production costs caused by inconsistent demand in the US [...]
The following is a list as at June 24, 2018 which reflects all the companies in which my wife and I own shares (not just those in the FFJ Portfolio). It does not reflect the number of shares per company we own nor our average purchase price. [...]
Summary Brown-Forman (BF) is a high quality company which has richly rewarded shareholders over the years. BF is a classic example of why exclusive reliance on stock screeners to identify investment opportunities is short-sighted. The company faces uncertainty as a result of foreign countries imposing retaliatory tariffs in response to ill-advised tariffs announced by the [...]
