For the last several months I have become increasingly concerned that stock valuations are too high for many publicly listed companies on North American stock exchanges. In fact, the last time I made equity investments of any significance, valuations were much, much more favorable. I admit it has been increasingly frustrating to watch stock prices [...]
Summary This Canadian National Railway stock analysis is based on Q4 and FY2016 results and outlook for 2017 reported January 24, 2017. Revenue dropped but net income, operating income, and diluted EPS increased. Record Free Cash Flow (FCF) of $2.520B was reported which permitted the repurchase C$2B of shares vs. C$1.75B in 2015. The annual [...]
Summary This 3M stock analysis is based on Q4 and FY 2016 results and outlook for fiscal 2017 released January 24, 2017. 3M reported strong result in FY2016 thus enabling it to return $6.431B to shareholders via share repurchases or dividends. 3M has been taking advantage of favorable interest rates and has increased LTD from [...]
Summary This McDonald's stock analysis is based on Q4 and FY 2016 results and outlook for fiscal 2017 released January 23, 2017. McDonald’s FY2016 results reflect a drop in revenue but a corresponding larger drop in expenses. It has been repurchasing its share at a torrid pace using LTD under attractive terms. I am prepared [...]
In this post I outline how you can increase your net worth and cashflow with 10 equity investing rules. My wife and I followed them and were able to take early retirement. [...]
Summary This Union Pacific stock analysis is based on Q4 and FY 2016 results and the outlook for fiscal 2017 released January 19, 2017. Union Pacific, North America’s largest railroad, reported a substantial full-year decline in volumes vs. FY2015 but declines moderated in Q4 FY2016. Union Pacific's operating ratio increased to 63.5 percent but UNP [...]
In response to my January 12, 2017 Visa - I Will Never Sell This Holding post, some readers commented that Bitcoin or Blockchain technologies would likely disrupt the financial industry to the extent where VISA could likely see an erosion of its business model. The purpose of this brief post is to give my opinion [...]
The purpose of this post is to explain why I think low or no dividend yield companies belong in your portfolio. [...]
Summary VISA appears expensive at current levels but this is a result of several sizable one-time charges. The legal issue as it relates to interchange fees has still not been resolved. Even if VISA ends up having to pay a multi-billion dollar fine the interchange fee legal case should not dissuade investors from initiating / [...]
In today's post I would like to highlight the importance of four investing principles to make your money work for you. You must: Invest in good solid companies; Practice patience; Not panic when making investment decisions; Relish major market corrections as they provide opportunities in which to acquire shares at more reasonable valuations. [...]