Latticework Investor

Value Investing

20 Investment Ideas

with one comment

20 investment ideas, sources and links to follow.

  1. VOD – global mobile provider. Hidden asset from 45% stake in Verizon Wireless, likely to be realised when the Verizon Wireless starts paying a dividend to shareholders.
  2. COWN – mid market investment bank and alternative asset manager. Hedge fund Ramius reverse merged into Cowen, asset management side of business will not make any money from incentive fees until investors recoup their losses. Value is in the company’s cash assets invested in their hedge fund and future earnings from incentive fees.
  3. SONC – real estate and tourism assets. Business spun off from a Portuguese conglomerate, founder went with the spin off. Trading significantly below value of real estate, business will be easier to understand after non-core assets are sold off.
  4. SATS – cash, satellites and set top box business. Company spun off from Dish Networks. Having legal battle with TIVO, Dish covering cost of any settlement.
  5. PSD – owner of data used for oil and gas exploration. Recent acquisition to boost future earnings.
  6. PMIC – demutualised insurance company. Trading below book value, expect business to be profitable now it is accountable to shareholders.
  7. SIGA – creator of smallpox antiviral (stops it spreading). Won large contract with US govt, currently in legal battle with other companies that claim they are entitled to some of the contract. Expect small (if any) settlement, and conformation of large govt order.
  8. IFT – listed infrastructure fund. Cheap based on sum of parts, recently added to share index. Have been selling legacy assets and reinvesting. Brought Shell’s NZ assets at low multiple during bottom of the cycle earnings.
  9. LOV – online dating site. Niche market, generates a lot of cash.
  10. DLAR – bank note printer. Recent problems with major customer, and PE bid refused by board. High quality business, customers unlikely to leave.
  11. PRXI – museum quality shows, assets of the Titanic. Operator of The Bodies and Titanic shows, recently won ownership of artefacts from Titanic, will either get cash value or artefacts from the courts.
  12. PNI – software platform that runs online photo printing services. Expect growth to fall to bottom line, as more sales run across the same fixed costs.
  13. PHNX – roll up of closed end life funds. Complicated capital structure that is being simplified, expect announcement of dividend to increase share price
  14. PFD – food producer and brand owner. Has large amount of debt, currently selling assets to reduce it. Likely to survive and be able to refinance debt at lower cost, while maintaining ownership of high quality food brands.
  15. YNG – gold miner. Mine closed down, now operating. Expect increase in amount of gold produced.
  16. SHLD – retailer that owns a collection of assets. Expect Chairman Eddie Lampart to allocate cash flow to best use for shareholders (not maintaining stores).
  17. SCHE – operator of retirement homes. Concerns over debt (lease obligations) and fees from govt.
  18. WINN – supermarket. Came out of bankruptcy debt free, hoping to improve margins to industry level.
  19. NFLX (short) – provider of rental DVDs by mail and streaming movies over the internet. Overvalued based on assumption streaming will be as profitable as existing DVDs by mail.
  20. IOC (short) – oil and gas company. Very promotional mgmt team, even if resources found it will be too expensive to recover.
Advertisements

Written by latticework01

February 9, 2011 at 5:05 pm

Posted in picks

One Response

Subscribe to comments with RSS.

  1. […] first company in my list of 2o investments is […]


Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: