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David Nelson

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  • Boeing Battles Union Over 777X - Who's Bluffing? [View article]
    I don't dispute that there are issues and I think there are many areas where Boeing can give back to the unions. But the Defined Benefit Plan isn't one of them. That is a big deal. I can't count the number of fortune 500 companies that have gone bankrupt because of these plans.

    Detroit is a shell of its former self partly because of these plans. If the Unions think Boeing will give in on this they are mistaken.
    Nov 14 09:39 AM | 7 Likes Like |Link to Comment
  • Facebook - The Greater Fool? [View article]
    It was tongue in cheek. It's 2 1/2 times sales if they sign up every man woman and child on the planet. 7 Billion people. 19 divided by 7. Just rounding.

    I was never much of a stand up comic.
    Feb 20 11:19 AM | 5 Likes Like |Link to Comment
  • Boeing Battles Union Over 777X - Who's Bluffing? [View article]
    I don't think this is a stumble at all. They can't capitulate on Defined Benefit. They don't work anymore.

    Stock reaction says a lot.
    Nov 14 10:52 AM | 5 Likes Like |Link to Comment
  • Boeing Battles Union Over 777X - Who's Bluffing? [View article]
    Here is just a few where the Pension Plans played a role in the bankruptcy. GM, Chrysler, UAL, Delta, American Airlines, Lyondel not to mention the City of Detroit.
    Nov 14 01:40 PM | 4 Likes Like |Link to Comment
  • Boeing Battles Union Over 777X - Who's Bluffing? [View article]
    Well said. It will probably be some sort of combination that makes the most sense. Threre's still a lot of time
    Nov 14 12:23 PM | 4 Likes Like |Link to Comment
  • Boeing Battles Union Over 777X - Who's Bluffing? [View article]
    No, That was a surprise to me. Was trading down pre-market but that didn't last long.

    I guess everbody gets it. I expected to do a spot on Fox or Bloomberg today off the article. I guess the producers didn't feel it was that big a deal.

    I hope the unions and management can come to some kind of agreement. There is a lot of history there.
    Nov 14 03:12 PM | 3 Likes Like |Link to Comment
  • eBay Shareholders - Stand Up And Be Counted [View article]
    Great comments everyone. I wish that eBay was the only example of this type of behavior but I think we know that isn't the case.
    Feb 26 02:23 PM | 2 Likes Like |Link to Comment
  • Facebook - The Greater Fool? [View article]
    Thank you everyone for reading the article. Obviously there is a dialog going on with respect to the deal. I will be discussing my viewpoint on CNBC later today on Closing Bell. Hit time is about 3:20 PM EST.

    I'll leave you with one last thought. Throughout history there have been visionary leaders who started a company with a product or service that becomes wildly popular. We assume sometimes correctly that these people will always make the right decision and can do no wrong.

    However in the real world even leaders make mistakes. I make them all the time. I run institutional money professionally and have been doing so for a pretty long time. Contrary to some of the comments I am not working from my bedroom trading 100 shares. You can contact me at davidnelsoncfa.com if you would like access to every closed transaction including profit and loss.

    Sometimes management reaches too far to maintain their popularity and relevance in the future. Like Fonzie trying to hold up Happy Days Mark has jumped the shark.

    We shall see.
    Feb 21 11:59 AM | 2 Likes Like |Link to Comment
  • Facebook - The Greater Fool? [View article]
    We all understand why Mr. Zuckerberg is doing this. The point of the article is that Price Matters.

    What's more frightening is the analogies you are using remind me of the rationale used when Time Warner took out AOL.

    I fully understand the incentive to scale and grab new users but as some of the other readers have posted the emerging markets where they are dominant don't like to pay anything. Let's see what the turn over is in a few years.

    On the call management said they are not focused on monetizing the product and they are looking longterm 10-15 years. I respectfully submit that $19 Billion is too high a price especially considering there were no other bidders.
    Feb 20 12:19 PM | 2 Likes Like |Link to Comment
  • Every Bull Market Feels Like A Bubble [View article]
    You bring up valid points but the main thesis of the article is that we spend far too much time focused on the market and outside factors and not enough time on individual stocks.

    If the Fed's money was truly causing a bubble market valuations would be significantly higher than they are now. When they start to taper and interest rates normalize I still think Boeing will still be able to sell a lot of aircraft over the next 10 years.

    I think the very fact that the media is so obsessed with calling the top and calling it a bubble gives this market some breathing room.

    Best
    David
    Nov 5 03:54 PM | 2 Likes Like |Link to Comment
  • Every Bull Market Feels Like A Bubble [View article]
    These stocks are at 52 week highs for a reason. They have a strong secular tailwind. Yes it's true that if we suddenly enter a Bull Market these will fall harder.

    Best quote I've heard today on Bubbles:

    A Bubble is a Bull Market I'm not in.
    Nov 5 01:32 PM | 2 Likes Like |Link to Comment
  • Ready For A Rebound? Gilead's $1000 Pill [View article]
    Thanks Steven for the comment. You make good points.
    Apr 17 08:25 PM | 1 Like Like |Link to Comment
  • Boeing Battles Union Over 777X - Who's Bluffing? [View article]
    I would bet they have several types of plans including deferred compensation. Stock option grants are the big game for management at any public company. It's all done in the name of being on the same side as the share holder.

    It's total BS and forces management to buy shares back to offset dilution. Particularly nasty at tech firms like CSCO where they have been buying back stock for decades to offset what they are handing managment.

    This isn't a BA issue it is a corporate governance issue that effects all shareholders.

    I've written on this several times in the last few years and nothing has changed. Those who write the laws often end up on corporate boards once they leave politics.

    In my opinion stock options are the dirty little secret that no one wants to talk about.
    Nov 18 02:09 PM | 1 Like Like |Link to Comment
  • Boeing Battles Union Over 777X - Who's Bluffing? [View article]
    Big news out of Dubai over the weekend. Very large orders for BA aircraft out of the Dubai Airshow.
    Nov 18 07:25 AM | 1 Like Like |Link to Comment
  • Freeport McMoRan: Let The Shareholders Vote [View article]
    The culture inside the board at many companies needs to change. They often forget who they represent and it is very difficult for activist shareholders to make their voice heard.
    Dec 11 03:50 PM | 1 Like Like |Link to Comment
COMMENTS STATS
83 Comments
48 Likes