Energy Transfer Partners: Long-Term Energy Play With 7.9% Yield [View article]
Unless this is incorrect, yahoo finance is showing a quick ratio of 1.1, so I don't think that ETP will have any problems handling short-term debt. Also, Sunoco has $764 million in operating cash flow and a quick ratio of 1.2, so I think the MLP will be in even better shape with the acquisition.
Actually, I don't know if you are looking at the correct chart. When I pull up a 10 year chart of T, I see that the stock was trading in the $30s in 2002, it then fell around 20 for a couple of years, then went to $40 around the five year point and now it's back in the $30s. This entire time, the company has raised dividends, so capital preservation was preserved and above average dividends were paid. You must have a distorted view.
There's usually a story that goes along with the graphs. The consistent earnings growers have consistent stock growth over time. I always look at fundamentals, but I also present a graph because it is a visual that paints a picture of the fundamentals.
It's above average earnings growth that I'm looking for. That's what drives stocks higher than the S&P 500. Unfortunately, XRX grows earnings at below average levels, therefore the stock will remain lackluster. There are many other consistent stocks out there that I would prefer to invest in. I like companies that provide a CAGR of about 15% (dividends plus earnings growth).
I have to answer this somewhat frequently. I write multiple articles per week - almost everyday. I would have to be a multi-millionaire to own everything that I'm bullish on. There are many great above average stocks out there, I don't feel like I need to own all of them.
How To Turn Coca Cola Into An Investment Machine [View article]
310,
We're only looking out 1 month for the stock to remain below $75. You could also pick a higher strike price if you wish. After June expiration, you look at selling a different out of the money call for the next available month. The market is still on shaky ground right now with European debt fears.
That's a great analysis. I just think you have to view XRX as somewhat of a spec play because of the company's spotty track record. Just look at a stock chart from 1980 to present for IBM, KO, MCD, PG, etc. and you'll see consistent growth, with XRX you see it fall off a cliff after 2000.
I'm sorry but I don't know any person or business that is not interested in finding new ways of saving money. It doesn't matter if that involves reducing paper, printers, etc. - the important thing is improving the bottom line. Saving money might be an old play, but so is Les Miserable and people still love to go to see it. Old plays, if they're good will always remain in style.
48 is the trailing PE - that was due to poor performance in the past few years. 13 is the forward PE. Also, the fact that the stock is trading at only 1.89 times book value per share is what makes it undervalued.
Energy Transfer Partners: Long-Term Energy Play With 7.9% Yield [View article]
Invest And Grow Rich With AT&T [View article]
Can Xerox Make A Comeback? [View article]
Can Xerox Make A Comeback? [View article]
Invest And Grow Rich With AT&T [View article]
How To Turn Coca Cola Into An Investment Machine [View article]
We're only looking out 1 month for the stock to remain below $75. You could also pick a higher strike price if you wish. After June expiration, you look at selling a different out of the money call for the next available month. The market is still on shaky ground right now with European debt fears.
Can Xerox Make A Comeback? [View article]
That's a great analysis. I just think you have to view XRX as somewhat of a spec play because of the company's spotty track record. Just look at a stock chart from 1980 to present for IBM, KO, MCD, PG, etc. and you'll see consistent growth, with XRX you see it fall off a cliff after 2000.
Can Xerox Make A Comeback? [View article]
Invest And Grow Rich With AT&T [View article]
wb: I love the put sell idea.
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Invest And Grow Rich With AT&T [View article]
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