Equity Watch

Large-cap, mega-cap, telecom, long/short equity
Equity Watch
Large-cap, mega-cap, telecom, long/short equity
Contributor since: 2012
Nice. Multiple contraction will be an important theme in 2014 for Utility Sector.
Sunshine123 and Maybenot, thanks alot for the comments.
Mondelez is a company with a great potential; need some serious structural changes, some markets/segments are not being optimized so far.
as i mentioned in the article, its a long term investment.
tunthan: Thanks for the comment.
raymedo1: Thanks for the comment. Yes, accumulating GRPN shares at current valuations is a good strategy.
Dividend Yield offered by Kraft currently is 4.2%, I apologize for the typo in the first paragraph which stats .2%.
Klobbasa; Thanks a lot for the appreciation. You raised a good point. Agree with you that CAPEX may rise in future as tobacco industry move towards alternates to traditional tobacco, but I think it not likely in near short term.
BrodiesDay; its ratio of debt to equity. As equity will decrease due to share buyback the ratio (leverage) will increase, even if debt is kept at current level.
Ben Gee; I agree with you that met coal companies stands a better chance in future and met coal demand will grow in coming decades specially in Asian markets.
cannedpawn8; I used estimates and projections from different sources that makes me conclude coal will rebound. EIA is projecting coal fired electricity generation to rise in next two years as compared to 2012. Thanks.
alschroed; agree with you on the fact that PM has strong cash flow, but I think the company is focused on lowering its shares outstanding to increase ROE and EPS (generate earnings growth). Expect leverage to increase in near future. Thanks.
cpa28761; PG is a great stock to buy, its just that I think investors should wait for a dip and right entry point before initiating a buy position. Thanks.
Orthokneepa; adding on more shares of MO on dips is good strategy. Share buybacks are certainly leading to higher returns for the shareholders and I expect this trend to continue in near future.
@stall; yeah, MO has delivered strong results in the past and shared successes with its shareholders.
Yes, agree with you on pullback. The stock is already down 5.3% in last 6 months. Also, MO has strong fundamentals to back bullish stance.
Thank alot for the appreciation Tallguyz. Yes, waiting for a dip seems to be a good strategy.
Thanks Golferdood, yes PG is pricey at current price level. Better strategy would be to sell stock now and wait for a dip before buying it. That's my view point.
@ferjen; I think investors will keep chasing yield entering in 2013 and DUK will outperform the industry. That is why I am bullish on the stock.
Thank a lot for your opinion
Yes, it will be interesting to know whether rumour materializes or not.
the expected launch of iTV in 2013 as mentioned in article, high expected growth and reversion of margins back to ~40% by mid 2013 should allow the stock to trade at a premium..
I agree that Groupon may not have a big moat but..in this business a large sales force, your networking, subscriber base and data base collected would all act as competitive advantages.