Michael Tsangaris

Dividend investing, long-term horizon, conglomerates, large-cap
Michael Tsangaris
Dividend investing, long-term horizon, conglomerates, large-cap
Contributor since: 2012
Good article Tom as it takes a dive into SEC filings. While BBRY won the award by the DoD, with regards to Washington they are losing market share. A survey conducted by the National Journal (note: dated 2012) found that the number of Capitol Hill staffers using a BB dropped to 77%, from 93% in 2009. The US federal agency meanwhile bought iPhones for over 17,000 employees as it said the Blackberry "can no longer meet the mobile technology needs of the agency." Further evidence of penetrating Blackberry's contracts with the government is that Samsung is near to closing deals with the Federal Bureau of Investigation and the U.S. Navy according to a WSJ article. It appears therefore that despite Blackberry having the biggest market share with the DoD, as technology develops, and data needs from a smartphone increase, the two heavyweights continue to develop their products, these will negatively impact Research in Motion's market penetration for this division.
Yes, you answered my question. That's a good strategy for diversifying geographically in terms markets which are strengthening.
Thanks happyshorter. I guess it seems I took the middle ground as I look at individual stocks and when the markets take a downturn, that creates a buying opportunity but anything but a perfect one as it is difficult to time the markets. Additionally, I am making points that some might not have thought of.
I have not thought of investing in Japan or Germany. Are you referring to ADRs, stocks with business segments heavily reliant to those countries or traded in those countries? Please tell me more of how you would approach that.
I appreciate the praise. As mentioned it is a complicated subject so of course misses areas which affect the markets/economy. I think you are doing the right thing at the moment whereby you are waiting for a pullback if you do not see good opportunities around. I do not like being "all in" or "all out" but instead having a higher % invested with cash ready to be deployed if opportunities arise.
That was the purpose of it so I'm glad and thanks again for sharing.
Good to see people are thoughtful about Apple breaking into China. Gives a balance to those who think it is "mispriced" and I am one of them. Gregory makes simple assumptions to prove his point and it is a good one at that! Price to free cash flow is around 6 so it's priced for earnings contraction and this is unreasonable.
Reasons I'm a fan: pays a dividend and as dividend increases over coming years this would increase your yield on cost (unless you bought at $700), growth can come from introduction of low-cost/ different sized iPhones, iTV and rumoured iWatch. I am not saying these will add to EPS growth over and above the 5% assumed by Gregory's model but instead support it.
I came across this and thought I would share. It's a presentation from the NY Fed about the student loan market and contains figures with the expected trends however no real conclusions are stated.
Household Debt and Credit: Student Debt: http://bit.ly/XhPROC
Thanks for letting me know Sathish. Glad the research came to use and that I could help
Hi Leesero,
Thank you for the praise and as I am sure you are aware, starting from an early age is important.
Onto your point, I have not researched into it however the common sentiment from what I hear is on the side of your view. The million dollar question of course is when does the huge shift happen as of course MOOCs have not gained enough traction yet to disrupt the industry completely and people with college degrees are at all time high in the U.S. so you could either stay on the sidelines if that's what helps you sleep at night or beware of the loan "bubble" and invest in the meantime.
That's true. That's why included research of their valuations even if it is a few ratios. As you say they are over valued as P/FFO for CCG is 55, EdR 26 and ACC 1.83 book however I'm bullish and a correction could warrant a small investment in one of them.
BAC derive around 35% of their revenues by the Consumer & Business Banking segment and saw their net interest income decrease $2.3 billion to $19.1b and one reason was due "compressed deposit spreads" as a result of the continued low rate environment.
60% of WFC's revenue is generated by their Community Banking segment which is one of three reported segments as opposed to BAC which have six therefore WFC define community banking much more broadly. They also cite the low interest rate environment as creating pressures.
NII should rise with rates so you have a point because WFC is well run and BAC probably goes higher
Definitely best of breed but dwarfs the rest of the group
Thanks for pointing that out. It would have probably been better to put it that way. This post is for idea generation and whilst GGP is not the strongest here at the time being, I included it as it is better than other retail REITs.
brilliant article and strategy for playing coal and hedging the position! I'm assuming the following quote from your article is an assumption: "Demand may increase throughout the rest of the year as the government approves infrastructure projects in an attempt to reignite economic growth". If not do you have any sources as I found slightly contrary data towards this: China is going to cap its demand in an attempt to cut air pollution (http://bloom.bg/SDjA0f)
I agree with TAS. Brilliant article especially the reasons to be bullish however the key ratios and competitors ratios drags on too much. I always look out for your articles as they focus on dividend and financials and cover those two categories very well however, cutting back on the metrics would make a large difference.
I haven't seen any activity from you. I'm guessing you've just joined so welcome to the community!
You've shed some light. I didn't look too deeply into it while compiling the list. It has been paying for 25 years, uninterupted, even throughout the financial crisis and didn't take on TARP funds. They are in the top 5 in terms of deposit market share in all their operating regions. Overall, as you said James, a good, stable long-term dividend payer.