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Robert King  

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  • BYD: Not Looking Like One of Buffett's Better Investments [View article]
    The Berkshire investment was made at $8 HKD or $1.03 USD. Still looks like a pretty good return despite the recent tumble.
    Oct 28, 2010. 05:50 PM | 13 Likes Like |Link to Comment
  • Just One Stock: Buying Oil Reserves In the Ground, On the Cheap [View article]
    Thanks for the great article, Shaun. I agree with your assessment.

    As for the Union Bank covenant situation, Cano filed an 8-K this morning indicating that they've come to a forbearance agreement.

    biz.yahoo.com/e/100810...
    Aug 10, 2010. 08:41 AM | 6 Likes Like |Link to Comment
  • Is BYD Co. Fairly Valued? [View article]
    I would add here that even though BYD is somewhere between fairly valued and moderately undervalued, it would likely still be a good buy while fairly valued.

    As a quality company, a lot of its margin of safety comes from qualitative factors and not necessarily from quantitative cheapness.
    Nov 15, 2010. 10:39 AM | 4 Likes Like |Link to Comment
  • Is BYD Co. Fairly Valued? [View article]
    Assuming that the fundamental business points above don't break down (i.e. The Lollapalooza Effect criteria still hold), then I think BYD stands a very good chance of being the next Intel or possibly the next Standard Oil.

    Now, I don't know how to forecast market caps 10 years into the future, but I'm certain that if they are successful, the market cap for the company ten years from now is multiples of the current market cap.
    Nov 24, 2010. 02:23 PM | 3 Likes Like |Link to Comment
  • Is BYD Co. Fairly Valued? [View article]
    Actually, they make most of their profits in Automobiles now. Take a look at the breakdown on Page 59 of the 2009 Annual Report.

    For what it's worth, my time frame to hold BYDDF is about a decade or so -- barring anything that drastically changes the fundamental business.
    Nov 23, 2010. 06:48 PM | 3 Likes Like |Link to Comment
  • Brookfield Infrastructure: A Play to Watch [View article]
    Thanks Tim.

    I really like the assets, and the BAM team is filled with exceptional capital allocators. I was discussing the company with a friend, and he made a very good point that given BAM's capital allocating abilities, the stock really should trade at a premium to NAV of around 1.25x to 1.3x, which I agree with wholeheartedly.

    My only issue is that I'd rather not have to pay for the premium. I'd rather get the assets for a healthy discount to NAV and pick up the superior asset allocation abilities for free. For instance, at the nadir of the last financial criss, BIP traded for about $9.50 a share. On the other hand, BIP has picked up a bunch of assets from BBI, which has helped diversify its infrastructure assets some more, which might shield them from a similar downturn in the stock -- so I don't know if we'll get as good an entry point in the future.
    Aug 19, 2010. 01:36 PM | 3 Likes Like |Link to Comment
  • Is BYD Co. Fairly Valued? [View article]
    I think the long-term fundamentals of the company are still intact. The continued discounting will likely make for bad comps until mid-year, so from a short-term standpoint, the shares could have more to fall. However, if you're trying to grab market share and get people into BYD cars (free advertising, get people used to the cars, prepare for first-time buyers to be repeat buyers, etc.) then discounting for market share is exactly what you should be doing.

    So I think people will be unhappy that this is occurring from a short-term financial standpoint, but it's the right course of action.
    Mar 26, 2011. 10:27 AM | 2 Likes Like |Link to Comment
  • Fairfax Financial: An Intelligent Hedge Against Deflation [View article]
    Another great article. Thanks.

    My guess on someone taking the other side of his deflation bet is that this is an ABACUS like situation. The bank is likely facilitating a contract between two parties so the other party doesn't know that Prem is on the other side of the contract.
    Mar 10, 2011. 11:28 AM | 2 Likes Like |Link to Comment
  • Is BYD Co. Fairly Valued? [View article]
    It's very hard to figure out a fair price for a company that is a fast grower like BYD. I think that $9 a share is likely a fair price for the stock.
    Dec 24, 2010. 09:22 AM | 2 Likes Like |Link to Comment
  • Is BYD Co. Fairly Valued? [View article]
    I've been a buyer at $5.60 and $5.40.
    Dec 19, 2010. 06:56 PM | 2 Likes Like |Link to Comment
  • Brookfield Infrastructure: A Play to Watch [View article]
    I think that it's a great acquisition for Brookfield.

    I don't have a lot of visibility over how this changes BIP's debt load though, so I'm uncertain how this will play out w.r.t. my TEV calculations. Post-merger, BIP should be throwing off 7% in yield, which is a pretty high for a company of this caliber.
    Aug 25, 2010. 02:32 PM | 2 Likes Like |Link to Comment
  • Is BYD Co. Fairly Valued? [View article]
    You can find market cap from Bloomberg. Net income and outstanding shares can be found through investor relations on bydit.com

    I usually don't look so near term as 2011, but I'll be interested to see what impact the new models will have on sales. I'll also be interested to see what impact the sales of K9 buses will have on their net income.
    Jan 2, 2011. 11:30 AM | 1 Like Like |Link to Comment
  • Is BYD Co. Fairly Valued? [View article]
    Hm, I would try calling BYD's investor relations.

    I'm sure BYDDF is the same as the 1211 shares, but I've never looked into BYDDY. I've merely heard from colleagues that they represent 2 shares of BYDDF.
    Dec 31, 2010. 08:27 PM | 1 Like Like |Link to Comment
  • Is BYD Co. Fairly Valued? [View article]
    It's pretty much the same. Liquidity risk shouldn't be an issue on BYDDF since they trade about $1.5 million worth of stock per day -- unless you're taking a huge position.
    Dec 26, 2010. 10:29 AM | 1 Like Like |Link to Comment
  • Is BYD Co. Fairly Valued? [View article]
    I think they're undervalued at this level, and I believe that in five to ten years, you should receive at least a 15% compounded return.
    Dec 23, 2010. 10:21 AM | 1 Like Like |Link to Comment
COMMENTS STATS
47 Comments
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