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  • Ocean Rig - A Solid Contrarian Investment With Outstanding Share Price Appreciation Potential [View article]
    There have been rumblings over the years that perhaps Saudi Arabia does not have as much oil in reserve as first indicated.
    http://bit.ly/1JZuLsP

    I wonder if depressing prices (while production levels are rising) right before declining production levels show up (2017-2019?) might be a way to snap up assets around the world on the cheap? Shale production will have declined significantly in 2-3 years, and if Saudi production declines slightly, that will be a double whammy. 2-3 years of low oil would be enough time that people would start to question the survival of many drillers and would even become nervous about the majors... there's sure to be better buying points in the future, if such manipulation really is taking place.

    That said, and all conspiracies aside - I prefer PACD to ORIG. I think PACD management is superb, and although ORIG has a lot of cash onhand, I don't think their management is quite as aligned with shareholders. I have a tiny ORIG position for some diversity. My PACD position is thousands of shares greater. I don't want too much exposure to this sector, because if oil doesn't show signs of strengthening, we'll all have opportunities to double down at far lower prices...

    -Mike
    Aug 2, 2015. 01:17 PM | Likes Like |Link to Comment
  • Ocean Rig - A Solid Contrarian Investment With Outstanding Share Price Appreciation Potential [View article]
    I would love to see ORIG buy out DRYS ownership completely. DRYS can have the $200m or so in cash, and ORIG would sever ties with its parent company. That would be quite a stock buyback. I can't see them doing better on the open market - just announcing a buyback shoots prices upward 10-20%, making it difficult retiring as many shares with one tranche of funds.

    -Mike
    Aug 2, 2015. 12:37 PM | Likes Like |Link to Comment
  • Vale's Second Quarter Shows Strength [View article]
    "Wow how much further would the share price have gone down if management didn't know what they were doing?"

    99%.

    I've heard there's a few miners going bust in China right now. Probably a few in other parts of the world as well.

    -Mike
    Aug 1, 2015. 03:06 PM | 1 Like Like |Link to Comment
  • Whitestone REIT Is Now Yielding 8.9% [View article]
    In a booming economy, these guys should be okay - occupancy can easily grow by 10%, more than offsetting interest rate increases. (Though whether the share price gets hammered, I can't say.)

    In a muddle-through economy, these guys should be okay. Occupancy can slowly grow, and interest rate increases shouldn't be that severe.

    In a mild recession (perhaps induced by too many rate increases, too fast) they will not be able to increase rents (which are above average due to the tiny tenant focus) and will have rising rates to contend with. That's a bad combination and spells out dividend cut.

    That said, I like their strategy. I'm up in Canada, and I've seen malls go defunct in cities growing 3%+ annually. Usually some opportunistic developer swoops in, overhauls the look, gets a grocery store on long term lease, plus a bank or credit-union, an electronics store, a clothing store, a furniture store, a restaurant or coffee shop, etc.... and then suddenly people start returning to the mall. Who'd have thought it? Diversity is what gets people through the door, since you can go there for whatever you need. What a strange concept!

    -Mike
    Jul 31, 2015. 12:41 PM | 1 Like Like |Link to Comment
  • Wi-Lan beats by $0.04, beats on revenue [View news story]
    No boost of the dividend. They need to grow capital to purchase new patents & IP...

    I want this thing to grow - not just pump out 8% dividends indefinitely.

    -Mike
    Jul 29, 2015. 12:02 PM | Likes Like |Link to Comment
  • It's Not Rocket Science: STAG Is Now Grossly Mispriced [View article]
    That was FFO, not FFO per share.

    -Mike
    Jul 29, 2015. 11:33 AM | Likes Like |Link to Comment
  • It's Not Rocket Science: STAG Is Now Grossly Mispriced [View article]
    Dividends per share can't rise unless FFO or earnings per share also rise...

    I'm concerned that issuing equity at any price will erode their ability to increase dividends in the future. The market seems to be saying that 25% growth is unsustainable in this environment.

    -Mike
    Jul 29, 2015. 11:29 AM | 9 Likes Like |Link to Comment
  • Ventas Inc.:10%+ Dividend Growth For Combined Entity [View article]
    25 shares and some cash.

    -Mike
    Jul 29, 2015. 02:03 AM | Likes Like |Link to Comment
  • SCHZ: A Remarkably Complete Bond Fund [View article]
    Interesting fund. Very low expense ratio, which is important with low yield returns. I don't think we have anything like it in Canada? If you know of any, please send the ticker symbols my way. (I'm Canadian.)

    -Mike
    Jul 28, 2015. 02:16 PM | Likes Like |Link to Comment
  • Vale still overvalued even after hitting decade lows, Morgan Stanley says [View news story]
    What's that saying, again? Buy cyclical stocks when they are expensive, sell when they are cheap?

    -Mike
    Jul 28, 2015. 12:51 PM | 8 Likes Like |Link to Comment
  • American Capital Agency higher after lousy quarter [View news story]
    mREITs are all about percentages of percentages. A move from 1.6% to 2.4% would be equally as damaging as a move from 5% to 7.5%

    Since spreads are lower than in the past... they ramp up leverage! Great. More danger if they make a wrong move, or don't hedge adequately.

    The wheat will be separated from the chaff, and it will cost a lot of investors money.

    That said, I am trading ORC right now. Arguably terrible management, but dividend was just cut, share price got walloped, and I got in at $7.80. I figured a 21.5% dividend would hold me for a while. Even if they chopped it in half to a truly sustainable $0.07/month, it'd be a reasonable yield to hold onto for the long haul - but since they just cut, odds are they won't cut again right away, giving the stock time to float back upwards more in line with its peers.

    There's an mREIT guru on SA... ColoradoWealthManageme...
    http://bit.ly/1LTOsbn

    -Mike
    Jul 28, 2015. 11:42 AM | 6 Likes Like |Link to Comment
  • Has The Long Awaited Correction Begun? [View article]
    If those little guys get pummelled, so will GILD. The same sector always gets punished, even if unjustly. GILD is good value at $100, but it'd be great value at $50-80.

    -Mike
    Jul 27, 2015. 01:34 PM | 3 Likes Like |Link to Comment
  • REITs see early bid thanks to broader jitters [View news story]
    I am suspicious that rates may not actually make it to the 'liftoff' point.

    -Mike
    Jul 27, 2015. 12:42 PM | 1 Like Like |Link to Comment
  • Asus And OnePlus: Unlikely Runners In The Flagship Phone Race [View article]
    "Phones are a status symbol and people have no idea about most of the features that the phone has that they're buying."

    Agreed. At least 4/5 buyers really don't know what they're buying, and probably buy the wrong device for their needs. There are those of us that research our purchases, but we are the vast minority.

    This generation I went with an LG G4. (I am in the Android ecosystem.) I feel that it is superior and inferior in enough ways to be the ideal balance. It is fast, but not fast enough that it scalds your hand and throttles after average use. It is large, but not large enough that it feels out of place even in larger hands. It has 3GB of RAM (less than 4GB), but I wouldn't call stacking more memory 'innovation' - the extra chip just consumes more power and generates more heat, requiring a larger battery. The G4 has a very nice eMMC package, which means apps load quick. Storage *space* is advertised, but manufacturers never tell you the speed of the storage. The only place that you can find that info is teardowns and spec sheets. The G4 has a replaceable battery and MicroSDXC slot, which is worthy of consideration if using it as a camera or handing it down to a friend several years from now.

    I think where the G4 really shines is in having the right balance of everything to be functional/high-end, but then having an awesome camera. It's a good weight (I wouldn't mind heavier), has a choice of plastic or leather back, and doesn't waste BOM on features that I won't use. (In my case, wireless charging and a fingerprint doodad.)

    The camera is really the main selling point. It has the laser autofocus just like the iPhone, but also has an accurate white balance sensor, more megapixels, lets in at least 80% more light (far superior in low light situations), and has full manual controls. You can do those cool night-shot light-trails, or artistic waterfalls, or sports action shots, or evening/dinner shots, or regular shots. It's easy and they always come out superb.

    Best camera in a smartphone so far. Nothing compares as far as camera quality, and the phone is good enough in other ways to be a worthy contender of the 'crown' position... I think they have tons of innovation this generation where it counts, rather than innovation and new features just for the sake of innovation.

    Just my opinion.

    -Mike

    P.S. The G4 has very slightly curved glass because it makes the screen ~20% tougher to crack. I'm using mine commando style, and it looks awesome.
    Jul 26, 2015. 09:11 PM | 1 Like Like |Link to Comment
  • Pacific Drilling: Fleet Status As Of July 22 With Commentary On The Recent Presentation [View article]
    And the 100% premium would be applauded, I am sure.

    -Mike
    Jul 26, 2015. 12:24 PM | Likes Like |Link to Comment
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