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W. Walker Jr.

 
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  • Lots Of Real Estate Value At Assisted Living Concepts [View article]
    Most of the TX locations were not built by ALC but acquired. There is a significant difference in the building layout and architecture.

    On average right now AL units can sell between 75k and 250k a doorknob depending on how well it run.
    Jan 10 11:27 AM | Likes Like |Link to Comment
  • Lots Of Real Estate Value At Assisted Living Concepts [View article]
    not that rurual, just tertiary markets.

    The locations of the communities are actually pretty good.

    I have a map of almost all of them http://goo.gl/maps/39nhK.
    .
    Jan 10 11:24 AM | Likes Like |Link to Comment
  • Lots Of Real Estate Value At Assisted Living Concepts [View article]
    Great analysis. Working in the senior housing commercial real estate space I do quite a bit of work researching buildings. I have researched every single building that ALC owns. This stock is significantly undervalued and I have been building a position for several months.

    These are built in tertiary markets and in locations that are "up and coming". If you look at how they have built buildings over the years ALC buys land and builds in rural locations within tertiary markets that are near planned developments.

    As the community grows, it grows around their existing buildings.

    The only problem this company has is its exposure to government reimbursements. Well this was the only problem, however ALC has now reduced most if not all government reimbursed patients and is now focused on private pay. Once occupancies begin to rise this stock will take off.

    It's crucial to understand that these buildings don't fill up overnight. It will likely take 6months to a year to bring a building from 50% to a stabilized 85-88% occupancy.
    Jan 10 11:21 AM | 2 Likes Like |Link to Comment
  • Chesapeake Energy (CHK): Q3 EPS of $0.10 in-line. Revenue of $3.0B (-25% Y/Y) beats by $600M. Results exclude noncash after-tax impairment of $2B tied to carrying value of natgas and oil properties. Shares +2.1% AH. (PR[View news story]
    Given the progress CHK has made over the past year, despite their headwinds, I wonder what caused this stock to drop 2%+ in AH?

    I am long CHK, just not sure I understand the drop after a pretty decent Q3 report.
    Nov 1 04:58 PM | Likes Like |Link to Comment
  • The consensus among Microsoft Surface RT (MSFT) reviews: build quality and battery life are solid; the performance of the Nvidia (NVDA) processor is somewhat lacking; the tile-based UI is impressive and flexible, but needs fine-tuning and remains tied to the desktop UI (particularly when using Office); there's a big shortage (for now) of apps, and the ones provided are often buggy; and the costly touch/type covers work well ... as long as you don't put them on your lap. Many reviewers see potential, but almost none give a strong endorsement. (reviews: I, II, III, IV, V, VI[View news story]
    I wanted to follow up and say that Windows RT's IE10 is not fully functional. I have multiple problems loading websites, including Boston University Online Classes and Youtube videos.

    I wish the Surface I purchased was the Pro version with full Windows 8 (really just the first version of windows, just prettier, remember windows before the "start" button). I have returned my $700 Surface and now await the release of Surface Pro. Hope it comes out before I just buy an Ultrabook!
    Nov 1 12:33 PM | Likes Like |Link to Comment
  • 5 ETF Sectors To Watch After Hurricane Sandy [View article]
    Any thoughts on Lumber ETFs?
    Nov 1 12:30 PM | Likes Like |Link to Comment
  • The consensus among Microsoft Surface RT (MSFT) reviews: build quality and battery life are solid; the performance of the Nvidia (NVDA) processor is somewhat lacking; the tile-based UI is impressive and flexible, but needs fine-tuning and remains tied to the desktop UI (particularly when using Office); there's a big shortage (for now) of apps, and the ones provided are often buggy; and the costly touch/type covers work well ... as long as you don't put them on your lap. Many reviewers see potential, but almost none give a strong endorsement. (reviews: I, II, III, IV, V, VI[View news story]
    I highly disagree.

    The fully functional IE10 makes you think, "why did I ever need apps?"
    Oct 26 04:34 PM | 3 Likes Like |Link to Comment
  • Sprint (S) boasts its 4G LTE buildout is "underway" in over 100 cities, including New York, Philadelphia, L.A., and Boston. However, the carrier, which currently supports LTE in 19 markets, only promises service availability at some point "in the coming months." Sprint, whose dearth of current LTE coverage could be a disadvantage this fall as an LTE iPhone arrives, still expects to finish its LTE buildout by the end of 2013. (Nomura upgrade[View news story]
    Still having major service issues, month 3...and counting. (Chicagoland, Indiana area) Executive Customer Service is so sick of discussing this stuff with me. Sorry guys, hope you fix the issues soon.
    Oct 15 10:35 PM | Likes Like |Link to Comment
  • To buy a two-thirds stake in Sprint (S), Softbank (SFTBF.PK) would need to significantly increase its debt, which is already over $10B. While Japanese banks seem willing, a major loan would come just a few years after leverage-fueled acquisitions almost caused Softbank to collapse. And the new debt would be to purchase a company that hasn't made an annual profit since 2006. [View news story]
    Well isn't that just wonderful.

    If it can be made in America it should be made in America.

    Hardly anything is made here anymore, what happens when these wonderful relationships breakdown? These close ties you speak of are brief in the grand scheme of history. I am happy that we can all live together so peacefully.

    Just an FYI, I do consider it a national security issue that our cellphones, computers, tv's etc. are made outside the united states. I know it sounds conspiracy theory, but the time will come when our friends are not so friendly. Are we prepared? Why attack a country when you can just buy it up? bug their technology...

    Why occupy when you can just control the goods?

    Perhaps I'm tired, or perhaps just sick of seeing American companies being taken over by foreigners.

    This is all rhetorical.
    Oct 15 10:06 PM | Likes Like |Link to Comment
  • Some details about SoftBank/Sprint: 55% of existing Sprint (S +0.5%) shares will be purchased at $7.30/share for $12.1B. Another $8B will be spent to obtain Sprint shares (via new stock and a convertible bond) at $5.25 apiece. SoftBank will also get a warrant to buy 55M shares at $5.25. The deal is expected to close in mid-2013. Though Sprint isn't required to take any action regarding Clearwire (CLWR +20.3%), that $8B could facilitate a future deal, while allowing Sprint to pay down part of its $21B debt load. Dan Hesse will remain Sprint's CEO. [View news story]
    I am not a fan of this deal.
    Oct 15 09:42 AM | Likes Like |Link to Comment
  • To buy a two-thirds stake in Sprint (S), Softbank (SFTBF.PK) would need to significantly increase its debt, which is already over $10B. While Japanese banks seem willing, a major loan would come just a few years after leverage-fueled acquisitions almost caused Softbank to collapse. And the new debt would be to purchase a company that hasn't made an annual profit since 2006. [View news story]
    Alrighty then, why not do a sale lease back on our power grid, or what if it was your internet service provider, or cable service provider. We had good relations with Iran at one point as well, should we allow them to buy up US companies?

    If it can be made in America it should, and if it is a core service for daily life, it should be run by an American company.

    Softbank will act in the best interest of Softbank, not the American subscribers. Money is not the only kind of return on investment, I think we can all agree we don't see how this deal makes financial sense. My question is, what is in this for Softbank, if its not tangible monetary returns?
    Oct 15 09:17 AM | Likes Like |Link to Comment
  • To buy a two-thirds stake in Sprint (S), Softbank (SFTBF.PK) would need to significantly increase its debt, which is already over $10B. While Japanese banks seem willing, a major loan would come just a few years after leverage-fueled acquisitions almost caused Softbank to collapse. And the new debt would be to purchase a company that hasn't made an annual profit since 2006. [View news story]
    So its 8:00AM and official, Softbank acquires 70% of Sprint. I don't know about any other subscribers but I'm not sure how I feel about my communications company being owned by a Japanese Firm...seems like that would be a national security issue of some kind.
    Oct 15 09:03 AM | Likes Like |Link to Comment
  • Blinded by fat yields, investors continue to bid closed-end funds far higher than their NAVs. 66% of taxable and 73% of muni-bond funds trade above NAV now, compared to just 30% a year ago, with often the funds with the highest distributions having the highest premiums. "We believe that an excessive premium for the fund is not likely to be sustainable," says Gabelli of one of its funds. Are investors listening? [View news story]
    I hate to say it but i might have to eat my words.
    Oct 10 02:01 PM | Likes Like |Link to Comment
  • Blinded by fat yields, investors continue to bid closed-end funds far higher than their NAVs. 66% of taxable and 73% of muni-bond funds trade above NAV now, compared to just 30% a year ago, with often the funds with the highest distributions having the highest premiums. "We believe that an excessive premium for the fund is not likely to be sustainable," says Gabelli of one of its funds. Are investors listening? [View news story]
    First, I was speaking generally about these higher risk income investments, not PHK specifically.

    Second, with regards to PHK it depends on where you bought the fund. I got in much closer to NAV.

    Third, the bubble is nearing the top for these funds and we are heading for a correction, just not yet.

    PHK has been the target of many media stories since it leads the pack, or did with a premium near 70%.

    Any CEF has these severe drops then they work there way back up and do the same thing, over and over and over again.

    Had there not have been multiple stories scaring the daylights out of investors to exit PHK specifically for something else, we wouldn't have seen such a sharp step backwards so soon.

    Don't get me wrong, I know everything I'm saying about this fund is not the normal (I'm stunned I'm defending a CEF with such a high premium), but it's hard to ignore our government herding us into riskier investments for the foreseeable future (Obama or Romney).

    Yes there are alternatives, personally I am diversified in my income funds; I hold PHK, HIH, VWEHX and others. While PHK dropped nearly 12% in the last two days, my other funds were barely touched, and in some cases, up.

    The high yield bond bubble (macro view) has not bust yet and will not for some time (maybe 1-2 months). PHK (micro view) was getting ready to top out, in the next few weeks/month. Now after the media scare, too much air was let out too fast. We should see this go back up, sharply and quickly followed by a several weeks/months of continued declines. When this bottoms out it will still be a premium to NAV.

    After sitting and thinking about the macro, the micro, the political and socioeconomic factors, I feel that we will see a pop back upward into the 13.50-13.90 range and will then proceed to drop lower, I think bottoming around 11.50ish. *this is not investment advise, and my strategy is highly speculative. Consider alternatives carefuly before investing, and always consult your personal financial advisor.
    Oct 10 09:12 AM | Likes Like |Link to Comment
  • Blinded by fat yields, investors continue to bid closed-end funds far higher than their NAVs. 66% of taxable and 73% of muni-bond funds trade above NAV now, compared to just 30% a year ago, with often the funds with the highest distributions having the highest premiums. "We believe that an excessive premium for the fund is not likely to be sustainable," says Gabelli of one of its funds. Are investors listening? [View news story]
    Suzie Orman said it best this weekend...(I hate to quote her but)

    People need the income, where else are they going to go?
    The possibility of capital erosion due to corrections are worth the risk in ETFs CEFs and dividend stocks & funds, considering that they would certainly lose that money in treasuries and CDs.

    For example:

    Person A had 200k invested in CD's at 5% kicking off 10k a year in income. Now that CD is mature, and where do you reinvest, in a CD fetching a hefty 1-2%? Lets assume that they do reinvest, now that same 200k is only kicking off 2k a year. If they need 10k for income and are only bringing in 2k, they logic dictates that most will reduce their principal 8k this year, just to get the same income as before.

    Next year, they only have 192k to invest...Continue the cycle...

    The capital will erode either way, there is more chance of an upside with these highly risky funds.
    Oct 9 03:25 PM | Likes Like |Link to Comment
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