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  • CBI Gives Investors False Hope [View article]
    Jack, the confusion is from the 13G they filed, which nobody seems to understand. If you add up the shares from all of the ownership statements from various BRK entities, you are over 40% of CBI. I'm not sure why they do that, but maybe a securities lawyer who lurks here could explain the advantages of quadruple listing of ownership to us. The 13F lists BRK's ownership at about 10%.
    Mar 5, 2015. 10:08 AM | 1 Like Like |Link to Comment
  • Independence Realty Trust Is Still Looking Like A Solid Investment [View article]
    CWM, I took the CEOs comment as, we will definitely be issuing more stock for growth. Is that what you (or anybody else) thought, and how do you see that impacting the stock price? I would think new lows are ahead, but that is just my experience with secondaries. The price tends to drop significantly.
    Mar 4, 2015. 01:17 PM | Likes Like |Link to Comment
  • CBI Gives Investors False Hope [View article]
    A few hundred million is their whole stake, but it is 10% of CBI, BTW.
    Mar 4, 2015. 08:50 AM | 3 Likes Like |Link to Comment
  • CBI Gives Investors False Hope [View article]
    >> The exposure of CBI to upstream E&P in the Oil and gas industry is minimal, said to be less than 5%. Oil rig business is only a fraction of upstream E&P, when peanut is multiplied by peanut, then "peanuts".<<

    What is funny to me is that big oil is selling for over 20X earnings. So, CBI which isn't in the oil drilling business at all (directly), gets punished over the drop in oil prices, but the big oil companies....not so much. Here is something to think about: Berkshire sold 3-4Bn in Exxon shares very quickly last qtr, but they kept all of their CBI! They could have easily sold a few hundred million worth if they wanted to do it.
    Mar 4, 2015. 08:26 AM | 5 Likes Like |Link to Comment
  • CBI Gives Investors False Hope [View article]
    A lot of people don't seem to understand that Southern has to keep this in the news because of the PSC and customers are fellow investors. The nuclear business should be very, very profitable over the long haul, but nuclear engineering isn't easy. CBI has roughly doubled its revenue and profits over the last three years, and nuke is a part of that. Vogtle will almost certainly get worked out, and it will cost everybody something, but it won't break anybody. $5.80 midpoint is *after* Vogtle--about 8 X that gets us to today's price.
    Mar 4, 2015. 08:21 AM | 4 Likes Like |Link to Comment
  • CBI Gives Investors False Hope [View article]
    Yep, he's giving shorts false hope--the hope that CBI is in the oil drilling business, and the false appearance that earnings and revenues are declining, not growing! A quick glance at the earnings report and conference call would have refuted each of Rich's points, and shown why the company guided for growing both top and bottom lines this year.
    >>>>Awards included strong bookings in the United States such as the engineering and construction of a three train LNG export terminal; two combined cycle gas turbine power projects; an ammonia storage tank; pipe fabrication for a propane dehydrogenation unit; nuclear and petrochemical facility maintenance work; as well as various decommissioning and decontamination, environmental remediation and government services awards. Globally, we booked noteworthy awards for engineering and procurement for a clean fuels project; structural, mechanical and piping construction for an LNG project; construction of petroleum storage tanks; licensing for a grassroots ethylene plant; engineered products for refining, petrochemicals and gas processing facilities; strategic technology licenses; and numerous additional steel plate storage and fabrication awards<<
    >> Cash from operating activities for the fourth quarter was $613.3 million<<
    Mar 4, 2015. 08:06 AM | 13 Likes Like |Link to Comment
  • Intel Overshadowed By Samsung At Mobile World Congress [View article]
    What Samsung is really doing is making their foundry a huge money maker. By upping the SOC bar, they are forcing QCOM, AAPL, and NVDA to come talk to them, or TSMC. It is a win-win for Samsung.
    Mar 3, 2015. 12:17 PM | 6 Likes Like |Link to Comment
  • Intel Overshadowed By Samsung At Mobile World Congress [View article]
    >>Samsung certainly surprised with its Exynos 64-bit octacore clocking up 70,000 on Antutu or about 50% more than Apple's A8....The Cherry Trail 14nm performs in line with the A8 and started shipping in January.<<
    Michael, I guess the key is that if Cherry Trail is just up to the A8, and Samsung thumped it by a large margin, then Samsung just rendered Cherry Trail DOA? This chip appears to do so well that there will be carnage for cheaper SOCs. Sofia is going to get crowded out, too. I would love to be bullish on Intel, but this all sounds bad to me. Maybe they can take some share in baseband, but mobile remains a black hole for money for Intel.
    Mar 3, 2015. 10:54 AM | 5 Likes Like |Link to Comment
  • Intel Overshadowed By Samsung At Mobile World Congress [View article]
    Samsung's accomplishments get dissed regularly by Apple bulls, but the tech in this phone is extremely impressive imo. 64 bit, 8 core, with their 14nm finfet process. They are saying ~20% better performance and ~35% better efficiency than the 20nm part. They are saying better battery performance than the iP6, and the battery is smaller than the G5. The leaked geekbench scores are very strong at about 1500 single/5500 multi (multi is almost twice the iP6). 3Gbs of LPDDR4 and UFS make this phone very much like my dual core Sandy Bridge Macbook from four years ago, but it is all in the palm of your hand, and the G6 has much better resolution. This chip appears to be a monster that will easily run a very cheap chromebook. It looks like Samsung hit it out of the park. I doubt they will take over because of other issues they have, but the SOC war appears to have gone thermonuclear.
    Mar 3, 2015. 10:44 AM | 7 Likes Like |Link to Comment
  • Chicago Bridge & Iron - Does Recent Rebound Signify A Long-Term Trend Or Yet Another Value Trap For Investors? [View article]
    >>For most of the past 10+ years, CBI has traded below $40 with two spikes, up to $62 in 2007 before the financial crisis (when many stocks were overvalued) and the period 2011-2014 when shares reached as high as $87. i believe the latter run-up was strongly influenced by Buffett establishing a sizable position<<

    While that could be somewhat true, we can't forget that CBI has experienced explosive growth during that period. CBI has roughly doubled revenue and profits in the last three years! The growing stock price is because of growing earnings. We have to look at the fundamentals, and that is why I believe it is so cheap now--the price does not reflect the new reality. CBI's earnings estimates are selling at less than 50% of the major averages. So, the average company on the index is about twice as expensive as CBI. The key is understanding how to establish a value for a company and then finding great companies that are either fairly priced or cheap. Finding a great company like CBI that is this cheap is rare imo. Now, it is possible the fundamentals will change at some point in the future, but the earnings call completed refuted that thesis. GLTA.
    Mar 3, 2015. 08:29 AM | 1 Like Like |Link to Comment
  • Samsung launches S6 with metal/glass body, 2K display, new fingerprint sensor [View news story]
    Lo, the problem is that on an iPhone if you are having trouble they have software to test your battery. If it is weak they will put a new one in. If it is out of warranty you can still pay to get a new one at the Apple store. What are you going to do when a Galaxy S6 goes bad?
    Mar 2, 2015. 09:04 PM | 1 Like Like |Link to Comment
  • Chicago Bridge & Iron - Does Recent Rebound Signify A Long-Term Trend Or Yet Another Value Trap For Investors? [View article]
    Well, the point is that if you own a business and you are making back your total investment in eight years, you generally have a great investment, especially when everything else is selling for 20 times earnings. It isn't so much about libido and sparks imo; it is about earnings. A company might be able to return as much as 5% of the earnings through buybacks each year when the price stays at 8 times earnings; if it drops to four times earnings, they might be able to purchase 10% per year because of the earnings to price ratio! After 15 years of purchasing 5% a year, assuming zero growth, your stock price would roughly double. That is why it is a great investment--compounding. Throw in some growth, and you have a leader. Fundamental guidance is forward looking and CBI's is outstanding--one of the best values anywhere. You might have argued Apple wasn't at the bottom in early '13, too, but fundamentals said it would head much higher in time and sure enough it has doubled in the last two years. Finding fundamental bargains is the key to great investing imo, but it might take some patience. BTW, CBI is booming growth-wise. They are buying back stock because it is cheap.
    Mar 2, 2015. 08:55 PM | 1 Like Like |Link to Comment
  • Asure Software Presents Complimentary Live Demonstration on Workspace Scheduling Solutions for Mobile Workforces [View article]
    Complementary!
    Mar 2, 2015. 05:37 PM | Likes Like |Link to Comment
  • Chicago Bridge & Iron - Does Recent Rebound Signify A Long-Term Trend Or Yet Another Value Trap For Investors? [View article]
    >>In truth, fundamentals are a kind of (rationalized) herd instinct.<<

    Funny, Michael, that is exactly how many see TA! The movement is irrational, but other members of the herd join in the irrational move simply because of the movement. If a company like CBI is selling for 8 times earnings, that is concrete. The company is so cheap, management can buy back massive amounts of the stock because the herd is irrationally giving shares away. I had this same discussion many times as Apple was floundering in '13. What could change the picture is if fundamentals change and they aren't making money any more. It really doesn't matter if we are talking pizza joints, car washes, or some of the most complicated engineering in the world, 8 times earnings won't last.
    Mar 2, 2015. 05:02 PM | 4 Likes Like |Link to Comment
  • Chicago Bridge & Iron - Does Recent Rebound Signify A Long-Term Trend Or Yet Another Value Trap For Investors? [View article]
    I'm a little surprised that the 13Fs didn't move it more. BRK sold 3-4Bn in Exxon last qtr, but they kept all of their CBI. They know how to hit the sell button. Quite a vote of confidence, and the results seem to validate the decision. Einhorn also bought several million shares. One would think that might generate some strength, but here CBI sits at 8 times the midpoint of reaffirmed earnings!
    Mar 2, 2015. 02:37 PM | 2 Likes Like |Link to Comment
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