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Ray_Rich
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Independent investor specializing in deep value plays.... often called contrarian in my views. My goal with every stock i purchase is to double my money. If a companies stock does not offer the opportunity to at least double in the next 24 months I am looking for a better opportunity. I try to... More
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  • Current List Of Stocks - Apr 2014
    ANX On TSX0.110 
    EBIX ON NASDAQ16.93 
    TV ON TSX1.03 
    IMG ON TSX - In USA its IAG3.92 
    ATP ON TSX - In USA its AT3.25 
    LLEN - BIG LOSER may be worth 01.68 
    AWLCF - OTC21.68 
    TMM -ON TSX - in USA its TGD1.44  
    Tags: IAG, AT, EBIX, LLEN, TGD, AWLCF
    Apr 04 10:50 AM | Link | 2 Comments
  • EBIX - Ray Rich Buy List

    Disclosure: I am very long EBIX

    This may be the most undervalued company that I have every had the opportunity to purchase. The reason they are so undervalued is the fact that they are in some legal issues because of short attacks from both Bloomberg and an author on Seeking Alpha called Gotham.

    Fact is if this was a larger company and there was not legal issues plaguing them there would be hundreds of investors lined up to take a huge chunk of the business.

    Everyone likes to quote Buffett, well EBIX has what Mr. Buffett likes to call a MOAT. They are the only company in the insurance exchange that offers end to end service. This is a huge advantage as it gives the company a very sticky feel. There customer retentions is second to none.

    Now, I purchased EBIX at around 9.40/share a number of months ago. I feel like right now they are still very well valued and I would think that you would make a lot of money buying now. However EBIX has huge spikes and valleys in share price. So if you put an order in around 12$ I do believe it would get filled over then next few weeks.

    The legal issues are starting to become a bit of a backdrop or background noise if you will. They have been a bit more muted lately and it looks like short sellers are starting to back down a bit. This does not mean that there will be no 'noise' in the future.

    Fundamentally this company is as good as they get. I would like to see them buying back a number of shares right now, but they are paying down debt instead. This is a company choice but is not the one I would make.

    The CEO Raina has come under fire as of late from the online investors. But he has done a great job in my opinion and in all honesty I feel that the only reason he has done so is because of the short attack and his attempt to take the company private in the spring. Many thought he was low balling the share holders.

    On a company and fundamental standpoint I feel he is a good CEO who stands tall for the company and is accountable for it actions.

    EBIX is a screaming buy for me.

    Disclosure: I am long EBIX.

    Nov 09 3:13 PM | Link | Comment!
  • AT / ATP - Open Letter To Management

    Disclosure: I have purchased ATP (ticker is AT in USA) in July 2013

    Dear Management,

    This letter is to address my and other shareholder complaints regarding your current policy and recent statements regarding your dividend.

    Here is my problem, I understand the original div cut. Atlantic Power was leaking money all over the place, but here we are not leaking money, sure they have some debt coming up due. But looks to me like we are paying down debt currently and when it comes due we should be able to refinance this debt.

    Management needs to understand that the reason most have this stock is the fact that the dividend is there. For me I bought it as a dividend and turnaround play a few months ago.

    This company has a ton of assets, and they do have a lot of debt but that being said they should be able to continue with a dividend and pay down the debt. When you say that you are eliminating the dividend out of a utility the stock is going to crash down, did the management team not learn anything last time?

    There is absolutely no way they should be in management positions if they do not understand most investors are here for the yield.

    Only good news I can see if you eliminate the dividend is that the price will fall down lower 3's which I guarantee will bring about either a buyout or a activist investor which will at least get back some shareholder value.

    I feel sorry for the longer term owners here, as currently management is just blowing this thing out of the water. I have been a shareholder since about June/July and at that point I believed the strategy was to pay down debt, keep the div alive at 3c for about a year or year and a half and then start to inch it back up. This was going to work!

    When management outlines a plan they need to follow through.

    Please listen to the words here and also the words of Mr. Market and decide to stick with your plan.

    Best Regards,

    Ray Rich

    Disclosure: I am long AT.

    Nov 09 10:46 AM | Link | 3 Comments
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