Cisco's Price Correction Is Far From Over: Part 2 [View article]
You could be right but I think this time will be different. The next bear will not start with tech stocks at high valuations. 2000 had high multiples on all big tech stocks. MSFT, CSCO, INTC and many other techs spent the last twelve years growing profits steadily. Dividends are also now a major catalyst. Despite the growth in these items the share prices are little changed over the last decade. I think we are looking at a number of years of relative outperformance by the sector.
Why Public Companies Should Have Public Tax Returns [View article]
Bad idea. Why stop there? Why not all personal income taxes. Your conclusion results when you start from the premise that the government is entitled to all. Personal freedoms are still important. Our corporate tax code is an abomination and a job killer. If democrats got what they wanted (much higher tax receipts from corporations) you would have fewer jobs created in US and more companies going completely offshore. Many multinationals do a minority of their business in the US. If forced to pay taxes on worldwide income they would just leave.
Liquefied natural gas exports from the U.S. are looking more likely after the Freeport LNG terminal gained conditional approval, Goldman Sachs says, supporting its view that at least 6.8B cu. ft./day of liquefaction capacity will be built in the U.S. The market needs no more than 7.7B/day for the next decade, and Henry Hub prices need to stay at or below $5.10/MBtu to keep U.S. LNG competitive in Europe, Goldman says. [View news story]
I think there's still a greater chance that NG prices recover and LNG exports are not as compelling. I'd be careful investing too much capital in export terminals. Good chance US switches to more and more power generation and use of CNG in transportation thus making US demand go up.
Rubbish. What you mean to say is that envious greedy persons would like it better if the law took more from successful businessmen like Mr. Romney. His actions did not violate the letter or spirit of the law.
From what I learned about Mr. Romney he rendered great service to others in his church and community. He worked and saved the Salt Lake City Olympics for no remuneration. He did all this while succeeding in the business world. To denigrate him made a poor article actually offensive. You owe him an apology.
For you to pass moral judgment on him is beyond the pale.
I'm an apple shareholder but not an activist (I don't actually even read and sign a proxy). However, count me among those cheering their latest move. There's not unanimity among Apple shareholders on the move but I bet most like the move. That is the only constituency Apple should care about. They certainly shouldn't give a hang what a bunch of self-appointed moralists think or say.
Apple (AAPL +3.2%) is reportedly offering $17B in its bond sale, making it the largest U.S. corporate debt deal ever. Bloomberg reports $5.5B in 10-year debt will be sold at just a 75bps premium to 10-year Treasury yields (currently at 1.68%). (previous: I, II) Update (3:47): The deal is official. Reuters: "The company is offering $1 billion of three-year floating-rate notes, $1.5 billion of three-year fixed-rate notes, $2 billion of five-year floating-rate notes, $4 billion of five-year fixed-rate notes, $5.5 billion of 10-year fixed-rate notes and $3 billion of 30-year fixed-rate notes." [View news story]
Your comment is utter nonsense. Almost all commentators agree that US corporate law is based not on efficiencies but on a "bash the rich" philosophy. Apple doesn't go abroad just to save taxes--it goes abroad because the world is a big place and people want their products all over the world. US Corporate tax policy discourages capital formation in the US. It creates incentives that make it more likely that Apple invests and manufactures abroad. That is bad policy designed to appease the envy brigade that you belong to. Hopefully, some day we'll get an administration that pursues sounder policy not based on envy.
Corporations are not sentient human beings and therefore are incapable of "greed." Anyone who utters the phrase "greedy corporation" betrays their envy and desire to confiscate the hard earned gains of the true wealth creators because they can't create or earn anything themselves.
Apple (AAPL +3.2%) is reportedly offering $17B in its bond sale, making it the largest U.S. corporate debt deal ever. Bloomberg reports $5.5B in 10-year debt will be sold at just a 75bps premium to 10-year Treasury yields (currently at 1.68%). (previous: I, II) Update (3:47): The deal is official. Reuters: "The company is offering $1 billion of three-year floating-rate notes, $1.5 billion of three-year fixed-rate notes, $2 billion of five-year floating-rate notes, $4 billion of five-year fixed-rate notes, $5.5 billion of 10-year fixed-rate notes and $3 billion of 30-year fixed-rate notes." [View news story]
The two things are not mutually exclusive. They say new products are coming and that is their history. They have the money to do this as well and they should do it. It would be better if we had a sane corporate tax policy that didn't destroy jobs through double taxation and excessive rates. However, right now Apple has to live within the existing system. They are doing the right things in the face of current environment by floating debt, buying back shares and continuing to keep foreign earnings parked offshore--all things that are in the interest of shareholders. Cook gets an "A" for getting this right.
Environmental Decision: Natural Gas Transportation Or Keystone-XL? [View article]
What do you call a country whose chief prosecutor wants to fine Chevron $20 Billion for a 2,000 gallon spill? That's as banana republic as they come even if they have an elected leader.
Latin America is a tough place to invest with countries like Venezuela, Argentina, Bolivia and Brazil always trying to take shots at the oil companies. They somehow think they're justified in taking shots at "imperialistic U.S." that is the source of their troubles.
I feel much safer promoting investment in Canada than in any of those places.
Environmental Decision: Natural Gas Transportation Or Keystone-XL? [View article]
we need more filling stations for NG but over twenty years ago Utahns were filling NG vehicles in their own garages with NG delivered by their local gas company--Mountain Fuel. Nearly all homes get NG delivery. A mass produced compressor would enable people to fill up cheaply at home. It boggles my mind that Obama doesn't get behind this.
Is he deliberately benefitting his Saudi buddies to the detriment of the US?
Environmental Decision: Natural Gas Transportation Or Keystone-XL? [View article]
A pipeline to the west coast would be very problematic because of the more sensitive environmental areas the pipeline would have to cross. Better to access your closest market. The stuff that flows through the U.S. to Houston can still be transshipped elsewhere in the world. I see the US exporting more refined petroleum products.
Environmental Decision: Natural Gas Transportation Or Keystone-XL? [View article]
JRP3
You sound like an environmentalist who doesn't like oil. The more options available to users of energy (consumers, industry, etc.) the more stable their operating costs will be. It will also make it likely that businesses will invest in chemical and refining businesses--which produce good paying jobs and which lamentably are being shipped to other countries because we don't support them.
We should deep six ethanol. If we're going to have government subsidies, they should be for LNG or CNG transportation alternatives to bring down the cost differential between gas and gasoline vehicles. We should do everything we can to insulate ourselves from business dealings with tinpot dictators in Venezuela, middle east, Brazil, etc.
High US corporate taxes hurt out ability to attract the next plants and fabs. If they have to build another Foxconn plant they will use the foreign cash reserves.
A lot of smart execs (all the CEOs of successful drug, biotech and tech companies) tend to hold a lot of cash overseas. It's like our tax policies were written by the Irish, Chinese and Puerto Ricans who get a lot of the good jobs we chase away.
I agree with you that they should take shareholder friendly actions like dividend increases and share buybacks. I disagree on paying the tax. Apple has good company with most successful multinational companies holding more cash overseas. That is the direct result of the wrongheaded tax policy that attempts to tax worldwide income for entities headquartered in the U.S. Apple and other multinationals can afford to take the long view and wait for political change. I back management's current decision to park the money overseas.
If Obama were smart, he'd get on with his legacy building. He needs a strong recovery. A lower repatriation tax would both raise a lot of revenue in the short run and set off a wave of investment that would kick start the job market. He's not smart enough to do that however.
Petrobras' (PBR) worst debt situation in a decade may be boosting the chances it will step aside and let Exxon (XOM) and Shell (RDS.A) buy offshore exploration licenses in Brazil's upcoming first-in-six-months auction, Bloomberg says. XOM is said to have been the most active in requesting data about the acreage Brazil is offering next month to take advantage of PBR holding back. [View news story]
Tread carefully. Brazil tried to levy a fine in the tens of billions of dollars against Chevron for a 2,000 barrel leak. One little mishap and they own you. I would do everything through a subsidiary if you are going to invest in Brazil. I would also extract concessions in the contract to prevent the crazy regulator actions. There are a lot of places wanting big investments in oil right now from Russia, Iraq, Mexico, Brazil and Africa. Get assurances and contracts that you can enforce in international tribunals.
Reasons To Buy JPMorgan At Its Current Valuation [View article]
I had a few shares when the London Whale debacle hit that I had held for years. When the market cap dropped over $50 Billion on a projected loss of $2 Billion (which grew to $5 Billion) I quadrupled down. I sold about 2/3 of my position at $50.66 but maintain a large position. I love those kinds of opportunities. I didn't really lighten up on banks but diversified into WFC, RY and HBC. There's been good news since I sold (dividend increase and buyback) and a slight price decline so I might be tempted back in for a larger position.
Still, 2008 and 2009 are in the back of my mind and they were brutal for financials. I'm a little underweight the sector, partly out of concern for political risks. Thanks for the article Jeroen.
Cisco's Price Correction Is Far From Over: Part 2 [View article]
CSCO is one of my biggest holdings. Good article
Why Public Companies Should Have Public Tax Returns [View article]
Liquefied natural gas exports from the U.S. are looking more likely after the Freeport LNG terminal gained conditional approval, Goldman Sachs says, supporting its view that at least 6.8B cu. ft./day of liquefaction capacity will be built in the U.S. The market needs no more than 7.7B/day for the next decade, and Henry Hub prices need to stay at or below $5.10/MBtu to keep U.S. LNG competitive in Europe, Goldman says. [View news story]
Shame On You, Apple [View article]
From what I learned about Mr. Romney he rendered great service to others in his church and community. He worked and saved the Salt Lake City Olympics for no remuneration. He did all this while succeeding in the business world. To denigrate him made a poor article actually offensive. You owe him an apology.
For you to pass moral judgment on him is beyond the pale.
I'm an apple shareholder but not an activist (I don't actually even read and sign a proxy). However, count me among those cheering their latest move. There's not unanimity among Apple shareholders on the move but I bet most like the move. That is the only constituency Apple should care about. They certainly shouldn't give a hang what a bunch of self-appointed moralists think or say.
Apple (AAPL +3.2%) is reportedly offering $17B in its bond sale, making it the largest U.S. corporate debt deal ever. Bloomberg reports $5.5B in 10-year debt will be sold at just a 75bps premium to 10-year Treasury yields (currently at 1.68%). (previous: I, II) Update (3:47): The deal is official. Reuters: "The company is offering $1 billion of three-year floating-rate notes, $1.5 billion of three-year fixed-rate notes, $2 billion of five-year floating-rate notes, $4 billion of five-year fixed-rate notes, $5.5 billion of 10-year fixed-rate notes and $3 billion of 30-year fixed-rate notes." [View news story]
Corporations are not sentient human beings and therefore are incapable of "greed." Anyone who utters the phrase "greedy corporation" betrays their envy and desire to confiscate the hard earned gains of the true wealth creators because they can't create or earn anything themselves.
Apple (AAPL +3.2%) is reportedly offering $17B in its bond sale, making it the largest U.S. corporate debt deal ever. Bloomberg reports $5.5B in 10-year debt will be sold at just a 75bps premium to 10-year Treasury yields (currently at 1.68%). (previous: I, II) Update (3:47): The deal is official. Reuters: "The company is offering $1 billion of three-year floating-rate notes, $1.5 billion of three-year fixed-rate notes, $2 billion of five-year floating-rate notes, $4 billion of five-year fixed-rate notes, $5.5 billion of 10-year fixed-rate notes and $3 billion of 30-year fixed-rate notes." [View news story]
Environmental Decision: Natural Gas Transportation Or Keystone-XL? [View article]
Latin America is a tough place to invest with countries like Venezuela, Argentina, Bolivia and Brazil always trying to take shots at the oil companies. They somehow think they're justified in taking shots at "imperialistic U.S." that is the source of their troubles.
I feel much safer promoting investment in Canada than in any of those places.
Environmental Decision: Natural Gas Transportation Or Keystone-XL? [View article]
Is he deliberately benefitting his Saudi buddies to the detriment of the US?
Environmental Decision: Natural Gas Transportation Or Keystone-XL? [View article]
Environmental Decision: Natural Gas Transportation Or Keystone-XL? [View article]
You sound like an environmentalist who doesn't like oil. The more options available to users of energy (consumers, industry, etc.) the more stable their operating costs will be. It will also make it likely that businesses will invest in chemical and refining businesses--which produce good paying jobs and which lamentably are being shipped to other countries because we don't support them.
We should deep six ethanol. If we're going to have government subsidies, they should be for LNG or CNG transportation alternatives to bring down the cost differential between gas and gasoline vehicles. We should do everything we can to insulate ourselves from business dealings with tinpot dictators in Venezuela, middle east, Brazil, etc.
Apple Should Pay Its Tax Bill [View article]
Apple Should Pay Its Tax Bill [View article]
A lot of smart execs (all the CEOs of successful drug, biotech and tech companies) tend to hold a lot of cash overseas. It's like our tax policies were written by the Irish, Chinese and Puerto Ricans who get a lot of the good jobs we chase away.
Apple Should Pay Its Tax Bill [View article]
If Obama were smart, he'd get on with his legacy building. He needs a strong recovery. A lower repatriation tax would both raise a lot of revenue in the short run and set off a wave of investment that would kick start the job market. He's not smart enough to do that however.
Petrobras' (PBR) worst debt situation in a decade may be boosting the chances it will step aside and let Exxon (XOM) and Shell (RDS.A) buy offshore exploration licenses in Brazil's upcoming first-in-six-months auction, Bloomberg says. XOM is said to have been the most active in requesting data about the acreage Brazil is offering next month to take advantage of PBR holding back. [View news story]
Reasons To Buy JPMorgan At Its Current Valuation [View article]
Still, 2008 and 2009 are in the back of my mind and they were brutal for financials. I'm a little underweight the sector, partly out of concern for political risks. Thanks for the article Jeroen.