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  • Can Bank Of America Continue To Dodge Bullets? [View article]
    The mortgage crisis is soon to be in the distant past. Heading in the Charlotte Observer this mornings shows mortgage foreclosures down sharply. Within 3 years we'll see a double in the stock price. The current decline is grad opportunity I bought up to a full position yesterday.
    Dec 12 09:27 AM | 3 Likes Like |Link to Comment
  • Deere Doing Much Better Than Caterpillar [View article]
    I'd stay clear of Ag. sales giants. The corn crop was the largest ever and prices are dropping. The EPA is eliminating some of the ethanol mandate for auto fuel. This will pressure corn prices even lower. If you want an agricultural play buy Gruma (ADRs GMK on the NYSE). Tortilla prices in Mexico are fixed and their corn costs are going lower to increase profit margins. $GMK
    Dec 2 06:30 AM | Likes Like |Link to Comment
  • If You Trade The News, Which News Should You Trade? [View article]
    You say banks are sitting on a hoard of cash and are not buying bonds. Far for the truth. They are buying back their own bonds with calls and open market purchases and not completely covering them with new issues at lower interest rates. They are sitting on hoards of cash setting aside for litigation expenses that are almost certain to return to the balance sheet when not claimed. But, in the process they forgo the taxes on that income.
    Dec 2 06:25 AM | 2 Likes Like |Link to Comment
  • Bank Of America: 6.5% Yield With Principal Protection [View article]
    Mer K's are speculative in that if there is any reorganization, spin-off or adverse litigation aimed at the Merrill component of BAC for any reason would immediately affect the trade. I've been hit by this possibility with other preferred issues most notably Mills corp that eventually recovered and Equity Inns that have been in default since being bought out by a Goldman assisted larceny called Grace Acquisition. There is virtually little if any upside potential and the interest rate risk will hit it more than many other issues when tapering takes hold. I'd rather be in higher yielding issues and diversify risk by owning several in case of default. But all will suffer with a change in monetary policy toward tightening.
    Nov 26 09:13 AM | Likes Like |Link to Comment
  • What Does JPM Settlement Mean For Our Bank Of America [View article]
    Yeaaa. Fight the tape. I'm cost averaging up. Latest litigation news shook off. Wait till the next litigation schmeer to sell.
    Nov 20 09:22 AM | Likes Like |Link to Comment
  • Winnebago Industries: Plans for Revenue Diversification Put Future Growth in Question [View article]
    WGO - and when they reinstate their dividend will you still be on a hold? You mention diversifying but no mention of their affiliation with a brand identify apparel group. Winnebago has a lot of brand identity for a quality product. Apparel sales alone could add to a surprise earnings boost by next year. Shirts, hats and these will be made out of quality materials - just like their motor homes. $WGO.
    Nov 5 01:45 PM | Likes Like |Link to Comment
  • Bank Of America Could Be On Sale Soon, Again [View article]
    Watching you guys counter RS is like watching the Republicans countering the President - a waste of time. No useful analysis or advice.

    In your heart - you know he's Right.
    Nov 1 03:23 PM | Likes Like |Link to Comment
  • Mesabi Trust: Cliffs Natural Resources' Q3 Conference Call Has Big Implications [View article]
    On the buy side today. Wish I got wind of this earlier. If normal output is realized, I'd expect the shares to get back up into the 30's - especially when distributions are boosted. Thanks Jim for all the info provided.
    Oct 29 11:26 AM | 1 Like Like |Link to Comment
  • Bank Of America: Why The 'Dead Money' Thesis Is Short Sighted [View article]
    Investor's need to consider the risks. First consideration is not the profit potential - it should be the return and safety of the original capital. You don't get many opportunities to lose all your capital. I'd much rather keep much of it safe and wait for tapering to start and see the run up in interest rates - even if it does take several years to do so.
    Oct 28 04:40 PM | Likes Like |Link to Comment
  • Bank Of America: Why The 'Dead Money' Thesis Is Short Sighted [View article]
    Countrywide is worthless and they stopped writing mortgages? Previous BAC asset sales have been above what has been carried on the books. Shareholders might get a tremendous windfall if they did spin-off Countrywide and Merrill. They can do it with a stock distribution - share for share for each BAC share outstanding. The spin-offs would be penny stocks. BAC without litigation write-offs would trade above book value. I wouldn't short it but for you I hope so.
    Oct 28 04:35 PM | Likes Like |Link to Comment
  • Bank Of America: Why The 'Dead Money' Thesis Is Short Sighted [View article]
    We are currently in a deflation mode. Fuel prices are going down and most other prices of the things I buy are stable. Stock prices seem high and can go higher but when the bubble bursts - I don't want to be around in a stock that hasn't been performing well these past 2-3 months. I like special situations - my favorites are WGO, GMK and DEST. I sold some WGO today. I'm approx. 40% in cash and CD's.
    Oct 28 04:27 PM | Likes Like |Link to Comment
  • Bank Of America: Why The 'Dead Money' Thesis Is Short Sighted [View article]
    Your regard to RS is too kind. I have found "them" to be of little value in making investment decisions. As far as BAC, I have been shaken by the latest civil case decision against them. There had been a recent trend of decline in these judgments. As much as this case might be challenged it broke the trend of declining adverse publicity. On this, I sold off most of my position.

    The dividend I believe has been only at a token level to perpetuate a stream of uninterrupted dividend payments for future comparisons of dividend payment ability.

    The politics against the big banks continues. The end is in sight but it still has more than 4 years to go before the statute of limitations runs out on the Countrywide legacy criminality.

    We have wait to see how the business stabilizes after that has all been settled. It would then take 5 years of rock solid performance to see the market value totally to reflect this. But, it very well can be anticipation of that event could propel the stock to a minimum of its total book value well before then. But, I no longer believe that this will happen yet this year or next. And, possibly not happen within 5 years.

    With a time frame of possibly 10 years to wait for this to be a solid investment, I'd rather be in cash to wait for the next run up in interest rates to see better fixed income yields.
    Oct 28 06:50 AM | 7 Likes Like |Link to Comment
  • Why Bank Of America Still Has 25% Upside [View article]
    Today's news is a joke. Anyone reading the prospectus on these bonds that Countrywide issued can see that these were backed by subprime loans. This was a risky investment. They even cautioned on the rating of these bonds that the rating can be withdrawn at any time. I believe that most if not all of the underling mortgages that were bundled were performing loans when issued. This case has no merit but would entail litigation expenses if pursued. With the Government having budget problems, pursuing litigation for a political play should be countered by the House banking committee. The current market reaction is presenting yet another grand buying opportunity for the stock.
    Oct 21 09:55 AM | Likes Like |Link to Comment
  • Bank Of America Just Hit A Home Run [View article]
    The write-offs are disappearing. But litigation fear persists. They are walking around with a "kick me hard" sign pinned to their backs but no one is take a wack at them anymore. The reason is that there is no gain compared to the risk of losing in court. The business is slowly increasing. Still selling under book value and the stock price is starting to display sensitivity to good news. The recent earnings is a case in point. A dividend boost would immediately add $2 to the stock price.
    Oct 18 03:25 PM | 1 Like Like |Link to Comment
  • Why Bank Of America Still Has 25% Upside [View article]
    Much of the earnings in previous quarters were impacted by litigation set asides. This quarter's reporting could show an abrupt change. I don't recollect any recent $multibillion charges. The recent correction in the stock price has ended and we are set for a greater rebound. I'm looking for a shot above 16 before then end of November to cost average up. Ultimate full value should be well above $30 within 5 years.
    Oct 15 07:45 AM | 3 Likes Like |Link to Comment