Seeking Alpha

stevensmithfinance

stevensmithfinance
Send Message
View as an RSS Feed
View stevensmithfinance's Comments BY TICKER:
Latest  |  Highest rated
  • Sandridge Mississippian Trust II Units Are Undervalued After Recent Price Decline [View article]
    Bad news coming right up. Check out Reuters article on land dealing: http://reut.rs/WBoLlz

    Tom Ward and son have a nice arrangement going. Other tidbits: Major hedge fund investors, TPG-Axon and Mount Kellett, along with California pension fund CalSTRS are pressing for action regarding less than ethical practices regarding the land deals. Shades of Aubrey McClendon (soon to be late of Chesapeake) - Ward recently sold his personal Thunder (OKC NBA team) tickets to the company for $280,000. Not in the same league as Aubrey selling his map collection for $12 million but same idea. He also got $1million from Sandridge for "personal" accounting services last year in addition to taking $70million out of the company the past 3 years. Don't shed a tear for Tom though; he has a $97million golden parachute in place.

    You might make some short term flips for profit but Sandridge is not something for a widow-and-orphan fund.
    Feb 9 03:46 PM | 1 Like Like |Link to Comment
  • Hormel Foods Corp. Dividend Stock Analysis [View article]
    Please don't be blinded by the low dividend yield unless you are on a fixed income and have to have the cash. HRL was up a combined yield and price appreciation of 21% last year vs SDY/SPY; up "only" 17.07%/15.45%. Same story over a two and three year period with HRL outpacing the S&P 500 ETFs substantially. And, and, and - a Chowder score of 17 (yield + 5yr div growth rate >=12 is very good). Thanks SA contributors Chowder and David Fish. Note that figures for gains were from dates mid-Jaanuary and might be slightly different based on dates you select.

    Also, EPS payout ratio is 36.56%, Free Cash Flow payout is 76.85. That indicates future dividend rate increases are likely and sustainable.
    Feb 1 02:37 PM | 1 Like Like |Link to Comment
  • General Electric: 'Global Gorilla' Transforms And Delivers [View article]
    I'm a D&G investor. My spreadsheet, partially cribbed from other members here (D4L, David Fish, F.A.S.T., etc - thanks) looks at total return over the past three years as an initial screen. Why would I own a stock that doesn't perform as well as SDY or SPY on a total return basis? It's hard to beat the Index. Here's GE vs. same over the past three years. (year ago, 2 ago, 3 ago dates are around the end of the 2nd week of Jan - same dates for all 3). Gain is % stock price to current, not yr to yr.

    SYM DIV GAIN 1 YR GAIN 2 YR GAIN 3 YR
    GE 3.45 16.99 20.50 32.73
    SPY 2.09 14.98 16.67 34.59
    SDY 3.13 12.41 17.90 30.06

    Others pointed out - if you didn't gain since the 07-08 meltdown, you're a dog. The small chart shows the pretty much flat 2011 for the S&P.
    GE shows up as a leader especially if you add in the dividend.

    Here is Intel as a dog:
    INTC 4.24 -15.47 1.05 2.02
    OUCH!

    Here is Union Pacific Railroad as a KILLER:
    UNP 2.08 20.74 44.47 109.04
    Oh for a time machine.

    Yes, check debt, revenue, dividend, accounts receivables growth, etc.

    Disclaimer - Not a certified financial guru, not your financial guru, YMMV.

    Apologies if things didn't format so well.
    Jan 21 10:44 PM | Likes Like |Link to Comment
  • 7 Dividend Stocks With Room To Increase Their Payout [View article]
    Nacco Ind. (NC) is out of the materials handling business. It was spun off on September 28, 2012 as an independent public company, Hyster-Yale Materials Handling, Inc. It currently has an odd mix of coal mining, kitchen appliances (Hamilton Beach), and retail kitchen items (Kitchen Collection).
    Jan 15 11:57 AM | 1 Like Like |Link to Comment
  • Forgo The Risk Of Intel For The Same High Yield Of Dow Chemical [View article]
    Microsoft has always been poor on hardware side. It's a miniscule portion of MSFT revenue. The Surface seems to be more of a technology demonstration for WIN 8 rather than a core product. Lots of hype but no actual sales figures. Not a boost to Intel in summary.

    Intel just announced the CEO is stepping down. No lead up to it, just out-of-the-blue. This is a red flag for many investors (not me).

    I'm holding my Intel due to its still large lead in future technology. They are a generation ahead in actual production items and R&D spending points to maintaining its moat in chip size, heat and enery reduction. Plus they make a lot more than PC chips. Not adding however.
    Nov 19 12:14 PM | Likes Like |Link to Comment
  • Cramer's Picks: 1 To Buy, 2 To Sell [View article]
    DVN has made significant strides towards more liquids in the production mix without giving up significant gas properties. This is unlike its more "theatrical" cousin, Chesapeake. Here in Okie land, DVN and Sandridge are the better run companies according to insiders in the industry.
    Apr 26 02:07 PM | Likes Like |Link to Comment
  • Don't Blunder Like Buffett: How Rookie IRA Investors Can Make Him Pay Dividends [View article]
    I've gone the covered call route for a year and a half. Not really much movement. Buffett kicked the price back up from below $70 with his repurchase last fall. The Put sell has qualities as well. You tie up slightly less cash.

    Remember with either strategy, you really should like the company, not just because of the premium or relatively flat pricing. Always perform due diligence.
    Apr 25 04:28 PM | Likes Like |Link to Comment
  • 5 High Dividend Yield Stocks With Inventory Red Flags [View article]
    Also should note that the last quarter, indeed the whole winter, was very mild. I would expect utility revenue to be flat or fall. I see no red flags on the energy companies. On the other hand, the consumer products company isn't moving any product.
    Apr 11 05:20 PM | Likes Like |Link to Comment
  • Can These Natural Gas Stocks Live Off Oil Until 2015? [View article]
    A few things - I'm an Okie and you may be understating CHK's problems. From my look at the company and their recent actions, survival is not a sure thing. Debt is not under control. It may take a fire sale to keep the company afloat.

    Oil, NG, and gasoline are world commodities. As your graph pointed out, the Japanese would pay dearly for NG. We (the US) have been net exporters of gasoline for the last few months. It's worth more to the multinational companies to export and gain a higher price for it. Yes, pump prices seem expensive based on our US perspective but not compared to the world market.

    I see positive steps for the return of "better" NG prices; many mentioned above. Areas include the LNG facilities coming on line, old dirty coal plants being retired with NG replacements, Westport WPRT and Cummings CMI coming on line with heavy truck engines, CLNE building out a network of filling stations. It takes time. I'd wait for a stronger price move (or a much colder winter) before investing in the production companies. It is an opportunity to get in at the bottom.

    I prefer pipeline and integrated oil companies right now. They get paid whether pumping oil or NG. I'm long in CPO, TOT, and a reverse NG play - UAN (fertilizer from NG process, benefits from low NG prices).
    Mar 2 03:58 PM | 1 Like Like |Link to Comment
  • Exelon: Risk Vs. Reward [View article]
    You mentioned the age of the coal plants being retired. Aren't EXC's reactors aging and heading for retirement soon? Are they going to build new replacement nuke plants or do reactor replacement on site? Are the retirement costs figured into the liabilities/expenses? New reactor designs? Regulatory hurdles? Too many questions - I can get 5.4% elesewhere. Thanks for the article though - got my mind in whirl!
    Feb 25 03:20 AM | Likes Like |Link to Comment
  • GE And The Eurozone: A Tale Of Caution For Dividend Seekers [View article]
    The dividend is secure for some time. By some measures, GE has a bigger cash/liquid assets than Apple (S&P's calculations for example). You could argue about the method and ranking but GE is still loaded. Agree the CEO should have been booted completely (perhaps not done because of a parachute provision?). Maybe they are too big; I feel the same way about J&J (stuck at $65).

    Disclaimer, I'm long, picking up dribs and drabs extra with covered calls when GE starts hovering around the even dollar strike prices.
    Feb 25 03:20 AM | Likes Like |Link to Comment
COMMENTS STATS
11 Comments
4 Likes