You may want to check out the Berkshire quarterly report after the close of trading Friday.
Reports Q1 (Mar) earnings of $1.21 per share, $0.07 better than the Capital IQ Consensus Estimate of $1.14; revenues rose 6.7% year/year to $3.13 bln vs the $3.36 bln consensus.
"Revenues experienced some headwinds due to the effects of the strong dollar on our international work, which comprised nearly 40 percent of our revenues this quarter. We maintain confidence in our guidance for the year supported by the continuing development of LNG projects in North America, petrochemical developments on the Gulf Coast, combined cycle power plants in the U.S., and consistent margin performance from our operating groups."
Under 50 again.
Also took a 3% position in PEP in IRA #4 today @ 96/share. This account is now down to 20% cash which is used to sell cash secured put options.
BRK now makes up 17.75% and WMT 4.56% of the assets in her account. She increased BRK by 6.6% and WMT by 66%. She paid$142.249 for BRK and $78.819 for WMT. How much lower will they go?
Her current top 10 are: 1-BRK-17.75%, 2 PM-12.75%, 3 LO- 7.68%, 4 WFC-5.35%, 5 MFST-4.71%, 6 WMT-4.56%, 7 AIG-4.26%, 8 GE 4.06%, 9 USB 3.58% and 10 VZ-3.45%.
She also has a large position in WFC preferred which would be ranked after GE at
#9 if included.
She sold BX because it's one less tax form to fill out and she was short the 37 call options and the stock was called for the dividend.
She currently has enough cash in her account to last a few years and if the LO/RAI deal goes though there's a lot more $$$$ coming for new investments.
Upped my holdings in IRA #4 by 10% to 25.22% of the assets.
Paid 141 something per share.
When BRK starts to pay dividends I'll start withdrawing cash from my IRA. My current age is 57.
Yes the share count would drop but so would our book value. Does the term spinning your wheels meaning anything to you? That's the case with most companies but IBM is buying back stock at only 10 times free cash flow and l10 year treasuries are yielding less than 2%. I believe that in their case they're creating value for shareholders that wish to stick around.
I sold some June 175 call options against a position in one of my IRAs at the close of trading today. If the rally continues I'll sell more in other IRAs.
Sold some call options against my position in one of my IRAs today with about 3 minutes left to trade. They expire in June so therefor I get the upcoming dividend due in a few weeks.
Strike price is 175 and the premium was around 1.55/share.
In other news--time to plant some blueberries.
Reynolds American (NYSE: RAI) deal to acquire Lorillard (NYSE: LO) has a $740 million termination fee, according to SEC filings.
From the filing:
"The Merger Agreement contains certain termination rights for both the Company and RAI, including if the Merger is not completed on or before July 15, 2015 (which date will be automatically extended to January 15, 2016 if certain closing conditions related to antitrust matters have not been satisfied) and if the approval of the Company’s stockholders or RAI’s shareholders is not obtained. If the Merger Agreement is terminated in connection with the Company entering into an alternative acquisition agreement in respect of a superior proposal or making a change of recommendation, or in certain other circumstances, the Company must pay RAI a termination fee of $740 million. In the event the Merger Agreement is terminated by the Company due to a change of recommendation by RAI’s board of directors, RAI will be obligated to pay the Company a termination fee of $740 million."
And as of today the dividend yield is well under 4% because the stock has rebound yet again.
April options expire today so I'll have a large amount of cash available Monday for buying some of my favorites and selling additional put options.
paid me .32/share in IRA #2.
They're now paying .37 bid and .40 asked.
The buyer of the option does get the dividend in June if they exercise their option at 90.
Most of the sells were done in IRAs but I also have some orders open in my personal accounts that may fill today.
My favorite option was the June 90 calls that paid me .32/share in IRA #2.
Thank you again Mr. Market.