Didn't we hear similar negative comments about BNSF? DE is a world class franchise that is nearly impossible to replicate, Being that it had confidential status I'm surprised that BRK didn't purchase an even larger position. If current earnings are disappointing this could be an opportunity to acquire the entire company.
Very informative CC which included top management from Majesco. One of the presentation slides is pro-forma financials. A transcript of the CC can be found on Seeking Alpha.
Sentiment: Strong Buy
Too many negatives for me:
- not sure where earnings will come from
- most recent CC (disaster)
- no leadership shown by Kellogg
- uncertainty regarding what Smith's role is
- decent amount of cash and never did anything that was shareholder friendly (i.e. buybacks, special dividend, etc.)
- deflation in commodity prices especially iron ore.....my gut feeling is that this is not a positive for the commodity supply chain business.
I took a loss as well.
I saw the Faber/Cramer discussion and it was pathetic. Here's a scary thought....is it possible that the additional IBM shares were purchased by Todd Combs? No way to know.
Also for those who have not had to experience it with a family member or loved one the decline/loss of cognitive function in an elderly person can occur quite quickly. All shareholders have a vested interest and should be concerned about that possibility (for both Munger and Buffett).
What happened with the XOM position should concern all shareholders. Was a large position purchased by the "buy a high quality company and hold forever" investor. Saying that WEB does not like XOM's management is baffling. Does he like the management of KO?
Unless a huge amount of shares have been purchased from 1/1/15 to present confidentiality for a $1.5 billion position does not make sense. Too bad we don't have a detailed buy/sell record of WEB, Ted, and Todd.
Unfortunately this has been a "perfect storm" scenario where just about everything moved in the wrong direction. The final two nails for me were when the price of NG collapsed and I kept seeing reports that shipping (i.e. tankers) costs was increasing. No idea how the commodity supply chain business has been doing but it has to have been an incredibly challenging period.
Can't really peg it to the stock price of Mastek because COVR is merging only with their Majesco business. Hopefully we'll soon be seeing some pro-forma financials of the combined company.
The biggest disappointment has been the lack of any contracts announced by COVR.....can only hope that they are close on a few.
Sentiment: Strong Buy
They have not signed any new contracts (i.e. no licensing revenue) so am definitely not optimistic about Q4 results. The presentation on the Mastek website has a lot of info. The combined company is going to apply for an NYSE listing. Sales will be $100+ million and I'm hopeful that the P/S valuation is 3 or more (GWRE is 9+) which should result in a nice gain for COVR shareholders who will own 16% of the shares. I think that right now there is quite a bit of confusion about the merger details so perhaps management can use the CC to simplify things a bit and of course issuing some pro forma financial statements would be helpful.
Received details the other day. If you owned JEF shares you are included in the lawsuit. My experience with these has been that one receives a check from $25-50 but we'll see.
Have always enjoyed your posts. Was wondering if you have looked at COVR lately? The upcoming merger with Majesco seems to be way under the radar. Valuation seems compelling especially when one looks at GWRE. Thanks.
IBM is playing the "performance review game" so that they can save a few bucks in severance costs. Long term there is a good chance that this will end badly. Roadmap to nowhere.