Today CVS. (3% of our holdings) announces that it is discontinuing selling tobacco products. The CEO and the Board of directors are responsible to do what is best for their shareholders, not what someone thinks is morally correct. The firm does over $2 billion in tobacco + who knows how many more billions in sales on all the other products sold when one comes in for a pack of smokes. We are not a socially or morally correct only fund. We are interested in making money. The CVS management does not understand that that is their mission also. If the CEO. made the decision on his own, the board should fire him. If the board consented, they should all be replaced. In any event, if I were managing our fine fund, I would dump CVS as their thinking is not in OUR best interest.
From reading stuff I believe that Bruce Berkowitz and Edie Lampert own or control circa 70% of SHLD stock.Do you suppose these two buddies might be thinking about buying up the rest of the company "on the cheap" in the 25-30 ish range? Then, take it private. License out valuable brands(while maintaining ownership); close down the worst 20-30% stores; then, maybe either take the remainder public again or sell it privately? Just thinking aloud. Thoughts?
Suspicious post. Refers to TWGP as one of the largest property and casualty insurers in the U.S.; more like a pimple on the back- not even a goider. Let's hope she recovers.
Is our fine fund getting too big? It's now above $17 Bil., no small sum to be manipulating around the markets. It's way to big to be nimble. Thru various accounts it has become my largest single holding and am concerned about its ability to out perform. What thinkist you all?
Mr. Berkowitz is sitting on shares of SHLD he bought long ago for DOUBLE the "up 58%" you state. He has had multiple opportunities to unload SHLD at this price and higher. He sits on it, riding it up and down between high 30's and low 60's for three years now. If he actually were trading it in that range there was good money to be made. But that is not what he is doing. Remember, he (we) probably paid double the price you state. Thanks for your kind- bonehead remark.
I visited my local JCP (within a major very successful N.J. Regional mall) on average every week or two. Over the last year, with many major improvements to store, it is certainly a more inviting shopping environment. The merchandise selections are weak, at best. Unexciting displays; sales floor seemingly void of personnel; no pizazz , anywhere. So much merchandise from many months ago lingers. Boring and uninspiring merchandising. Stopped by the newly renovated Victoria's Secret store (nearby in the same mall). In a word: WOW! Sad, how this company's market value has shrunk to chump change.
SHLD as of this writing is at an 8 yr. low. $40. It is still 81/2 % of an $8 billion portfolio. Mr. Berkowitz hangs on to it faithfully. For the umtinth time I request the he unload this dinosaur of a retailer. It was and still is a fat drag on this fund's performance. Another writer on this board thinks that Mr. Berkowitz' entry point in SHLD is somewhere in the 120 range. It's 67% down from there. When is enough enough?
Does anyone know what, if any , exposure TWGP has in this incident, or the category of sink hole insurance in Fla., where I believe sinkholes are "commonplace"?
It's about 8 months since I last requested that Mr. Berkowitz unload SHLD. Sears continues its low-end roller coaster ride. Here it is , again down in the lower 40s. More months of being a drag on the portfolio. I really think the Mr. Berkowitz' stubbornness or ego may be getting in the way of doing what us best for his beleagered shareholders. He could easily have sold at double its current price when it was only50% off its multi year high.
For LULU enthusiasts keep in mind sky high valuation of each store. Current market cap. Of LULU of $2.7 billion divided by 250 stores = a valuation of each store at $10,8 million. Even doubling store count to 500 stores leaves each store valued at over $5 million. The current forward momentum seems unstoppable in the face of reality. Caution to all
You're limitations will disappear. Much higher unit sales will bring prices down as well as insurance costs (the vehicle will be worth less so insurance risks will also come down). The vehicle uses regular electricity, so over time many commercial opportunities to provide electric power to growing user base with come forward. Eg. Public garages in cities will make them available while cars are parked. Charging at your home. will become commonplace. .Perhaps convenience stores across the nation will add charging services. Larger building condo and townhouse will add charging facilities on their properties for reasonable charges.
I. Could go on and on. The main thing is large growth in unit sales. Maybe they get bought out .
I believe the the Tesla product is the greatest automotive innovation in the last 50 + years. Finally, a good looking, quality vehicle that is solving the problem of both range and fast charging. With volume, the price will come down for all.However, being a great company and being a great stock may be two different things. Getting in a a low reasonable price before cash burn causes a bankruptcy is a delicate balance. How low is the right entry price.: the big question. Others thoughts on this matter would be appreciated.
Do you mean WEN. with 6600 stores and $2 bil. Market cap?
Even with an additional 500 stores, each store would have value of over $16,000,000 - an astounding amount. I cannot think of even 1 retailer with small rented stores that carry a value of 16 million. Can you think of one?
I cannot believe my own calculation. LULU valuation equals $11,600,000,000. Divided by some 250 stores; each store worth $46,000,000 (that's 46 million each). Is my math off? Seems impossible