Your last post ends with Sentiment: Strong Sell. I think that is exactly what you should do. When you buy a stock you are choosing to be partners with the people who run the company. In your due diligence before you bought NWLI you could have and should have seen the the Moody's control NWLI. Their policy regarding dividends was obvious. And because they own a majority of the stock you should have known that their view on buybacks was going to prevail. Still you chose to buy the stock. Perhaps you should sell NWLI and buy ANAT, another insurance company run by the Moodys. It has a much higher dividend and they have increased the dividend in each of the past two years.
I can't believe that institutional shareholders are happy with zero interest rates for the last eight years either. I suspect that zero interest rates are more responsible for the lack of appreciation in NWLI's stock price than anything done by the Moodys. So maybe we should be blaming Bernanke and Yellen and all of the central bankers around the world.
If I understand it correctly, the proxy statement last year said that Robert Moody's total compensation was about $4,000,000. I would prefer that he get $1,000 per month rather than $4,000,000 per year.
Nobody has posted a message regarding BH's financial statements but me. Doesn't anybody even look at them? Doesn't anyone care? Doesn't anyone even follow BH anymore? Maybe everybody knows by now that Mr. Big can't be trusted and only smacys is willing to invest with someone he doesn't trust.
I looked at BH's quarterly and annual financial statements posted today on Yahoo's web page by Edgar and was interested to see losses for the quarter and year end. Was this ever reported earlier on Yahoo. I don't remember seeing it. I also noticed the big increase in stock repurchased on the balance sheet. Now we know why the price has risen.
I don't disagree with you. I first bought KCLI years ago when It was about $30 and sold it at higher prices to buy more NWLI. Recently I bought just enough KCLI to take advantage of the 1 for 250 reverse split because it looked like easy money. I still own a lot of NWLI so I know what you are talking about. I still think something will work out there. I don't think the game is over at KCLI yet. If it goes to $30 I will probably buy it again. If management is willing to buy us out at $30, I believe they think it is worth much more and I believe they may do something about it in time. I think six months or a year from now would be a more appropriate time to do "something".
Well, I received $52.50 for my shares so I am happy. I just wish other companies would provide me with the opportunity to make "almost free" money.
I also expect that Management may make an offer to go completely private later or to sell the whole company.
As you know, the market hates insurance companies and overseas companies think that American insurance companies are cheap.
I haven't seen any news item mentioning NWLI's 2015 dividend. So I did a search and discovered that NWLI did declare a dividend of the regular $.36. It was declared on 10-16-15 and is payable to holders of record on 10-30-15 and is payable on 12-3-15.
Does the fact there was no news item on Yahoo about the dividend indicate that the company realizes that this dividend amount is not going to impress anyone?
Yes they raised the quarterly from $.77 to $.80. Good!
Friday Kansas City Life Insurance (KCLI) announced that it would do a reverse split of 250 to 1 followed immediately by a forward 250 for 1 stock split. The purpose is to squeeze out all of the shareholders who own less than 250 shares and reduce the number of shareholders so that KCLI no longer has to report to the SEC which will reduce regulatory and reporting costs. The holders of less than 250 shares will be paid $52.50 per share which is more than a 20% premium of what the stock was trading at before the announcement. KCLI's
book value is about $70 and it is trading at a p/e ratio above 16. These numbers value KCLI considerably higher than NWLI and once again point out how undervalued NWLI is. I used to own KCLI and I have bought some again at about $ 47 expecting to make about $5 plus in probably less than a year.
I expect that Ross Moody will be named the new permanent CEO and that there will be no noticeable change in the way NWLI is run.
However, the good news is that some market heavyweights have become more interested in the financial stocks, namely the big banks and big insurers. If you look at the other insurers, you will see that they are nearing their highs for the year. Normally stocks move in groups because investors are unable to distinguish the good ones from the not so good ones. I have also expanded my position in NWLI in anticipation of an up move and because I think it is extremely undervalued.