| |
 |
  |
|
| News Articles Stocks DRPs Brokers Links Free Newsletters |
| Rothery Report: Login Learn More Performance Sample Subscribe Contact Us |
Stingy News Quarterly
2008: Q1 Q2 Q3
2007: Q1 Q2 Q3 Q4
2006: Q1 Q2 Q3 Q4
2005: Q1 Q2 Q3 Q4
2004: Q1 Q2 Q3 Q4
2003: Q1 Q2 Q3 Q4
2002: Q1 Q2 Q3 Q4
2001: Q1 Q2 Q3 Q4
Stingy News Weekly
2008
11: 02 09
10: 05 12 19 26
09: 07 14 21 28
08: 01 10 17 24 31
07: 06 13 20 27
06: 01 08 15 22 29
05: 04 11 18 25
04: 06 13 20 27
03: 02 09 16 23 30
02: 03 10 17 24
01: 06 13 20 27
Dan's Reports
Perspective on the bear
Dilution excessive
Fund fees revisited
T class funds
Bonds vs. bond funds
Bear market protectors
Investing in bonds
Ignore bonds at your peril
Coping with change
Future of trust funds
Dilution trumps
Are fees excessive?
Performance anxiety
Top advisory model?
81-106 a step back
Poor fund classifications
Pension shortfall
A longer-term report card
Information overload
About Dan
Privacy Policy
"Investing is simple, but not easy." - Warren Buffet Stingy Links http://www.stingyinvestor.com/SI/articles/articlearchive.shtml Help wanted: compliance officer http://www.prefblog.com/?p=3289 "In these trying times, it will come as a great relief to many to learn that there will be at least one new hire on Bay Street between now and Christmas (2009). The subject of this post is a little unusual for PrefBlog, but I.m just trying to help out and spread the news of a vacancy. And besides, this is hilarious." Buffett: My fix for the economy http://money.cnn.com/2008/10/02/news/newsmakers/buffett.fortune/index.htm?postversion=2008100216 "Warren Buffett suggested Thursday that the U.S. Treasury team with private investors to buy the distressed mortgage assets at the center of the controversial $700 billion Wall Street bailout, and said the price tag of the rescue plan may have to rise." Alarm led to action http://www.nytimes.com/2008/10/02/business/02crisis.html "Behind the scenes, the credit markets had almost completely frozen up. Banks were refusing to lend to other banks, and spreads on credit default swaps on financial stocks - the price of insuring against bankruptcy - veered into uncharted waters. Moreover, the drain on money funds continued. By the end of business on Wednesday, institutional investors had withdrawn more than $290 billion from money market funds. In what experts call a 'flight to safety,' investors were taking money out of stocks and bonds and even money market funds and buying the safest investments in the world: Treasury bills. As a result, yields on short-term Treasury bills dropped close to zero. That was almost unheard of." Lehman bankruptcy gets ugly http://www.businessweek.com/investing/insights/blog/archives/2008/10/lehman_bankrupt.html "It's looking like Lehman, contrary to the conventional wisdom, may have been too big to fail after all. And the fallout from the bankruptcy may further undermine investors. confidence in the financial system." This economy does not compute http://www.nytimes.com/2008/10/01/opinion/01buchanan.html "Certainly, markets have internal dynamics. They're self-propelling systems driven in large part by what investors believe other investors believe; participants trade on rumors and gossip, on fears and expectations, and traders speak for good reason of the market's optimism or pessimism. It's these internal dynamics that make it possible for billions to evaporate from portfolios in a few short months just because people suddenly begin remembering that housing values do not always go up. Really understanding what's going on means going beyond equilibrium thinking and getting some insight into the underlying ecology of beliefs and expectations, perceptions and misperceptions, that drive market swings." Buffett buys GE preferred http://www.bloomberg.com/apps/news?pid=20601087&sid=a2cjYB6hlDO4&refer=home "General Electric Co. plans to offer $12 billion in common shares and billionaire investor Warren Buffett's Berkshire Hathaway Inc. will buy $3 billion stake of preferred shares." Cities are cutting back projects http://www.nytimes.com/2008/10/01/business/01muni.html?_r=1&dbk&oref=slogin "Cities, states and other local governments have been effectively shut out of the bond markets for the last two weeks, raising the cost of day-to-day operations, threatening longer-term projects and dampening a broad source of jobs and stability at a time when other parts of the economy are weakening." A contrarian gets the last laugh https://secure.globeadvisor.com/servlet/ArticleNews/story/gam/20081001/RBANKSWINNERS01 "Vito Maida says he's lucky. But he could just as easily say, "I told you so." More than four years ago, with stock prices roaring upward and a global real estate boom gaining pace, the Toronto money manager sat down to pen his thoughts on the markets, and realized that his views were out of step with the rest of the financial world." Canada may face housing bust: Shiller http://www.financialpost.com/news/story.html?id=853094 "The Canadian housing market could face a similar housing bust to the United States, particularly in more bubbly markets as Vancouver and Calgary, said Robert Shiller, the Yale University professor who predicted both the 1990s stock market boom and bust and the US housing slump." U.S. home prices declined 16.3% in July http://www.bloomberg.com/apps/news?pid=20601087&sid=aEyKpTpk90C0&refer=home "The S&P/Case-Shiller home-price index dropped 16.3 percent from a year earlier, more than forecast, after a 15.9 percent decline in June." Corporate bonds worse than equities http://bespokeinvest.typepad.com/bespoke/2008/09/corporate-bonds.html "Even though equity markets are down nearly 7% today, the corporate bond market is even worse. Below we highlight a price chart of an ETF that tracks an index of investment grade corporate bonds (LQD). As shown, the ETF is down nearly 10% today!" The 50-100 year storm has arrived http://www.fairfax.ca/Assets/Downloads/Scotia%20Institutional%20Investors%20Sept%202008.pdf Keen slides from a Fairfax presentation. U.S. House rejects rescue plan http://www.bloomberg.com/apps/news?pid=20601087&sid=aovs_9KFtWgA&refer=home "The financial-rescue plan intended to restore confidence in the U.S. banking system collapsed in partisan wrangling as the House of Representatives voted down the proposal backed by the Bush administration and congressional leaders of both parties." Lehman's '100% principal protection' means pennies http://www.bloomberg.com/apps/news?pid=20601109&sid=aPQXoCH.fIa0&refer=home "A brochure pitching $1.84 million of notes sold by Lehman Brothers Holdings Inc. in August, a month before the firm filed for bankruptcy, promised '100 percent principal protection.' Buyers had 'uncapped appreciation potential' pegged to gains in the Standard & Poor's 500 Index, the brochure said. In the worst case, they would get back their $1,000-per-note investment in three years. Only the last in a list of 15 risk factors mentioned the biggest danger: 'An investment in the notes will be subject to the credit risk of Lehman Brothers.' Lehman's Sept. 15 bankruptcy leaves holders of the notes waiting in line with other unsecured creditors for what's left of their money." Citigroup to buy Wachovia banking assets http://money.cnn.com/2008/09/29/news/companies/wachovia_citigroup/index.htm?postversion=2008092908 "Citigroup will acquire Wachovia's massive deposit network, as well as over $300 billion worth of Wachovia's loan portfolio and the company's debt. Citigroup said it will absorb up to $42 billion of losses on those loans, while the Federal Deposit Insurance Corporation will be on the hook for anything beyond that." Tip Sheet http://www.stingyinvestor.com/SI/strategy/tipsheet.shtml Cash not credit http://www.ndir.com/SI/strategy/tipsheet/10-05-2008-Cash-not-credit.shtml Today we're looking for debt-light Canadian stocks trading at low price-to-earnings ratios. High Yielding Smoke Stocks http://www.ndir.com/SI/strategy/tipsheet/09-29-2008-High-Yielding-Smoke-Stocks.shtml Survival is easy when you don't need to borrow money. It is even easier when you're a cash generating machine like a cigarette company. Due to the current panic you can get yields north of 6% from big tobacco. Can these stock go down? Sure thing. Even cash generators can decline in a panic. But some are starting to look quite interesting. DOW 30 Value Screens http://www.stingyinvestor.com/SI/strategy.shtml High Dividend Yield Stocks P/E P/B P/S P/D Yield ============================================ === === === === ===== Bank of America (BAC) 1 5 1 5 5 Pfizer (PFE) 3 4 2 5 5 Citigroup (C) 0 5 2 5 5 AT&T (T) 2 4 3 5 5 Verizon (VZ) 2 4 4 5 5 Merck (MRK) 2 2 1 4 4 General Electric (GE) 4 4 3 4 4 AIG (AIG) 0 5 5 4 4 JP Morgan Chase (JPM) 4 5 2 4 4 EI DuPont (DD) 4 3 3 4 4 More Info: http://www.stingyinvestor.com/SI/strategy/dogs.shtml Value Ratio Stocks P/E P/B P/S P/D VR ============================================ === === === === ===== Pfizer (PFE) 3 4 2 5 2.0 Bank of America (BAC) 1 5 1 5 2.2 Chevron (CVX) 5 4 5 4 2.6 AT&T (T) 2 4 3 5 2.8 General Electric (GE) 4 4 3 4 2.9 EI DuPont (DD) 4 3 3 4 3.2 Verizon (VZ) 2 4 4 5 3.3 Merck (MRK) 2 2 1 4 3.3 JP Morgan Chase (JPM) 4 5 2 4 3.4 Caterpillar (CAT) 5 2 4 3 3.9 More Info: http://www.stingyinvestor.com/SI/strategy/valueratio.shtml Graham Stocks P/E P/B P/D G$ dG$(%) ======================================== === === === ====== ====== JP Morgan Chase (JPM) 4 5 4 50.11 26.53 Alcoa (AA) 5 5 2 33.24 17.47 Chevron (CVX) 5 4 4 91.63 14.22 Bank of America (BAC) 1 5 5 35.50 10.14 More Info: http://www.stingyinvestor.com/SI/strategy/graham.shtml S&P/TSX60 Value Screens http://www.stingyinvestor.com/SI/strategy.shtml High Dividend Yield Stocks P/E P/B P/S P/C P/D Yield* ======================================= === === === === === ====== Biovail (BVF) 1 4 3 5 5 5 Bank of Montreal (BMO) 3 5 2 1 5 5 CIBC (CM) 0 3 1 4 5 5 National Bank of Canada (NA) 2 4 2 4 5 5 Husky Energy (HSE) 4 2 3 3 5 5 Telus (T) 4 3 4 5 5 5 Teck Cominco Limited (TCK.B) 5 4 3 3 5 5 BCE (BCE) 4 3 3 4 5 5 Bank of Nova Scotia (BNS) 3 2 1 1 5 5 Toronto Dominion Bank (TD) 3 3 2 2 4 4 More Info: http://www.stingyinvestor.com/SI/strategy/dogs.shtml Value Ratio Stocks P/E P/B P/S P/C P/D VR ======================================== === === === === === ===== First Quantum Minerals Ltd. (FM) 5 4 4 4 3 1.4 Teck Cominco Limited (TCK.B) 5 4 3 3 5 1.4 Biovail (BVF) 1 4 3 5 5 1.5 Husky Energy (HSE) 4 2 3 3 5 1.6 Petro Canada (PCA) 5 5 5 4 3 1.6 Bank of Montreal (BMO) 3 5 2 1 5 1.7 Thomson (TOC) 5 0 0 0 4 1.9 BCE (BCE) 4 3 3 4 5 1.9 Telus (T) 4 3 4 5 5 2.0 Sun Life (SLF) 4 5 4 1 4 2.3 More Info: http://www.stingyinvestor.com/SI/strategy/valueratio.shtml Graham Stocks P/E P/B P/D G$ dG$(%) ======================================== === === === ====== ====== ACE Aviation (ACE.B) 5 5 0 185.95 2602.8 First Quantum Minerals Ltd. (FM) 5 4 3 81.96 136.88 Petro Canada (PCA) 5 5 3 74.72 131.70 Magna Cl.A (MG.A) 4 5 4 99.82 115.50 Inmet Mining (IMN) 5 4 1 75.23 83.58 Teck Cominco Limited (TCK.B) 5 4 5 39.68 71.94 Nova (NCX) 5 4 2 33.91 64.86 Talisman Energy (TLM) 5 4 2 19.24 45.76 Sun Life (SLF) 4 5 4 52.22 44.97 Agrium (AGU) 5 3 1 63.10 44.33 Canadian Tire (CTC.A) 4 4 2 67.00 39.76 Nexen Inc. (NXY) 5 3 1 28.72 36.11 Canadian Pacific Rail (CP) 4 4 3 65.76 33.01 BCE (BCE) 4 3 5 45.26 29.68 Bank of Montreal (BMO) 3 5 5 54.39 27.99 Telus (T) 4 3 5 45.32 14.69 Toronto Dominion Bank (TD) 3 3 4 67.13 12.96 Weston George (WN) 3 4 3 59.06 5.47 Husky Energy (HSE) 4 2 5 41.25 5.00 Yamana Gold Inc. (YRI) 1 5 2 7.81 4.13 National Bank of Canada (NA) 2 4 5 49.82 2.80 More Info: http://www.stingyinvestor.com/SI/strategy/graham.shtml *Notes: http://www.stingyinvestor.com/SI/strategy/notes.shtml Switch to the HTML version if the tables aren't formatted properly. http://www.stingyinvestor.com/cgi-bin/email.cgi Books for Stingy Investors The Aggressive Conservative Investor by Martin Whitman & Martin Shubik Originally published in 1979, this value classic is once again in bookstores with a new introduction but most of the tome remains unchanged. Aside from providing a glimpse into investing in the late 1970s, much of Whitman's basic moneymaking approach, which focuses on balance sheet values, continues to apply today. A great book for more seasoned investors but it might be a little heavy for some. Amazon Link: http://www.amazon.ca/exec/obidos/ASIN/0471768057/ Stock Research From Dan Hallett & Associates The Rothery Report http://www.rotheryreport.com/ The Rothery Report provides research on select deep-value stocks in North America. Discover overlooked and undervalued stocks in quarterly investment reports which provide detailed analysis of Canadian and U.S. stocks. Weekly email news and additional updates keep subscribers informed about new opportunities and developments. Rothery Report Performance (03/31/2001 to 06/30/2008) Average Capital Gain Average Holding Period 40.7% 2.4 Years Learn More http://www.rotheryreport.com/store/store.shtml Subscribe Today http://www.rotheryreport.com/store/order.shtml If you'd like to suggest The Stingy News to a friend, please point them to: http://www.stingyinvestor.com/cgi-bin/email.cgi Please visit the StingyInvestor website at http://www.stingyinvestor.com To (un)subscribe please use our email centre at http://www.stingyinvestor.com/cgi-bin/email.cgi Email comments or questions to info@stingyinvestor.com Refer to legal & conflict of interest disclaimers at http://www.stingyinvestor.com/SI/legal.shtml Privacy Policy http://www.ndir.com/SI/legal/privacy.shtml We do not rent or sell our email list to third parties. ISSN 1499-2795 Copyright Dan Hallett and Associates Inc., 2008. All rights reserved. The securities mentioned in this report are not appropriate for all investors. Consult your professional investment advisor before making any investment decision. While all reasonable effort is made to ensure the accuracy of information and data contained herein, accuracy can not be guaranteed. Past performance is not a good predictor of future performance. Results are not guaranteed and we assume no liability whatsoever for any material losses that may occur. No compensation for suggesting particular securities or financial advisors is solicited or accepted. The information in this newsletter, and in its related website, is not intended to be, nor does it constitute, financial advice or recommendations. Investing in stocks can be risky and may result in substantial losses. A Dan Hallett and Associates Inc.(DH&A) publication. DH&A is registered as Investment Counsel in the province of Ontario. DH&A, or related-parties may have an interest in the securities mentioned.
|
|
| About Legal | Contact Us |
A Dan Hallett and Associates Inc. publication. Norm Rothery, Ph.D., CFA, is the Chief Investment Strategist at Dan Hallett and Associates Inc. (DH&A) and the founder of StingyInvestor.com. DH&A is registered as Investment Counsel in the province of Ontario. Norm, DH&A, or related-parties may have an interest in the securities mentioned. More...