Description: If the Magic Kingdom wants to find its next ruler, it might help if it weren’t quite so sprawling. Source: Bloomberg.com Date: May 11, 2016 Link: https://www.bloomberg.com/gadfly/articles/2016-05-11/why-disney-should-split-off-espn-abc Questions for Discussions: What are the concerns facing Disney, according to the report? What are some possible scenarios?
Posts Categorized: Company Analysis
The World’s Richest Airlines Can’t Get Enough Hand-Me-Down Jets
Description: It’s a tale that could be dubbed “From Russia to Love.” Source: Bloomberg.com Date: May 11, 2016 Link: https://www.bloomberg.com/news/articles/2016-05-11/the-world-s-richest-airlines-can-t-get-enough-hand-me-down-jets Questions for discussion: What is motivating the purchases of older planes? How does this affect the operating finances of these airlines?
Tim Cook’s TV Appearances Don’t Bode Well for Apple Stock
Description: Causing investors to question his credibility Source: Fortune.com – video report Date: May 09, 2016 Link: https://for.tn/1rLV2sy Questions for discussion: What does the report say about the relationship between Tim Cook’s public appearances and Apple’s stock valuation? What are the managerial issues related to his public appearances?
Opinion: How investors can profit from ‘funny’ corporate accounting
Description: Adjusted financial results can confuse investors, but you can use them to your advantage Source: MarketWatch.com Date: May 10, 2016 Link: https://www.marketwatch.com/story/how-to-keep-from-being-tricked-by-companies-funny-numbers-2016-05-10 Questions for Discussions: What are the concerns expressed in this report? Do you agree with the assessments?
Restaurants Invest in Technology to Improve Overall Efficiency
Description: 7% of respondents are investing in the technology to keep up with competitors Source: eMarketer.com Date: May 09, 2016 Link: https://www.emarketer.com/Article/Restaurants-Invest-Technology-Improve-Overall-Efficiency/1013933#sthash.fHBRKspS.dpuf Questions for Discussions: Why are restaurants investing in these new technologies? How cost-effective are these spent dollars, in your opinion?
The Existential Angst of SolarCity
Description: If you’re involved in the running of a company called SolarCity, one question you really don’t want to hear on your earnings call is: “What is SolarCity?” Source: Bloomberg.com Date: May 10, 2016 Link: https://www.bloomberg.com/gadfly/articles/2016-05-10/solarcity-shares-plunge-amid-existential-angst Questions for Discussions: What is SolarCity? Why did share value plunge? How would you evaluate investment in the firm? From… Read more »
This Is Why J.C. Penney’s Shares Are Tanking Today
Description: Cost-cutting measures have already begun. Source: Fortune.com – video report Date: May 06, 2016 Link: https://for.tn/1SUgToR Questions for discussion: Why is the company share-value falling so dramatically? Do you think the current valuation represents a buy-opportunity as the firm attempts to rebuild momentum?
Krispy Kreme Just Agreed to a $1.35 Billion Takeover
Description: By a company that already owns stakes in coffee companies Source: Fortune.com – video report Date: May 09, 2016 Link: https://for.tn/1WVsRmS Questions for Discussions: Do you think the valuation makes sense? What are the synergies between the companies involved?
LendingClub saga may yield increased scrutiny of peer-to-peer lending
Description: Regulators expected to take fresh interest after LendingClub’s CEO ouster Source: MarketWatch.com Date: May 09, 2016 Link: https://www.marketwatch.com/story/lendingclub-saga-may-yield-increased-scrutiny-of-the-peer-to-peer-lending-2016-05-09 Questions for Discussions: What are the managerial issues at the center of this story? What lessons should be taken by all managers, regardless of the nature of their industry?
Here’s the email Bill Ackman sent to Charlie Munger to complain about his Valeant comments
Description: The Senate has published a bunch of documents pertaining to Valeant, and it is a goldmine of info. Source: BusinessInsider.com Date: May 09, 2016 Link: https://www.businessinsider.com/bill-ackman-email-to-charlie-munger-2016-5 Questions for Discussions: What can you learn by reading this email about the thinking of these top financial people? Are you surprised in any way?
Fundamentals of Corporate Finance
