Exclusive: The $1.3 billion bond deal haunting Goldman

Posted by & filed under Company Analysis, Growth & Valuation, Management Issues.

Description:  The Securities and Exchange Commission is likely to bring charges soon against Goldman Sachs (GS) for a 2006 mortgage investment deal. The agency hasn’t said which one yet, but Fortune has learned there’s a good chance the SEC’s case will focus on Fremont Home Loan Trust 2006-E, a bundle of more than 5,000 mortgages that has cost investors, including mortgage guarantor Freddie Mac and by extension U.S. taxpayers, an estimated $545 million.

Source: Fortune.com

Date: 04/02/2012

Link:  http://finance.fortune.cnn.com/2012/04/02/fremont-bond-goldman-sachs/?iid=SF_F_LN

Questions for discussion:

  • Summarize the highlights presented in the report.
  • What is your view of the situation?

Avon rejects $10 billion Coty offer

Posted by & filed under Company Analysis, Growth & Valuation.

Description:   Beauty company Coty Inc. has submitted an offer to buy Avon Products, Inc. for about $10 billion on Monday, but Avon rejected the offer.

Source:  CNNMoney.com

Date: 04/02/2012

Link:  http://money.cnn.com/2012/04/02/news/companies/avon-coty/index.htm?iid=HP_River

Questions for discussion:

  • What do you think of the offer?
  • How would you evaluate the stock value?

Web surfers to pay online using Facebook, Twitter

Posted by & filed under Company Analysis, Growth & Valuation.

Description:   A one-click online payment system using Facebook and Twitter that could boost Internet sales for newspapers, music vendors and other low-priced goods and services is being tested by a major European media company, according to its developer.

Source:  Reuters.com

Date: 04/02/2012

Link:  http://www.reuters.com/article/2012/04/02/paycento-internet-idUSL6E8F22AW20120402

Questions for discussion:

  • Do you think this sort of micro-payments system, with the associated fees described in this article, will be viable for online publishers?
  • How will these payments affect cash flow?
  • How will these competitors affect the shares of companies like PayPal?

Bank stocks: Hot sector or future losers?

Posted by & filed under Company Analysis, Industry Analysis, Market Analysis.

Description:  Big bank stocks rallied in early 2012. Will investors continue to support them, or will uncertain regulations kill the rally?

Source: CNNMoney.com – video report

Date: 03/30/2012

Link: http://money.cnn.com/video/markets/2012/03/29/mkts_panel_banks.cnnmoney/

Questions for discussion:

  • Summarize the highlights of the arguments presented in this report.
  • Why have banks rallied?
  • Do you believe there is more to come?

Annie’s IPO rakes in the cheddar

Posted by & filed under Company Analysis, Industry Analysis.

Description:  Organic food company Annie’s makes its public debut and investors are salivating. But there are other organic options for the IPO averse.

Source: CNNMoney.com – video report

Date: 03/28/2012

Link:  http://money.cnn.com/video/markets/2012/03/28/mkts-bz-annies-ipo.cnnmoney/

Questions for discussion:

  • Do you think Annie’s represents too narrow a focus in this industry group?
  • What are the risks for the group, in general?
  • What favors investing in Whole Foods over Annie’s?
  • Would you be an investor in this industry?

Video: Analyst calls RIM results a ‘disaster’

Posted by & filed under Company Analysis, Governments & Regulators, Industry Analysis, Management Issues.

Description: BNN speaks to Peter Misek, Analyst, Jefferies.

Source:  BNN.ca – video report

Date: 03/30/2012

Link:  http://www.theglobeandmail.com/report-on-business/video/video-analyst-calls-rim-results-a-disaster/article2386846/

Questions for discussion:

  • Summarize the managerial and financial aspects in this report.
  • Do you think RIM stockholders can recover?
  • What strategy would you recommend to management?

Best Buy’s moves meet with investor skepticism

Posted by & filed under Company Analysis, Financial Planning, Growth & Valuation, Management Issues.

Description:  Best Buy Co., the largest U.S. electronics chain, swung to a fourth-quarter loss, hurt by charges and lower sales of notebook computers and televisions.

Source: Marketwatch.com

Date: 03/30/2012

Link:  http://www.marketwatch.com/story/best-buy-swings-to-loss-to-shut-50-stores-2012-03-29?siteid=nwtwk

Questions for discussion:

  • Summarize the reasons for Best Buy’s financial problems.
  • Do you think they can be resolved easily?
  • What are  the arguments for avoiding the stock because of these problems and those for seeing this as a buying opportunity?

The cloud hanging over Mazda

Posted by & filed under Company Analysis, Growth & Valuation, Market Analysis.

Description:   The spitfire Japanese auto maker long thrived as a purveyor of sporty-yet-thrifty vehicles. Now, its independence has put it in jeopardy.

Source:  Fortune.com

Date: 03/30/2012

Link:  http://features.blogs.fortune.cnn.com/2012/03/30/the-cloud-hanging-over-mazda/?iid=SF_F_Lead

Questions for discussion:

  • Summarize the reasons Mazda is in trouble.
  • What are some possible solutions that you would suggest to management?

IPOs Suffer Slow Start as Facebook Readies Sale

Posted by & filed under Governments & Regulators, Growth & Valuation, Industry Analysis, Market Analysis.

Description:   In a year heralding the landmark initial public offering of Facebook Inc. (FB), share sales got off to a slow start.

Source:  Bloomberg.com

Date: 03/30/2012

Link:  http://www.bloomberg.com/news/2012-03-30/ipos-suffer-slow-start-as-facebook-readies-sale-to-spur-rebound.html

Questions for discussion:

  • Summarize the highlights presented in this article.
  • Do you agree with the analysis?
  • Where do you see the IPO market headed this year?

Hulbert: We’re at a Market Correction

Posted by & filed under Company Analysis, Economic Analysis, Market Analysis.

Description:  MarketWatch columnist Mark Hulbert joins Mean Street and makes the argument that the market’s long-awaited correction is at hand. Photo: Reuters.

Source: CNNMoney.com – video report

Date: 03/23/2012

Link: http://www.marketwatch.com/video/asset/hulbert-were-at-a-market-correction/5DB75335-75E3-4F8B-A393-79D0B462979D

Questions for discussion:

  • Explain the logic of this analysis?
  • Do you agree with this assessment?
  • Where do you see the market headed over the next 3 to 6 months?