What hedge fund managers know about making money

Posted by & filed under Market Analysis.

Description: Knowing what stocks are held by top hedge fund managers is a useful source of investment ideas and an important risk factor for individual investors to consider.

Source:  Marketwatch.com

Date: 03/25/2011

Link: http://www.marketwatch.com/story/what-hedge-fund-managers-know-about-making-money-2011-03-25

Questions for discussion:

  • What does this report say about the relationship between hedge funds and investing strategies?
  • Do you agree with this analysis?
  • How might this information affect investing strategies?

Crunch time for RIM

Posted by & filed under Company Analysis, Management Issues.

Description: Jim Balsillie would like the world to think he has more than a few tricks left up his sleeve. Whether Research In Motion Ltd.’s co-chief executive does is the question analysts are struggling to answer.

Source:  FinancialPost.com

Date: 03/26/2011

Link:  http://business.financialpost.com/2011/03/26/crunch-time-for-rim/

Questions for discussion:

  • Summarize the analysis presented for RIM and Apple.
  • Why have investors punished RIM despite these metrics?
  • Do you believe management handling of financial reporting bears any responsibility?
  • Is RIM undervalued?
  • Is Apple overvalued?

Postal Service: 7,500 workers, $20,000 buyouts

Posted by & filed under Company Analysis, Financial analysis, Governments & Regulators.

Description: The Postal Service is offering a $20,000 buyout to thousands of veteran workers as part of its bid to eliminate 7,500 administrative jobs, the agency announced Thursday.

Source: CNNMoney.com

Date: 03/25/2011

Link: http://money.cnn.com/2011/03/24/news/economy/postal_service/index.htm

Questions for discussion:  

  • Summarize the financial situation at the Postal Service.
  • How differently might a private enterprise respond in this situation?
  • How would you advise management to respond?

No Buyers for Barnes & Noble at 60 Cents on Dollar: Real M&A

Posted by & filed under Company Analysis.

Description:  Even with Barnes & Noble Inc. selling for 60 cents on the dollar, the cheapest retailer in America still isn’t cheap enough to entice private-equity buyers looking for cash.

Source: Businessweek.com

Date: 03/25/2011

Link: http://www.businessweek.com/news/2011-03-25/no-buyers-for-barnes-noble-at-60-cents-on-dollar-real-m-a.html

Questions for discussion: 

  • What does this report have to say about the financial viability of this business model?
  • What other business are also likely to find themselves in similar situations in the next 10 years?

Japan quake threatens global supply

Posted by & filed under Industry Analysis.

Description:   Some say the quake’s hit to Japan’s manufacturing sector will have a profound impact on the global supply chain, CNN’s Kyung Lah reports.

Source: CNNMoney.com – video report

Date: 03/18/2011

Link:   http://money.cnn.com/video/news/2011/03/18/n_japan_supplychain.cnnmoney/

Questions for discussion: 

  • What does this report have to say about the global nature of business?
  • How might businesses be expected to react to the supply shortages?
  • How might investors be expected to react?

Green investing’s golden moment

Posted by & filed under Industry Analysis.

Description: Green energy investor Alan Salzman says this past week’s major spike in green energy stocks correlates to Japan’s nuclear crisis.

Source:  CNNMoney.com – video report

Date: 03/08/2011

Link:  http://money.cnn.com/video/news/2011/03/18/n_salzman_green.cnnmoney/

Questions for discussion:

  • Summarize the investing strategies in energy as argued by Alan Salzman. 
  • Do you agree with his thinking?
  • What do think the industry will look like in 25 years from today?
  • As such, how should investors respond?

Many Banks Are Clinging to Billions in Bailout Money

Posted by & filed under Economic Analysis, Governments & Regulators.

Description: Even as the nation’s biggest banks stepped further out of the government’s shadow on Friday, hundreds of financial institutions were still clutching to billions of taxpayers’ dollars.

Source: NYTimes.com

Date: 03/18/2011

Link:  http://dealbook.nytimes.com/2011/03/18/many-banks-are-clinging-to-billions-in-bailout-money/?ref=business

Questions for discussion:

  • Summarize the current situation with respect to the results of the bail-out and the status of the banks that were helped? 
  • In the end, how well did the government do with it’s investments?
  • How should investors approach banks today?

Bruised investors face Libya, Japan news, U.S. data

Posted by & filed under Company Analysis, Economic Analysis.

Description:  Investors are entering next week’s markets after five volatile days of trading, and they could encounter another bruising ride driven by fast-moving events in Japan, Libya and parts of the Middle East.

Source: Marketwatch.com

Date: 03/18/2011

Link: http://www.marketwatch.com/story/uneasy-investors-face-libya-japan-news-us-data-2011-03-19

Questions for discussion:  

  • Summarize the major influences of this week on investors and business financial managers.
  • How can risks to each group be mitigated?

JPMorgan Leads $22 Billion Increase in Payouts, Buybacks After Fed Review

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

Description: U.S. bank investors may be rewarded with an extra $22 billion annually after government tests showed the industry has regained enough strength to boost dividends and share buybacks.

Source:  Bloomberg.com

Date: 03/19/2011

Link:  http://www.bloomberg.com/news/2011-03-18/jpmorgan-leads-22-billion-increase-in-payouts-buybacks-after-fed-review.html

Questions for discussion: 

  • What does this report suggest about the state of affairs at JPMorgan and possibly other institutions?
  • Does this news suggest a change in investing strategy with respect to the the firm and the financial services industry in general?

Japan quake shakes up oil prices

Posted by & filed under Economic Analysis.

Description: The earthquake in Japan may not cause prices to plunge more Friday but the long-term impact on oil could be drastic

Source: CNNMoney.com – video report

Date: 03/11/2011

Link: http://money.cnn.com/video/markets/2011/03/11/mkts_japan_quake_oil2.cnnmoney/

Questions for discussion:

  • How does this incredible disaster in Japan connect to the international demand and price for oil?
  • What are some of the economic scenarios that might result from this crisis in Japan and elsewhere in the world?