Money and Finance
When a business is trading at a lower price than several proven value investors (including Mr. Buffett) last bought shares, it is usually a good place to start your research.
USG is such a company and the NY Times recently wrote an short article about the company.
“Business is tough,” said William C. Foote, chairman and chief executive of USG. “The housing recession is entering the second year of what is likely to be a multiyear downturn.”
USG has cut 1,100 jobs during the last year and now employs about 14,000.
In some ways USG represents the reverse of the modern global economy. It faces no significant foreign competition because drywall is too bulky and low-value to be shipped very far. But USG likewise has little opportunity to send its product abroad to countries where home building is not currently depressed, holding the company hostage to domestic construction.
*This is not a recommendation to buy or sell a security. Please do your own research before making an investment decision.
- Northamber Plc (lse:nar)
Quick summary of a potential micro-cap net-net investment for those interested....We've decided to pass on it for now, as we generally like to focus on better businesses with tailwinds instead of headwinds. But if you have any specific insights on...
- Halfords Group Plc
Friends, I’m looking for reasons NOT to buy shares of Halfords Group plc (LSE:HFD). Anyone have any? With the stock around 2.40 GBP, the dividend yield just north of 9%, strong free cash flows and a good competitive position, it seems pretty...
- The Marketing Alliance Update
I've posted a few things about The Marketing Alliance (HERE, HERE, and HERE), a company that is the biggest holding in the fund I help manage as of 6/30/2011. For those still following it, the company just reported fiscal Q4 and year-end results....
- Legg Mason Value Trust Investment Commentary: Fourth Quarter 2007
I think the market is in for a period of what the Greeks refer to as enantiodromia, the tendency of things to swing to the other side. This is not a forecast, but rather a reflection on valuation. -All of the poorest performing parts of the market, housing,...
- A Reminder On American Express
I thought it would be a good time to remind readers what Joel Greenblatt had to say about American Express (AXP) last summer. Although I haven't done the valuation work yet and thus haven't invested in AXP, there are 2 things I do know: (1) American...
Money and Finance
Drywall Maker in Pain as Housing Suffers
When a business is trading at a lower price than several proven value investors (including Mr. Buffett) last bought shares, it is usually a good place to start your research.
USG is such a company and the NY Times recently wrote an short article about the company.
“Business is tough,” said William C. Foote, chairman and chief executive of USG. “The housing recession is entering the second year of what is likely to be a multiyear downturn.”
USG has cut 1,100 jobs during the last year and now employs about 14,000.
In some ways USG represents the reverse of the modern global economy. It faces no significant foreign competition because drywall is too bulky and low-value to be shipped very far. But USG likewise has little opportunity to send its product abroad to countries where home building is not currently depressed, holding the company hostage to domestic construction.
*This is not a recommendation to buy or sell a security. Please do your own research before making an investment decision.
- Northamber Plc (lse:nar)
Quick summary of a potential micro-cap net-net investment for those interested....We've decided to pass on it for now, as we generally like to focus on better businesses with tailwinds instead of headwinds. But if you have any specific insights on...
- Halfords Group Plc
Friends, I’m looking for reasons NOT to buy shares of Halfords Group plc (LSE:HFD). Anyone have any? With the stock around 2.40 GBP, the dividend yield just north of 9%, strong free cash flows and a good competitive position, it seems pretty...
- The Marketing Alliance Update
I've posted a few things about The Marketing Alliance (HERE, HERE, and HERE), a company that is the biggest holding in the fund I help manage as of 6/30/2011. For those still following it, the company just reported fiscal Q4 and year-end results....
- Legg Mason Value Trust Investment Commentary: Fourth Quarter 2007
I think the market is in for a period of what the Greeks refer to as enantiodromia, the tendency of things to swing to the other side. This is not a forecast, but rather a reflection on valuation. -All of the poorest performing parts of the market, housing,...
- A Reminder On American Express
I thought it would be a good time to remind readers what Joel Greenblatt had to say about American Express (AXP) last summer. Although I haven't done the valuation work yet and thus haven't invested in AXP, there are 2 things I do know: (1) American...