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what are you selling today?


muscleman

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Sold REZI after the earnings report. I had reduced my position before the CC, but sold out after. While they made the revenue and earnings number, it was a very low quality report. Gross margin does and the pro forma # excludes the indemnity payment to HON (capped at $140M/ year). This payment is represented on the balance sheet as a $580M liability , but I think it will cost more. Anyway, thy have about $1.1B in debt (costing ~$70M in interest) and don’t seem to be able to generate any FCF currently. I misjudged this, it’s another crappo spinoff (GTX is a sinking ship also), so I take my 15% loss and move on.

 

KTB is doing better than I thought, also the earnings report is nothing to write home about either.

 

Ouch! Another guide down. I don’t own this crappola spin-off any more. Pre market trades around $9.5:

https://finance.yahoo.com/news/resideo-announces-selected-preliminary-third-212500494.html

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Sold REZI after the earnings report. I had reduced my position before the CC, but sold out after. While they made the revenue and earnings number, it was a very low quality report. Gross margin does and the pro forma # excludes the indemnity payment to HON (capped at $140M/ year). This payment is represented on the balance sheet as a $580M liability , but I think it will cost more. Anyway, thy have about $1.1B in debt (costing ~$70M in interest) and don’t seem to be able to generate any FCF currently. I misjudged this, it’s another crappo spinoff (GTX is a sinking ship also), so I take my 15% loss and move on.

 

KTB is doing better than I thought, also the earnings report is nothing to write home about either.

 

Ouch! Another guide down. I don’t own this crappola spin-off any more. Pre market trades around $9.5:

https://finance.yahoo.com/news/resideo-announces-selected-preliminary-third-212500494.html

 

I am not as familiar with REZI, but my conclusion on GTX was that it is a solid, if somewhat cyclical, business weighed down by excessive debt and asbestos liabilities.

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Sold REZI after the earnings report. I had reduced my position before the CC, but sold out after. While they made the revenue and earnings number, it was a very low quality report. Gross margin does and the pro forma # excludes the indemnity payment to HON (capped at $140M/ year). This payment is represented on the balance sheet as a $580M liability , but I think it will cost more. Anyway, thy have about $1.1B in debt (costing ~$70M in interest) and don’t seem to be able to generate any FCF currently. I misjudged this, it’s another crappo spinoff (GTX is a sinking ship also), so I take my 15% loss and move on.

 

KTB is doing better than I thought, also the earnings report is nothing to write home about either.

 

Ouch! Another guide down. I don’t own this crappola spin-off any more. Pre market trades around $9.5:

https://finance.yahoo.com/news/resideo-announces-selected-preliminary-third-212500494.html

 

I am not as familiar with REZI, but my conclusion on GTX was that it is a solid, if somewhat cyclical, business weighed down by excessive debt and asbestos liabilities.

GTX is interesting due to high margins, a flexible cost structure as well as high leverage (and capped asbestos liability that can be deferred in crisis ), but diesel is a major headwind and not sure they can make up for that with gas. Anyway, whenever I get tempted, I look at Linamar and figure it's cheaper, better in the long run and with a lot more optionality.

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Sold REZI after the earnings report. I had reduced my position before the CC, but sold out after. While they made the revenue and earnings number, it was a very low quality report. Gross margin does and the pro forma # excludes the indemnity payment to HON (capped at $140M/ year). This payment is represented on the balance sheet as a $580M liability , but I think it will cost more. Anyway, thy have about $1.1B in debt (costing ~$70M in interest) and don’t seem to be able to generate any FCF currently. I misjudged this, it’s another crappo spinoff (GTX is a sinking ship also), so I take my 15% loss and move on.

 

KTB is doing better than I thought, also the earnings report is nothing to write home about either.

 

Ouch! Another guide down. I don’t own this crappola spin-off any more. Pre market trades around $9.5:

https://finance.yahoo.com/news/resideo-announces-selected-preliminary-third-212500494.html

 

I am not as familiar with REZI, but my conclusion on GTX was that it is a solid, if somewhat cyclical, business weighed down by excessive debt and asbestos liabilities.

GTX is interesting due to high margins, a flexible cost structure as well as high leverage (and capped asbestos liability that can be deferred in crisis ), but diesel is a major headwind and not sure they can make up for that with gas. Anyway, whenever I get tempted, I look at Linamar and figure it's cheaper, better in the long run and with a lot more optionality.

 

I agree on GTX. My main concern is that GTX turbocharger business will go away entirely with electrification. A supplier like Linamar can replace lost business, but GTX cannot, and even if they could the margins of any new business would most likely be lower than what they currently earn.

 

REZI issue is margin pressure - I think they are getting commoditized. I will keep it on my watch list, but I don’t think I am likely to touch it.

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Reduced position a bit in NOVO B.CPH [NVO][in my father's account], to buy BRK.B, combined with pulling money off the table [money, that will never end up on the table again, but that will be allocated to one of his "high interest rate" accounts at Bank Norwegian ASA or Santander Consumer Bank ASA - those accounts are not part of my defined AUM]....

 

Pulled out all available cash in my fathers account again today.

 

Sold a bit less than one third of my fathers position in SAN today [at a loss]. It appears the account won't stay under the set goal/max. exposure, set now more than 5 years ago. I will drag out the cash [for good], when it's available after two days, if things don't fall back again. ...

 

Sold a bit more SAN today.

 

Sold a bit more SAN today.

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Reduced position a bit in NOVO B.CPH [NVO][in my father's account], to buy BRK.B, combined with pulling money off the table [money, that will never end up on the table again, but that will be allocated to one of his "high interest rate" accounts at Bank Norwegian ASA or Santander Consumer Bank ASA - those accounts are not part of my defined AUM]....

 

Pulled out all available cash in my fathers account again today.

 

Sold a bit less than one third of my fathers position in SAN today [at a loss]. It appears the account won't stay under the set goal/max. exposure, set now more than 5 years ago. I will drag out the cash [for good], when it's available after two days, if things don't fall back again. ...

 

Sold a bit more SAN today.

 

Sold a bit more SAN today.

 

Sold a bit more SAN today.

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Reduced position a bit in NOVO B.CPH [NVO][in my father's account], to buy BRK.B, combined with pulling money off the table [money, that will never end up on the table again, but that will be allocated to one of his "high interest rate" accounts at Bank Norwegian ASA or Santander Consumer Bank ASA - those accounts are not part of my defined AUM]....

 

Pulled out all available cash in my fathers account again today.

 

Sold a bit less than one third of my fathers position in SAN today [at a loss]. It appears the account won't stay under the set goal/max. exposure, set now more than 5 years ago. I will drag out the cash [for good], when it's available after two days, if things don't fall back again. ...

 

Sold a bit more SAN today.

 

Sold a bit more SAN today.

 

Sold a bit more SAN today.

 

Sold a bit more SAN today.

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