Recent sell-off is providing an excellent buying opportunity. The stock is currently undervalued, trading at EV/EBITDA of 6.72 and a P/B of just 1.4. 2014 and 2015 North American rig count increases create a positive macro environment. North American Top Drive Businesses to lead company over the next 24-36 months, Tubular business focused on offshore drilling market to drive growth in the mid term.
Just over a year ago I wrote an article on Tesco Corporation (TESO), calling
Continue reading Tesco: Why The Sudden Drop, And What To Expect Moving Forward $TESO $HAL $NOV
What are estimates for inflation/10-year bond? How are the effects on inflationary pressures limiting the potential for capital appreciation? For the income investor, is Duke energy’s dividend growth keeping up with inflation?
For investors looking for a company with a strong history of creating shareholder value, Duke Energy (DUK) is a dividend paying utility that currently offers a beta of 0.31 coupled with a yield of 4.50%.
According to Duke Energy’s website over the past five years the
Continue reading Duke Energy Income Investing: Dividend Growth, Inflation And Capital Appreciation $DUK $SO, $ED
For investors looking for a company with a strong history of creating shareholder value, Southern Company (SO) is a dividend paying utility that currently offers a beta of 0.17 coupled with a yield of 4.80%.
According to the Southern Company’s website if you invested 30 years ago, near the height of the 10 year bond, you would now have an annualized return of ~14.6%. If you invested 10 years ago the investor would have an annualized return of ~9.2% and
Continue reading Analyzing The Real Rate Of Return Of Southern Company $SO
Understanding Southern Company’s (NYSE:SO) cost of debt, cost of equity and WACC is an important factor in stock research. Using these formulas an investor will understand how much the shareholder should expect in return for the stock over the long-term, how much the company pays for its debt and how much the company needs in return to break even on its investments.
Cost of Debt
The cost of debt is the effective rate that a company pays on its total
Continue reading Southern Company: Fundamental Analysis WACC, Cost of Debt and Cost of Equity $SO
Last week PepsiCo (PEP) reported its Q4 earnings. Within the report the company stated they delivered an EPS of $1.05, which beat the consensus estimates of $1.01. The company’s revenue of $20.12 billion missed estimates of $20.16 billion by ~$4 million while net income for the quarter increased 5% from the same quarter last year.
As these results were decent, Pepsi stated that it will maximize shareholder value by retaining the North American beverage business in its current structure. They
Continue reading PepsiCo: Capital Appreciation And Dividend Growth $PEP $KO