Stock Market - Taken from another sub any info on this? |
- Taken from another sub any info on this?
- And to this day I still lie awake at night wondering about the soup that got away
- Most discussed stocks of last week and its performance! What are your moves for next week?
- Jeff Bezos retires at 57 with $197 billion, more than 730,000 times the median American's retirement wealth
- Strongly Encourage New Investors to Read This
- Need more cash
- When you get a red day -0.1% in the Stock Market but the entire week has been green +10%
- What was your first investment and when did you start?
- Due Diligence: $MESA
- LOOKING FOR A PERSON TO TALK TO ABOUT STOCKS AND THE FINANCIAL GLOBAL OUTLOOK
- With the debt-limit stalemate looming, Treasury dealers are bracing for turbulence. Brace yourself.
- Happy 4TH FINANCIAL INDEPENDENCE DAY !
- Weekly Market Commentary - July 3, 2021
- Can anyone say double bottom? 7/16 calls thru the roof, meeting 7/7, Schumer expected to release Bill, MORE act just got 47 new sponsors on Thursday.. shall I continue? SNDL
- AMC STOCK ALL THE GOOD THATS COME FROM THE MOVEMENT SO FAR
- $OMC-Due Diligence for a massive advertising firm
- IPO Report: The 5 most eye-popping disclosures in Robinhood’s long-awaited IPO filing
- Stumbled across this little gem!
- Qyou.v
- Freedom. Happy 4th of July, happy Independence Day, and soon enough Financial Freedom to you and your love ones.
- Bulls Are Showing Power
- Does anyone know why Eco Wave Power skyrocketed on Friday?
| Taken from another sub any info on this? Posted: 04 Jul 2021 08:50 AM PDT
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| And to this day I still lie awake at night wondering about the soup that got away Posted: 04 Jul 2021 10:04 AM PDT
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| Most discussed stocks of last week and its performance! What are your moves for next week? Posted: 04 Jul 2021 05:23 AM PDT
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| Posted: 04 Jul 2021 06:37 PM PDT
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| Strongly Encourage New Investors to Read This Posted: 04 Jul 2021 09:57 AM PDT
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| Posted: 04 Jul 2021 09:55 AM PDT
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| When you get a red day -0.1% in the Stock Market but the entire week has been green +10% Posted: 04 Jul 2021 01:19 PM PDT
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| What was your first investment and when did you start? Posted: 04 Jul 2021 07:55 AM PDT
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| Posted: 04 Jul 2021 04:19 PM PDT Company SummaryMESA is a regional passenger air carrier with destinations in 40 states and mexico. Their HQ is in Phoenix AZ. All of their flights are operated under American Airlines or United Express. Hubs in texas, Arizona, and D.C. They have 146 aircraft fleet, and on average have 373 flights per day. 52% of revenue comes from AA, and 48% comes from United. They operate the following aircraft: 54 CRJ-900s, 20 CRJ-700s, 2 737s, and 60 E-175s. Of these, 85 are owned and 61 are leased. Their capacity purchase agreements guarantee revenue from each aircraft on a monthly basis. These capacity purchase agreements are important in sheltering MESA from the volatility of the industry. The capacity purchase agreements are very important for their business. This allows MESA to collect a fixed, set amount of revenue per month per aircraft. As said before, this shelters MESA from a number of the risks in the airline industry, but is also a liability in the event that there is low demand for extra aircraft. I have never flown knowingly on a MESA plane, but they state that they lock the cockpit doors so their planes will probably not be used in a terrorist type attack. Management overview: The CEO has experience in airlines, but also breached ethical standards when he was a trader. I hate to see this and it always brings up the question - if he was willing to cut corners and break rules once, how can we know that he isn't going to or hasn't done it again? Not happy with finding out about this. The CFO has decent experience and has worked closely with the CEO for at least 20 years. Glassdoor shows that only 45% of employees approve of the CEO. There are reviews that state he has acted inappropriately, and implications that he directs those actions towards women. Really not what any company should have as a CEO, but boards are usually pretty terrible at controlling the CEO so this is probably what is happening. Company historyThey started in 1980. They used to have a much more diverse customer base than they do now, but it seems like most of their customers went out of business. They made a number of acquisitions over 40 years and were public before going private and then becoming public again in the 2010s. RiskThere is a very clear risk in MESA. They only have two main clients. If one or both of the clients leave MESA, they won't have any business. As a result, they are in turn very vulnerable to unfavorable conditions in the passenger air travel industry. They also carry a lot of debt (2x market cap), which would force them into default if they lose one of their clients. Its credit ratings are below investment grade. There is a low supply of pilots in the industry, and pilots are increasing demanding higher wages. Most of their employees are unionized (74.8%). Revenue Breakdown / Company segmentsRevenue was 506M in 2020. 276M of this came from AA, and 229M Came from United. All of the revenue generated comes from North America. Industry position📷 Compared to other airlines, MESA is very small. Their P/E, PEG, P/S, P/B, P/C, and P/FCF are all much stronger than the average airline. Their DE is around the average at a shoddy 1.4. They have very competitive ROE/ROA/ROI. Their gross margin is far below industry average, but their profit margin and operating margin are the best in the industry. They have no direct competitors, but indirectly compete with all other airlines through their capacity purchase agreements. Their market share is less than 1 percent. Company base statisticsMarket Cap: 332 M Total Debt: 732 M Cash & Liquid assets: 99.4 M Goodwill: None Equity: 458M Total Assets: 1.501 B Revenue: 545 M Earnings: 34 M Operating Cash Flow: 174 M Enterprise Value: 971 M Shares Outstanding: 35.7 M EV/Sales: 1.78 ROE: 7.42% Current Ratio: 0.44 Employees: ~3200 Employees - 1275 Pilots, 1118 Flight attendants, 52 dispatchers, 466 mechanics, 289 in administrative ** Recently had a negative ROA Overview/Growth and DevelopmentsGrowth:
Margins:
Net reinvestment:
Dividends:
Share buybacks:
Cost of capital: 4 % Costs:
Debts & Liabilities:
Assets:
WACC: 4.92% Long term growth rate: Probably none. A 0% growth rate is generous Legal:
Recent/expected developments: ValuationTheir Gordon model valuation is $0 for any expected rate of return. Their DCF intrinsic value is $20/share, giving a margin of safety of over 50%. This is to be taken with a grain of salt because they had recent FCF growth, and FCF is pretty much the only thing that grew. If I were to adjust this, right away I would deduct 80% of the value, which is my estimated probability that they will be forced into bankruptcy in the next 8 years. Adjusted, their intrinsic value is a measly $4/share, about 55% less than the current market price. Valuation Market ComparisonMesa looks great on the surface. They have good ratios, but the ratios are severely misleading. In reality, they are drowning in long term debt that is concentrated around 2022-2024 and 2027-2028. The airline industry generally offers around a 10-20% margin of safety. Compared to MESAs adjusted margin of safety of -55%, you would be much better off throwing your money into an airline index fund then concentrating capital into MESA. OpinionI would give MESA a weak sell rating until december 2021, and then downgrade them to a strong sell. Their debt alone has a stench that cannot be ignored even if it is coming from down the road. Would I hold this in my portfolio? Never. No retail investor should touch MESA with a ten foot pole. I admire the transparency in the 10k, but transparency should not make anyone ignore financial cancer. Notes and sourcesNotes: Note 1. I am not a certified financial analyst. Any opinions expressed in this analysis are solely my own and should not be interpreted as investment advice. Note 2. I do not hold MESA in my portfolio. This is early research I have conducted that may or may not result in me adding MESA to my portfolio. Sources: Their 10-K : https://www.sec.gov/ix?doc=/Archives/edgar/data/810332/000156459020057000/mesa-10k_20200930.htm (Contains good information about their operations and risk. It takes a while to be able to spot out important risk sections in 10ks but once you figure it out its very useful) Macrotrends (Better than SEC for fast long term data, sometimes inaccurate): https://www.macrotrends.net/stocks/charts/MESA/mesa-air/stock-price-history Glassdoor: https://www.glassdoor.ca/Reviews/Omnicom-Reviews-E1734.htm CIO Linkedin: https://www.linkedin.com/in/chadi-farhat-2b421a76/ Yahoo finance: https://ca.finance.yahoo.com/quote/MESA?p=MESA Finviz: https://finviz.com/screener.ashx?v=121&f=ind_airlines (relative analysis) Credit and general info: https://info.creditriskmonitor.com/Report/ReportPreview.aspx?BusinessId=3794 Fleet data: https://www.planespotters.net/airline/Mesa-Airlines CEO wikipedia: https://en.wikipedia.org/wiki/Jonathan\_G.\_Ornstein [link] [comments]  | ||
| LOOKING FOR A PERSON TO TALK TO ABOUT STOCKS AND THE FINANCIAL GLOBAL OUTLOOK Posted: 04 Jul 2021 05:54 AM PDT Hi everybody, Let me start off by saying that I'm a beginner ( even though I have a good deal of knowledge when it comes with how the economy and markets work) and I'm an italian guy. I'm really eager to start investing my money instead of letting them decrease in value in the bank and in order to do it effectively I wanted to have a call with a person or more, once a week ( ideally in the weekends, because I work mon to fri) in order to talk about macro trends in the financial markets and how to structure our portfolios according to that. I think doing that would be really helpful 'cause we can exchange our opinions and ideas and improve our understanding as well as the efficacy of our investment strategy. We can talk on Discord if you want to, if you are interested in it you can either hit me up in the private messages here on Reddit or directly on Discord, my account name there is Albus#9298 [link] [comments]  | ||
| With the debt-limit stalemate looming, Treasury dealers are bracing for turbulence. Brace yourself. Posted: 04 Jul 2021 08:14 AM PDT
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| Happy 4TH FINANCIAL INDEPENDENCE DAY ! Posted: 04 Jul 2021 09:27 AM PDT
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| Weekly Market Commentary - July 3, 2021 Posted: 04 Jul 2021 06:17 PM PDT
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| Posted: 04 Jul 2021 05:58 PM PDT
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| AMC STOCK ALL THE GOOD THATS COME FROM THE MOVEMENT SO FAR Posted: 04 Jul 2021 05:30 PM PDT many people arent looking at the great things we've already accomplished... from this we KNOW NOW WHICH NEWS AND MEDIA are corrupted just to do 1 thing.. simply take your money when it comes to the market.. The other good thing this is teaching you if you have done dd and are completely sound in the "fundamentals" of a company guess what when it drops down you average down and buy the dip, after amc you will definitely be tempted but then you will remember... "no my investment is solid and this is just the dip before the rip" and ultimately you will be a better investor due to it.. also you will remember persistence and dedication are the true winners of a trade, (tell me who says that haha) in which he is true.. because in the end this will be skyrocketed so.... slot of good things have come from this movement so far and if you think they havent you havent stepped back and looked at the whole positivity part of this.. I have other good dd regarding amc on reddit.. (darkboring) is my uname.. thanks and every have a safe fourth of july, amc 2 500k yeah naked shorts yeahI need karma and awards to post on here all my other great posts are at apestogether and amcstocks.. thanks [link] [comments]  | ||
| $OMC-Due Diligence for a massive advertising firm Posted: 04 Jul 2021 04:28 PM PDT Company Summary Omnicom is an advertising agency that specializes in advertising, marketing and business communications services. In a world of increasingly fragmented information streams (Different social media platforms, more and more places to list ads ...), OMC may find difficulty in growing their business and competing with large content providers for diversified revenue. Since they are solely an advertising agency, they are not a direct competitor with facebook / twitter, but they will have to, and have been changing their approach to how they carry out their operations. OMC can act as a middleman in advertising. A business looking to carry out an advertising campaign would go to OMC and OMC would spread marketing content across many content providers. Their operations can be generalized into three categories: Advertising, Public relations, healthcare, and CRM stuff. Here is the list of the distinct different services that they offer: advertising, investor relations, branding, graphic arts/digital imaging, marketing research, content marketing, media planning and buying, corporate social responsibility consulting, merchandising and point of sale, crisis communications, mobile marketing, custom publishing , non-profit marketing, multi-cultural marketing, data analytics, database management, organizational communications, package design, digital transformation, product placement, digital/direct marketing , entertainment marketing, promotional marketing, experiential marketing, public affairs, field marketing, public relations, sales support, financial/corporate business-to-business advertising, retail marketing, healthcare marketing and communications, search engine marketing, instore design, shopper marketing, interactive marketing, social media marketing, sports and event marketing Management overview: From glassdoor, 95% of employees approve of the CEO. Most reviews say that management encourages discussion and recommendations, but there are a few bad reviews related to the personal relationships between management and employees. The CEO seems average. CFO and CEO do not have much info about them online. The CIO seems like he knows what he's doing, and has a lot of experience. Company historyOMC was created from a three way merger in 1986. The current CEO has been in his position since 1999. The three way merger involved BBDO, DDB, and NHW. BBDO was rated the world's most creative agency, DDB was one of the largest advertising networks in the world, and TBWA was ranked in the top ten agencies that utilize disruption to develop business changing ideas. These companies all exist under OMC as subsidies where OMC acts as the holding company. The three subsidies act independently of each other. BBDO was formed in 1919 in NYC. Bruice Barton (the BB) was a philosopher and eventually a congressman and then almost a senator. He has admitted that he was not a good match for the advertising industry. Roy Durstine (the D) was more involved in the actual business. He eventually became a workaholic, lost his wife, became an alcoholic and got fired in 1939. Alex Osbor (the O) is a mystery. BBDOs business then started to boom and they picked up some large clients in the early 40s. There was a lot of turmoil in the company in the 50s and 60s as the old guys were replaced, and new clients were slowly being acquired as old ones were lost or went out of business. They became very involved in advertising for the republicans during this time. They did not do well in the 70s during the recession, which should not be forgotten today, but they managed to get by much better than other companies. In 1976, a CEO started an 8 year tenure and managed to keep the company stable by employing special cost management measures so as not to waste the spoils of growth. At the time of the merger, BBDO was the only of the three that was not experiencing financial difficulties. BBDO agreed to the merger because the other companies had consistent international growth, which was apparently lacking in BBDO. DDB was formed in 1949 by three men all of whom had previous industry experience. They had tremendous success early on, focusing on hiring the most creative people they could find and taking the road not traveled. At the time, Polaroid was an unknown company. They were one of the first four to be clients of DDB In the 60s they did work for Avis rentals and Volkswagen. At the time, nobody wanted Volkswagens in America. DDB was instrumental in changing this with their campaigns for the VW beetle, making the vehicle a major success in America. Following this success they won over many major clients such as Heinz, American Airlines, Mobil oil, and Gillette to name a few. In 1982, William Bernbach (the B) died. This caused earnings to plummet, and financial difficulty closely followed. By 1986, they had lost some of their most important clients, including polaroid, which was probably their biggest success. The merger was a no-brainer for them with the resources of BBDO. TBWA started in 1924. They had a strong presence in the middle east. They provided a lot of services to smaller companies that otherwise felt neglected by larger advertising agencies. I cannot find anything interesting about them between 1924 and 1970. In the 70s, they found it difficult to find investment interest, so they decided to become private. They had by now acquired many blue chip clients such as xerox, mcdonalds, honda, and sears on top of their many smaller clients. They lost mcdonalds and xerox leading up to the 198 6 merger, and there were some conflicts in the merger such as campbells soup threatening to leave TBWA because Heinz would be a client of the parent OMC after the merger. Profits for OMC after the merger were low. In the 90s, OMC grew revenues, and at the end of the decade, a new CEO was put in place and the company had begun to diversify into digital marketing. In 1997, they were fortune's most respected advertising group. In 1997, they won back McDonalds. All throughout this period, they have been acquiring companies worldwide. In the 2000s, OMC lost its position as the world's largest advertiser to WPP. OMC bought 19 companies in 2000. OMC was hurt by 9/11, but managed to rebuild with the rest of the country. OMC aggressively pursued goals in hollywood. When the Enron scandal happened, 7 of OMCs board members were ousted and OMC decided to commit to better corporate governance. By 2002, OMC was in good shape while rivals were restructuring and laying off employees. Growth afterwards was much more predictable. OMC took on many blue chip companies as clients, and saw great client retention for the next two decades. Revenue Breakdown / Company segmentsTheir 100 largest clients represent 54% of revenue, and their largest client represents 3.4%. They lost 11.7% of revenue in the past year, but given that the events last year are not typical, this is not expected to be a long term trend. Total revenue is 13.171 billion.
Because this is an American company, the implications make sense. Revenue is most concentrated in places that the company understands - westernized countries, leaving a lot of room for growth in emerging markets. This growth may not be desired by the company due to the instability and tendency to default on debts in emerging countries. Revenue streams: Advertising: 7.369 B (56%) CRM: 3.308 B (25.1%) PR: 1.301 B ( 9.9%) Healthcare: 1.191 B (9.0%) Industry positionThey are the largest public advertising company, which brings pros and cons for any industry. They will be missing out on a lot of revenue because they will be focusing on larger clients, while letting a lot of smaller ones slip by. At the same time, they will get the largest contracts in the industry, and as a result they have been able to sustain the highest margins in the industry. Their payout ratio (57%) is much higher than other dividend paying advertising agencies. This has dual implications. They are not retaining as much earnings, and they are not spending as much on internal investments. It also means that they have reached a point where growth is organic and the company has a stable capital structure so they can and do pay out earnings that are not needed. Company base statisticsMarket Cap: 17.42B Total Debt: 5.81B Cash & Liquid assets: 5.6B Enterprise Value: 20.01B Equity: 3.084B Shares Outstanding: 217M EV/Sales: 1.517x Earnings: 0.975B ROE: 34.4% Employees: 64100, 20800 in the US, 27100 in north america, 25800 in europe and 11200 in asia Overview/Growth and DevelopmentsGrowth:
Based on the growth indicators above, OMC is not a growth stock. It does have the characteristics of a classic value stock. Margins:
Net reinvestment:
Share buybacks:
Cost of capital:
Costs:
Debts:
The capital obligations are manageable, and OCF currently covers and has in the past aptly covered obligations. Assets
WACC: 10.6-.8% Long term growth rate: 3% Legal: Nothing large worth noting Recent/expected developments: Nothing worth noting ValuationOMCs DCF Valuation is between $120-140. Seeing that the company is experiencing slow growth and is not a well known company, this figure may not be an accurate price prediction but is nonetheless a devent valuation providing an adequate margin of safety. OpinionBased on this analysis, I would give OMC a weak buy rating. They have some value, but their growth is stunted. Note 1. Their use of EBITDA in their analysis is slightly reckless. Not realizing interest expenses is not recommended in the industry. Interest expenses are very real, as are taxes, and so they should be considered by a company when they are performing an internal audit. Sources: Their 10-K (This is where you really get to understand the capital and debt structure): https://www.sec.gov/ix?doc=/Archives/edgar/data/29989/000002998921000004/omc-20201231.htm Macrotrends (Better than SEC for fast long term data, sometimes inaccurate): https://www.macrotrends.net/stocks/charts/OMC/omnicom-group/stock-price-history Glassdoor: https://www.glassdoor.ca/Reviews/Omnicom-Reviews-E1734.htm CIO Linkedin: https://www.linkedin.com/in/chadi-farhat-2b421a76/ Yahoo finance: https://ca.finance.yahoo.com/quote/OMC/profile?p=OMC Finviz: https://finviz.com/screener.ashx?v=121&f=ind_advertisingagencies History: https://www.referenceforbusiness.com/history2/69/Omnicom-Group-Inc.html [link] [comments]  | ||
| IPO Report: The 5 most eye-popping disclosures in Robinhood’s long-awaited IPO filing Posted: 04 Jul 2021 07:01 AM PDT
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| Stumbled across this little gem! Posted: 04 Jul 2021 02:04 PM PDT
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| Posted: 04 Jul 2021 02:01 PM PDT So cheap now and the biggeste in india. Q2/q3 Will be the new start on a multi billion Company. The Q India, the company's Hindi language youth oriented channel available in over 100 million TV households and to over 612 million OTT and mobile users in India. Curt Marvis, CEO and Co-Founder of QYOU Media commented, "With each passing week we gain increased confidence that we are solidifying this new plateau in viewership. Q Averages 45 GRP Over Last Six Weeks of BARC Measurement. Amazon joins previously announced premium advertisers including Pepsi, Unilever and Wipro as The Q India solidifies its ratings and viewership metrics across the board 1 yr pt 1.5cad, 5 yr pt 15-22 cad🤑 [link] [comments]  | ||
| Posted: 03 Jul 2021 10:37 PM PDT
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| Posted: 04 Jul 2021 11:50 AM PDT
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| Does anyone know why Eco Wave Power skyrocketed on Friday? Posted: 04 Jul 2021 11:42 AM PDT |
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