Time Warner Inc (TWX)

Is one of his holdings in US large cap. There was turmoil with 21^st century making an offer, causing a $10 pop, then they backed away and it seemed ill managed. He was not unhappy they walked away. Many of his best companies have been owned for a decade+. It has lots of opportunity here. They have great franchises. The whole media play deserves a premium in this environment. He has nothing else in the sector. DIS-N got too expensive and he felt it was exhausted.

Up 33% in the last year. This has long term great opportunities. He is happy with this one long-term. Stock will trade over $100.

Had an offer from 20^th Century Fox, which was rejected. Expects that this was just the initial salvo, and there is much more to follow. At this price, it really doesn’t represent a premium at all. Trading right now at about 18X earnings.

(Top Pick Jun 19/13, Up 26.73%) They spun out Time Inc. He sold that. TWX-N is still a great story. HBO is a big winner. Producing a lot of great series. 15 times Earnings. Good steady eddy for him.

Owns Warner Studios, HBO, CNN. They are spinning off Time and People in their print division. Basically competing with a lot of other media groups out there for your attention. With mobility, they are getting it which just increases the franchise value. Trades at about 15X earnings. Thinks there is big opportunity for big price appreciation.

15 times earnings vs. DIS-N at 20. It is about their digital platform. HBO is making wonderful films and series. Not at an expensive multiple.

(A Top Pick April 19/13. Up 11.58%.) There are a lot of good things financially happening with this company. When they don’t need their money to run their business, they buy back stocks and increase their dividends.

Do you like the US entertainment and media sector such as Comcast (CMCSA-Q) and Time Warner (TWX-N)? A great area to be looking at right now. Everything now is about content and the media companies are the guys at control content. There are going to be more acquisitions and you want to own the right properties. (See Top Picks.)

Essentially a content provider. They do HBO and own the NCAA content and the Warner Bros. catalogue. Looking for them to monetize the assets that they have. This is currently in the early stages. Generates a significant amount of cash flow. Great place to be over the next several years. Good management team. Trading at 18X which is fairly valued.

(A Top Pick Sept 20/12. Up 45.19%.) The big catalyst for this company is HBO.

You are not paying an egregious valuation for this stock. An almost pure play on content. The catalyst that has popped up is that they are going to spin off Time Inc. because it is a lower margin business. Thinks they can monetize the HBO franchise, movies, etc. over multiple years and across multiple geographies. Handset makers and content people all want high quality content. Very low CapX the longer the product exists.

(A Top Pick April 19/13. Up 3.48%.) In the process of spinning off their magazines and really becoming a content pure play. Everybody out there needs content and this is a very good business model.

A media company. They own Warner Bros. and HBO which is doing very well with TV everywhere. Good valuation and lots of growth.

(Top Pick Apr 19/13, Down 2.59%) Still believes in them. They reported a mixed quarter. This is a good opportunity to go in and buy the stock. 2% dividend and 14 times earnings.

Great content story, which they continually monetize. Generates a lot of free cash flow. Very low cost business. Also, have nice additions such as HBO, sports franchises, etc. If the market retraces back to the $1475 mark, all stocks are going to move lower, so you might look to Buy on weakness. Yield of 1.97%.