TOP PICK
A purely retail bank in the UK. First-half numbers had revenues of little bit higher, margins are stabilizing and loan losses were down considerably. Expect they will start paying a dividend in the 2nd half of 2011. Trades below Book.
TOP PICK
Think they have settled their issues with the SEC. Trades at 1.1X Book. Has one of the best investment banking franchises in the world.
TOP PICK
Probably not a lot of growth but what is really key is that these companies wanted to be Internet companies, made acquisitions, and then sold them all and have now reverted to being a utility. Throwing off lots of free cash. Great dividend.
PAST TOP PICK
(A Top Pick Sept 1/09. Up 1%.) Had very strong numbers and Windows 7 is a very good product but the stock does not go up. There should be some change at the top before the stock moves up
PAST TOP PICK
(A Top Pick Sept 1/09. Up 47%.) Sold his holdings at about $74. Fairly valued at these levels.
PAST TOP PICK
(A Top Pick Sept 1/09. Down 24%.) Had run up to about $20 but has come back down again. Still likes the story and the US banking industry as a whole. They don't lend money, buy treasuries and the balance sheets are going to look fantastic in a year or two.
BUY
(Market Call Minute.) Good time to buy this one. Great company.
BUY
(Market Call Minute.) A great company. If you're comfortable with cigarettes and has a great yield. Good margins.
BUY
(Market Call Minute.) Great global franchise in banking. Very good company and well run.
DON'T BUY
(Market Call Minute.)
DON'T BUY
(Market Call Minute.) The only problem is that organic growth is only 2%. Spent about 14% in marketing. Good thing is they throw off $2 billion in free cash flow and increased their dividend by 6%. Fairly valued.
BUY
Great story at these levels. Double-digit earnings growth going into 2011. Smart phone and the phone business is going to grow so is expecting higher margins. 6.5% yield.
BUY
Unique company because not only does it have a franchise on wireless and wire line in Spain, but have the largest franchise in Latin America, one of the fastest growing areas globally. Yield of 7.6%.
DON'T BUY
GE Capital was driving them for many years and that hurt them in 2008. Other parts of the business are very good. Doesn't think it will ever get the valuation that it had 5 years ago. Recent acquisitions have been higher risk.
DON'T BUY
Some inroads in China and India but stuck in an awkward situation with their joint deal with Verizon (VZ-N). Grew in Europe but didn't substantially grow in other parts of the world. 7.5% yield.