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Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: Paul Senior who wrote (17339)	7/3/2003 8:25:57 PM
From: Spekulatius	Respond to of 78958

My pick Unilever - UN UL my best pick is consumer giant Unilever: - PE about 14 - 10 x free cash flow (market cap UN+UL = 55B$), 5.5B$ cash flow - LT growth rate 8%, Dividend yield 3.4%, management aims for PE growth in the low single digits Unilver has restructured to become less capital extensive and more focused on markets where they are #1 or #2.. This has boosted free cash flow which allows Unilever acquisitions to further strengths its position (Bestfoods, Dreyers etc.). It seems to me that this strategy is working. I like Unilevers focus on free cash flow growth. I think its a classic Buffet play at an attractive valuation. A good writeup of UL manegements strategy: unilever.com UN represents 1.665 x the economic interest of UL so I wuld buy whatever is cheaper (which is UL right now) Disclosure: I started a half position today.