Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

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

To: Spekulatius who wrote (33122)	1/14/2009 9:30:23 PM
From: Spekulatius	Read Replies (1) \| Respond to of 78625

APH, SNI - APH stock is retreating ahead of earnings. If earnings are weak and tomorrow is another crappy day we may get a good buying opportunity. According to my fairly shallow research APH is the best managed company in the connector business: Highest growth, best gross margins etc. in n"normal times". This business is taking a deep dump which at least partly is due to inventory correction which should play itself out fairly quickly. I expected APH to emerge as one of the first from this slump. TEL is another company in this field that I am following. Not quite as good as APH but dirt cheap. If APH report is bad enough we might also have a buying opportunity for TEL. This stock has already come down a good deal. SNI is a cable channel play. They recently spun of their newspaper business. SNI owns marque channels like Food Network HGTV, DIY Network as well as some web properties. Food Network and DIY Network are doing great and HGTV seems to be doing OK. the stock is not extremely cheap on a PE basis (PE=11) but on a leveraged adjusted metrics (EV/EBITDA) it compares well with other media companies. The interesting thing about SNI is that there is virtually no debt . 60% of revenues are advertising so there is some economic vulnerability there but the remainder is Cable fees which are continuing to rise. This is a spinoff I have followed for a long time , it seemed too expensive at 40$, mildly interesting at 30$ and is now trading at 22$. Quite a discount for an unlevered and largely unimpaired business. I think a few years down the road, this will go for top $ again. media.corporate-ir.net Anializer's strategy to pick through the rubble when the dead are lying on the battlefield and the smoke clears is a good one but the current downturn also offers the opportunity to buy some best in class midcaps at very attractive prices. I am planning to do both.