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

To: E_K_S who wrote (50880)	2/13/2013 1:34:46 PM
From: Wallace Rivers	Respond to of 78766

Traded FDO on a one day hold, pocketed some quick $$$. Bought back in today at a lower price, who knows, may swing trade again. Wondering what to do about my NFG position, purchased just north of 44. It is definitely overbought, but it has also been a lot higher in the past three years. Seems to be some "smart money" in on it (Gabelli being one), and some sum of the parts analyses peg the price substantially higher. It is, obviously, still at the mercy of Nat Gas prices. Does anyone hold NFG, or have a comment on it?

To: E_K_S who wrote (50880)	2/13/2013 11:03:31 PM
From: Jurgis Bekepuris	Read Replies (1) \| Respond to of 78766

LNEGY - Sorry, E_K_S, looking at that report, I see different numbers. Compared to last year, revenue grew 8.4% (gasses division 10.7%, engineering -2%), profit grew 6.1% (10.2 gasses, 0 engineering). You may be right that the order book is strong and they will smash these numbers next year, but you are also paying rich price for it: 44% runup in a year, 10% dilution, 19 PE. Not for me. Good luck. :)

To: E_K_S who wrote (50880)	2/14/2013 10:43:50 AM
From: E_K_S	Read Replies (1) \| Respond to of 78766

Re: LNEGY - Actual Financial Tables from their Web Site Because this is sold as an ADR, none of the Brokerage companies provide detailed financials and show no statistics. My take away is the Engineering division appears undervalued. That division in 2010 represented 18% of total sales. The Gases division is showing over 10% growth while maintaining over 27% margins. At the current price you get the entire package for a Forward PE just under 19. EKS This is their 2010-2011 summary: The Linde Group Sales growth: 7.1% This is the update report covering (January - September) 2011 vs 2012 GASES Division Notice: Nice margin in Gasses Revenue Growth 2011 vs 2012 - Gases Division: 10.68% This is the update report covering (January - September) 2011 vs 2012 ENGINEERING Division Notice: Order intake growth - +25% Revenue Growth 2011 vs 2012 - Engineering Division: - 2.03% (Order intake growing so Future Revenues should grow)