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

To: Paul Senior who wrote (55138)	4/8/2015 10:16:04 AM
From: Wallace Rivers	Read Replies (2) \| Respond to of 78728

I have held IGT for a long time, and received the cash component of the merger yesterday.. I am skeptical of today's market (but I guess I'm always a bit skeptical) and am anticipating a gradual raising of rates. I'm looking for ideas to invest these funds. I am thinking about floating rate funds (FRA & FRB among them), which I have owned in the past. I'm much more conservative than I was when I started posting here (around two decades ago!), and am also looking for conservative, dividend paying equities. I think I have found one in AXP, which I posted about last week, and still like, despite yesterday's Oppenheimer downgrade. Because of my more conservative approach to the markets, I also apologize for not being a meaningful contributor to this thread.

To: Paul Senior who wrote (55138)	4/8/2015 11:05:41 AM
From: Graham Osborn	Respond to of 78728

Paul, funny you should mention TRN. I just bought some last week and intend to buy more. For the thread: Trinity's primary business is selling and leasing railcars, also has Construction Products unit for highway/ steel products; Energy Equipment unit for storage containers, tank heads, wind towers/ utility; and Inland Barge unit. Saw relatively little growth 2005-2009 and strong growth 2010-2014 with the US energy boom. Stock dropped last October with crude prices and $525M fine levied under False Claims Act for unsafe guardrail redesign. The company seems to believe this will not be paid anytime soon and is budgeting the cash for other purposes. Co has a year's worth of backlog on rail car orders, expects backlog to grow due to new regulatory requirement that about 70% of US tank car fleet be replaced due to recent tank car crashes and public outcry. Market Cap: 5.5B Cash/Cap: 0.22 P/B: 1.8 D/E: 0.75 (high for industry) Times Interest: 7 P/E: 8.4 ttm, 8.2 forward EV/ EBITDA: 5.7 P/S: 0.9 PEG: 0.1 ROE: 25% EPS 5Y: 4.33/ 4.67/ 3.18/ 1.77/ 0.85 Net Income 5Y: 678/ 376/ 255/ 142/ 67 The debt concerns me but the interest seems well covered even without the growth. I'll be happy selling tank cars, if not stock, to Buffett. Graham