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

To: Elroy who wrote (76280)	10/2/2024 3:10:44 PM
From: E_K_S	Read Replies (2) \| Respond to of 78485

Re: Williams Companies (WMB) 47.34+0.98 (+2.10%) - just hit a 9 year High (All Time High at/near $60/share) Thanks' for reminding me. Peeled off 10% in the ROTH account. Avg cost there is $22.40/share w/ shares bought in 2020 & 2021. WMB getting expensive at 23.4x PE and 4% div In the taxable account, WMB now a #5 position. Most of those Buys in 2020 and 2009/2010. It is interesting that in 2009/2010 was buying share for $11.25/share and then in 2020 got shares for $9.60 - $11.50. So the takeaway is many of these NG companies are cyclical and track the Oil/NG prices. We are getting close to this cycle high in 2024. I will be scaling out of my oversize position at/above $50/share. That's +284% in 4 years and a div yield averaging 5%. -------------------------------------------------------- I never can buy at/near the low but have better success scaling into a position when PE is below the average & dividend yields are higher than the average. I typically expect to hold a position 18 months but many I will hold for years especially if the div yield is at/above the Treasury yields and we have yet to peak in the cycle. Been building new positions in PYPL, PDCO, INMD, MTW and others. All these have special situation stories that make me believe will be much higher in 18 months. For me the risk/reward is good vs the alternative of holding that cash in Treasuries. Largest gainers that have grown into a oversized portfolio position; GLW, OVV & FCX Let your winners run and close out your losers and/or value traps. A lot easier done looking in the rear view mirror.

To: Elroy who wrote (76280)	10/4/2024 6:47:32 PM
From: E_K_S	Read Replies (1) \| Respond to of 78485

RE: Williams Companies (WMB) 49.63 +1.42 (+2.95%) Williams (WMB, Financial) gained 2.2% after Morgan Stanley upgraded the stock, citing strong growth prospects and favorable contract environments in the natural gas sector. The company's assets are increasingly vital for power grid stability and new demand sources. ------------------------------------------------------------ Morgan Stanley has upgraded Williams Companies (NYSE: WMB) from an Equal-Weight to an Overweight rating, raising the price target from $52 to $58. This upgrade reflects a positive outlook on the company's growth potential, particularly in the midstream sector, where investors are increasingly focused on firms with clear growth trajectories. Morgan Stanley projects that Williams will achieve sustainable annual EBITDA growth of 5% to 7%, supported by robust demand for its natural gas pipeline assets, which are crucial for grid stability and emerging sectors like AI and LNG exports 1 2 .The upgrade is also informed by recent investor meetings with Williams' management, which bolstered confidence in the company's growth drivers. Williams Companies has maintained a strong financial position, projecting a 6.5% growth in EBITDA through 2025 and reporting record earnings in its Transmission and Storage segment. The firm has also successfully raised $1.5 billion through a notes offering, enhancing its capital structure for future operations 1 2 .In addition to Morgan Stanley's upgrade, other financial institutions have also raised their price targets for Williams, reflecting a broad consensus on the company's positive outlook. For example, Citi increased its target from $45 to $52, while RBC Capital Markets set a new target of $47 1 -------------------------------------------------------------- Looks like WMB getting AI love using the NG to power these AI data Center generators FWIW many/all utilities are higher w/ XLU +28.1% YTD and +42% from the 10/2023 lows