In the cutthroat grocer business, a vote of confidence from a big-time investor goes a long way. If that vote of confidence comes in the form of a billion-dollar investment from Warren Buffett, then it becomes a saving grace. U.K.-based grocery giant Tesco (LSE: TSCO ) has faced difficult headwinds in recent years, losing market share to competitors and navigating an anemic European economy. Its U.S. branch, called Fresh & Easy, caused company profits to drop 96% and led management to pull the curtains on the five-year-old chain. For Tesco, there's plenty of bad news, but many investors still have faith that the Oracle of Omaha sees something here. Should you be looking at Tesco?
Do you know Tesco?
Though not a household name in the United States, Tesco is the largest retailer in the United Kingdom. It is a behemoth of a company -- many times the size of Whole Foods Market and Safeway, or any other U.S. grocer, with the exception of Wal-Mart (NYSE: WMT ) . It may be in part that Tesco resembles a smaller, younger version of the latter that Warren Buffett's Berkshire Hathaway (NYSE: BRK-A ) (NYSE: BRK-B ) owns more than 5% of the outstanding shares. Buffett often talks about his biggest mistake in investing -- not buying Wal-Mart in the '80s because it was a few cents more than he wanted to pay. The cost to shareholders over time, he says, is in the billions. So perhaps this is an effort to right one of his few mistakes in the past.
5 Best Canadian Stocks To Invest In 2015: Aercap Holdings N.V. (AER)
AerCap Holdings N.V., through its subsidiaries, operates as an integrated aviation company worldwide. It engages in leasing and trading aircraft and engines; and selling parts. The company also provides aircraft management services, as well as aircraft and limited engine MRO services, and aircraft disassembly services through its repair stations. In addition, it offers aircraft services, including remarketing aircraft; collecting rental and maintenance payments, monitoring aircraft maintenance, monitoring and enforcing contract compliance, and accepting delivery and redelivery of aircraft; conducting ongoing lessee financial performance reviews; inspecting the leased aircraft; coordinating technical modifications to aircraft to meet new lessee requirements; conducting restructurings negotiations in connection with lease defaults; repossessing aircraft; arranging and monitoring insurance coverage; registering and de-registering aircraft; arranging for aircraft and aircraft engine valuations; and providing market research. The company?s management services include leasing and remarketing, cash management and treasury, technical advisory, and accounting and administrative services. As of March 31, 2011, it owned 272 aircraft and 95 engines, which it leased under operating leases to 118 lessees in 53 countries. The company was founded in 1995 and is headquartered in Schiphol, the Netherlands.
Advisors' Opinion:- [By John Udovich]
Yesterday around midday,�Netherlands based aviation leasing stock�AerCap Holdings N.V. (NYSE: AER) began surging on rumors and closed up 11.6%, meaning its probably time to take a closer look at those rumors along with aviation leasing peers like small caps or mid caps�Aircastle Limited (NYSE: AYR), Air Lease Corp (NYSE: AL), Fly Leasing Ltd (NYSE: FLY) and AeroCentury Corp (NYSEMKT: ACY).
- [By Paul Ausick]
More than two years ago, American International Group Inc. (NYSE: AIG) filed with the U.S. Securities and Exchange Commission for an initial public offering (IPO) in its aircraft leasing group, International Lease Finance Corp. (ILFC). That filing came to nothing, and AIG found little interest from buyers for ILFC, until Monday morning when it announced that AerCap Holdings N.V. (NYSE: AER) will buy the leasing operation for $3 billion in cash and 97.56 million shares of new AerCap stock. The total value of the deal is approximately $5.4 billion.
Best European Companies To Own In Right Now: Fresenius Medical Care Corporation (FMS)
Fresenius Medical Care AG & Co. KGaA, a dialysis company, provides products and services for patients with chronic kidney diseases. As of May 12, 2011, it provided dialysis care services to 216,942 patients through its network of 2,769 dialysis clinics primarily in North America, Europe, Latin America, the Asia-Pacific, and Africa. The company also develops and manufactures various dialysis products, including hemodialysis machines, dialyzers, hemofilters, dialysis fluid filters, tubing systems, fistula needles, dialysis related equipment, acute hemodialysis machines, plasma filters, acute tubing systems and cassettes, catheters, and related disposable products for chronic hemodialysis, acute therapy, home therapy, and therapeutic apheresis, as well as dialysis drugs. In addition, it provides laboratory services. Fresenius Medical sells its products through distributors. The company was founded in 1996 and is headquartered in Bad Homburg, Germany.
Advisors' Opinion:- [By Johanna Bennett]
The Centers for Medicare and Medicaid decided today to cut government payment to dialysis clinics. So why did share prices for DaVita HealthCare Partners (DVA) and rival Fresenius Medical Care (FMS) rise so steeply today?
Best European Companies To Own In Right Now: STMicroelectronics N.V.(STM)
STMicroelectronics N.V., an independent semiconductor company, engages in the design, development, manufacture, and marketing of a range of semiconductor integrated circuits and discrete devices. Its products include discrete and standard commodity components, application-specific integrated circuits, custom devices and semi-custom devices, and application-specific standard products for analog, digital, and mixed-signal applications. The company also offers subsystems and modules for the telecommunications, automotive, and industrial markets comprising mobile phone accessories, battery chargers, ISDN power supplies, and in-vehicle equipment for electronic toll payment, as well as provides Smartcard products. Its products are used in various microelectronic applications consisting of automotive products, computer peripherals, telecommunications systems, consumer products, industrial automation, and control systems. The company sells its products through distributors and ret ailers. STMicroelectronics N.V. was founded in 1987 and is headquartered in Geneva, Switzerland.
Advisors' Opinion:- [By Seth Jayson]
STMicroelectronics (NYSE: STM ) reported earnings on July 22. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended June 29 (Q2), STMicroelectronics met expectations on revenues and missed expectations on earnings per share. - [By Esekla]
Like Universal Display, InvenSense (INVN) represents a good long-term opportunity in its own right. The price entry point is not quite as good, though it has pulled back under my more recent price target of $15, when reports of a long-awaited Apple design win were challenged. Though conversations between the two are ongoing, InvenSense management's comments indicate an unwillingness to get roped into wrecking margin for volume, like many other Apple suppliers. Consequently, I don't believe they will gain Apple as a customer until the release of an iWatch or similar device that absolutely requires InvenSense's best-in-class form factors and power usage. It's also possible that continued good news on their legal battles with ST Micro (STM) could move the stock.
Best European Companies To Own In Right Now: TotalFinaElf S.A.(TOT)
TOTAL S.A., together with its subsidiaries, operates as an integrated oil and gas company worldwide. The company operates through three segments: Upstream, Downstream, and Chemicals. The Upstream segment engages in the exploration, development, and production of oil and natural gas. It also involves in the transportation, trade, and marketing of natural gas and liquefied natural gas (LNG), as well as in LNG re-gasification and natural gas storage operations. In addition, this segment engages in the shipping and trade of liquefied petroleum gas (LPG); power generation from gas-fired power plants, nuclear, or renewable energies; production, trade, and marketing of coal, as well as in solar power systems and technology operations. As of December 31, 2010, it had combined proved reserves of 10,695 Mboe of oil and gas. The Downstream segment involves in refining, marketing, trading, and shipping crude oil and petroleum products. It also produces a range of specialty products, s uch as lubricants, LPG, jet fuel, special fluids, bitumen, marine fuels, and petrochemical feedstock. This segment holds interests in 24 refineries located in Europe, the United States, the French West Indies, Africa, and China, as well as operates a network of 17,490 service stations. The Chemicals segment produces base chemicals, including petrochemicals and fertilizers, as well as engages in rubber processing, resins, adhesives, and electroplating activities. TOTAL S.A. was founded in 1924 and is based in Paris, France.
Advisors' Opinion:- [By Arjun Sreekumar]
Some companies -- overwhelmed by the oil thefts, spills, and vandalism that have become commonplace in Nigeria -- have retrenched from their operations in the country, either partially or entirely. For instance, in November, French oil major Total (NYSE: TOT ) agreed to sell a 20% stake in an offshore Nigerian oil field to Chinese oil giant China Petrochemical (NYSE: SHI ) , also known as Sinopec, for roughly $2.5 billion. Shortly thereafter, in December, ConocoPhillips (NYSE: COP ) backed out of its operations in the country, selling its Nigeria unit to Toronto-listed Oando Energy Resources for about $1.79 billion in cash. �
No comments:
Post a Comment