| If Government Could Envision the Benefits of a World with Less Cars Ryan Avent submits: Last week, I left my Washington home, walked to the nearby Metro station, rode a train downtown, walked to the National Press Club, and settled in to hear Steven Rattner, former head of the Obama administration's auto task force, declare that "no one has yet invented a substitute for the automobile." This was like declaring in an airport terminal one's hope that man may someday enjoy heavier-than-air powered flight, but most of the heads in the audience nodded in agreement.Complete Story » seekingalpha.com |
Rays of Hypocrisy Shine Through Buffett's Burlington Acquisition Vitaliy N. Katsenelson, CFA submits: I have tremendous respect for Mr. Buffett. But every word that comes out of his mouth should not be looked upon as prophecy, or the gospel truth. I get a feeling that Buffett has been canonized into a value investor saint – investors and the media worship the ground he walks on and the air he breathes. The media are unable to get any critical quotes from his investors, and nobody wants to be caught disagreeing with the Oracle of Omaha – after all he’s been right more often than wrong – and so we only get positive puff pieces. On the rare occasion when Berkshire Hathaway (BRK.A) stock declines more than the market, you see an article asserting that “Buffett has lost his magic touch,” but these articles are usually followed by stellar performance by Berkshire. Though Buffett deserves admiration – he is brilliant and likable and he has achieved incredible returns for his investors over the last half-century – he should not be canonized, and not everything he does or says is the ultimate truth.Most investors agree with Buffett’s criticism of Kraft’s (KFT) decision to buy a fairly valued (or overvalued) Cadbury at 22 times earnings (over the past 15 years, its average price-to-earnings ratio has been 21), using Kraft’s undervalued stock. Cadbury runs a global, noncyclical confectionary business that, if properly managed, should have a very high return on capital. Buffett, a shareholder of Kraft, was very public about his dismay – he said he felt poorer when Cadbury accepted Kraft’s increased offer.Complete Story » seekingalpha.com |
Aerospace Calls Active on Korea Incident optionMONSTER submits: By: David Russell Option activity surged in aerospace companies such as Raytheon (RRN) and Lockheed Martin (LMT) on Friday after North Korea was suspected of sinking a South Korean naval vessel.Complete Story » seekingalpha.com |
Landstar System, Inc. Q2 2010 Earnings Call Transcript Landstar System, Inc. (LSTR)Q2 2010 Earnings Call TranscriptJuly 14, 2010 5:00 pm ETComplete Story » seekingalpha.com |
Boeing Dreams Big Zacks.com submits: Boeing Company (BA), with a steady recovery in the U.S. and Canadian economies, dreams big for its commercial airlines business. The bullishness was reflected in Boeing's 2010 North America (U.S. and Canada) market outlook forecast on September 2, 2010. Boeing forecasts that air carriers in North America will take delivery of about 7,200 new airplanes over the next 20 years at an investment of $700 billion. Paradigm Shift Boeing forecast a paradigm shift to the fortunes of the U.S. and Canadian airliners with the continuing recovery of the global economy leading to a steady improvement in demand for air travel as well as cargo. In the first half of fiscal 2010, the U.S. Gross Domestic Product (GDP) grew 3%. Going forward, we expect above-trend growth and a slowly declining unemployment rate.Complete Story » seekingalpha.com |