January sales: what have you been buying?

Last few weeks I bought more:

  • BOC (previously BOMN, Boston Omaha)
  • NNI

Also yesterday in the stock price carnage I bought RAVP (Raven Property Group Preferred) for avg of 80p a share (15% dividend)

Anyone else been buying?

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$boc + $nni here too

What’s your thesis on Raven? Purely income? Can they pay 15% long term?

Also with these picks - are you the same person I follow on Twitter :eyes:. ABI?

Firstly, Raven property group in current situation is going to be volatile and risky, it is a deep value play so I do not recommend anyone to go with it. However here is my basic thesis, and why I bought the preferred shares RAVP not the ordinary ones RAV (despite the ordinary ones being on my watchlist and focus for months).

Remember preferred dividends MUST be paid BEFORE ordinary share dividends can be, and this includes deferred preferred payments, see this text below from investopedia:

To issue dividends to common shareholders, the company must first pay back any dividends due to preferred shareholders. In some cases, a company may have the funds necessary to pay a common dividend but not to pay both preferred and common dividends. In this case, a company may choose to pay preferred dividends but suspend common dividends or decide to suspend all dividends entirely.

However, any preferred dividends that are deferred must be paid before any common dividends can be distributed. In this case, common dividends may be suspended indefinitely so the company can afford to pay preferred shareholders. Companies that have to suspend preferred dividends fight an uphill battle against ever-increasing overdue payments in subsequent years, so this is not a popular choice unless the company is in serious trouble.

The preferred shares have a fixed dividend of 12p a share, so as it came down to 80p it became a 15% yield, for the company this amount is a fixed cost, the dividend doesn’t increase and you get dividends before they even consider the ordinary share dividends (which recently they cut to do a kinda buyback for cash deal, complex anyway). Raven is like Tritax Big Box but in Russia, however they are based in UK and all the senior people are UK from what I see, also their chairman was chairman of Tritax Big Box for about 7+ years.

The ordinary shares will offer much more upside but with more risk, so I am keeping an eye but for now I opted for the preferred as if nothing goes wrong and you reinvest the dividends then you will double your holding in 5 years, or if you just take the cash out each year then get your money back in less than 7 years (whilst still owning the original shares). And there in lies the questions, what value would you place on something where you might get a 15% yield on your current spend for the rest of your life? The risk reward is complex but I feel one worth taking for me. If it plays out how I think it will then this may outperform most of my other investments (maybe even $BOC!)

Remember anyone reading this please do your own research, and know the risks, accept it may go to 0 like all investments and if you do buy then choose position sizing carefully.

I just topped up my AMD on Wednesday.
in my personal opinion, Semi conductor Chips will be needed irrespectively whether there is recessions, depression or war in Ukraine continue.

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Long term perhaps. Plenty of short term headwinds.

AMD being essentially a chip designer - no manufacturing, they’re somewhat isolated from these issues.

I’m also slowly starting to look into Unity Software Inc. (U) direction. Looks like it’s heading for some reasonable repricing.

Don’t have anything in my portfolio what could qualify as a “Gaming/Metaverse” stock except small positions in Apple and Corsair, so this might be an interesting addition to cover that space.

I finally bought some Netflix @ $330 yesterday.
I’m now friends with Bill Ackman.

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The sale continues:

Jesus, I should have titled this thread ‘2022 sales’. I abandoned ship on buying individual shares in favour of buying a boatload more of SMT at under £9.

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What’s anyone buying on FTSE this morning?

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I’ve bought forward my monthly contribution a few days to buy some more SMT and ATT.

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Picked up some more SMT. I hadn’t been keeping track of their portfolio recently so surprised to see SpaceX makes up 2 %. I also don’t remember their annual charges being so low (0.34 %).

I’ve also been adding to my MNKS position.

Bought more SMT and a few other index funds. Also I bought some more BABA. At these prices I can’t resist.

I’m curious as to people’s thoughts on the future of the FAGMAN stocks?

There was a nice write up in the FT at the weekend that perhaps Netflix is suffering from a market which has basically reached its peak. That Netflix may need to pivot or rethink its operations and revenue model if it is to continue growth. Anybody have any thoughts on this? Or perhaps it is just a blip - perhaps it is unrealistic for them to be profitable every quarter for 10 years.

As for Facebook, lord knows what they’re up to but it doesn’t look like a promising future in my opinion.

They were profitable in this one. Incredibly so. They grew revenue per subscriber at a greater level than those that left. 1% churn on a 10% price increase is very, very good, we’re just used to even better.

Netflix is in the frog boiling business. Get folk in cheap and slowly crank up the prices. We might have reached peak price here in the UK & US, folk might not go much higher, but in APAC, SA etc. na we’re just getting started. Netflix hinting they’ll add in some ad supported content is incredible news for shareholders who spot growth in those areas and know that as supported content is the best way to get meaningful contributions quickly, whilst the middle-classes flesh out.

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Ah, you’re right, it was subscriber loss, not revenue loss, that caused the drop.

I was a bit surprised to hear about the ad content subscription model to be honest. It seemed a core part of Netflix’ model was disrupting traditional media with no ads, and releasing content all at once. Then again, this is part of their growth strategy and possible pivoting I guess.

I think it will remain their policy, but for those who think the price is too much, watching a few adverts could make the price more manageable whilst mitigating damage to Netflix’s bottom line.

It hurts :smiling_face_with_tear:

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Thanks to Gods I didn’t have enough free funds to make any of those purchases. :joy:
Obviously there will be some good moment, might just DCA a little bit next month to make those a small percent of my portfolio.

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RIP Investment… :pleading_face:

Not touching growth or big tech until Apple/MSFT get back to pre covid levels…

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I really want a <$200 MSFT Have been wanting to add more for a while but always been highly valued last year or two.