AFIN, AX.UN:CA, BIREF, BK, CET, CUBE, CVA, FITB, FNCL, GDO, INFI, LGND

Economy: 

June New Residential Construction.pdf Privately owned housing starts last month were reported at a seasonally adjusted annual rate of 1.643M, a 6.3% increase from the downwardly revised May 2021 number and up 29.1% from June 2020.  Those numbers include apartments.  Single family home starts were up 28% Y-O-Y. 

Chart: Sticky Price Consumer Price Index less Food and Energy-St. Louis Fed

Sticky-Price CPI - Federal Reserve Bank of Atlanta ("The Atlanta Fed's sticky-price consumer price index (CPI)—a weighted basket of items that change price relatively slowly—increased 3.5 percent (on an annualized basis) in June, following a 4.5 percent increase in May. On a year-over-year basis, the series is up 2.7 percent.")

Chart: Median Consumer Price Index-St. Louis Fed

Median CPI: Latest Data

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Markets and Market Commentary: 

Is the Market Still Overvalued? - dshort - Advisor Perspectives

P/E & Yields

Shiller PE Ratio

Shiller PE Ratio - 150 Year Chart | Longtermtrends

Market Cap to GDP-The Buffett Indicator-Updated Historical Chart | Longtermtrends

OPEC, allies agree to fully end oil production cuts by September 2022 (7/18/21)

DoubleLine CEO Jeffrey Gundlach says dollar 'doomed' over the long term

Taiwan Semiconductor's Earnings Raise Doubts Over Outlook | Barron's

Don't Give Up on Value Stocks. 10 That Can Beat the Market. | Barron's Notes that Yardeni found that the S & P 500's Growth Index has a forward P/E 11.7 points higher than the Value Index or almost 3 times greater than the average differential over the past decade.  

iShares U.S. Medical Devices ETF (IHI) had a 6 for 1 stock split. I own shares but have not discussed my purchases here. (Sponsor's website: iShares U.S. Medical Devices ETF | IHI, expense ratio at .42%)

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Earnings Reports-Owned Stocks: 

Generally, bank earnings in the 2021 second quarter are benefiting from recapturing loan loss reserves taken in 2020. I just view that component of E.P.S. as meaning that earnings were not as bad as reported last year due to excessive loan loss reserves and are not as good as they appear now. 

For most of the reports that I have reviewed, net interest margin ("NIM") has declined from the 2020 second quarter due to the FED's extremely abnormal monetary policies. 

American Electric Power (AEP) Reports Strong Second-Quarter 2021 Earnings (Non-GAAP net income of $589.5M or $1.18 per share with the consensus at $1.133 per share per Fidelity; GAAP E.P.S. at $1.16; revenue at $3.8B; "reaffirmed its 2021 operating earnings guidance range of $4.55 to $4.75 per share.")

Avangrid (AGR)(Non-GAAP net income of $122M or $.35 per share, missing estimates due to May 2021 issuance of 78M shares; "Given its strong first half performance and its outlook for the remainder of the year, AVANGRID is increasing its 2021 U.S. GAAP and non-U.S. GAAP Adjusted Net Income outlook to $700-$765 and $730-$795 million, respectively. U.S. GAAP and non-U.S. GAAP earnings per share are expected to be in the range of $1.95-$2.14 per share and $2.04-$2.22 per share, respectively. Earnings per share used in the updated outlook reflect the May 2021 share issuance of approximately 78 million shares which increases AVANGRID's weighted average shares to 358 million for the full year 2021. The Company's previous earnings per share outlook assumed 309.5 million shares. In addition, these outlook ranges assume the close of the PNM Resources merger occurs at the end of 2021."; the stock was sold at $51.4 per share to a wholly owned subsidiary of the Qatar Investment Authority and to AGR's majority shareholder Iberdrola- 8-K)  

BCB Bancorp, Inc. (BCBP) Earns $8.1 Million in Second Quarter (net income of $8.1M; E.P.S. = $.45 with consensus at $.40; increased quarterly dividend by 2 cents to $.16 per share; efficiency ratio 48.9%; NIM = 3.47%; ROA = 1.12%; ROE = 12.6%; Coverage Ratio = 169%; NPL Ratio = .94%; tangible book value per share = $13.32)

Citizens Financial (CFG) SEC Filed Earnings Press Release (E.P.S. of $1.44 with the consensus E.P.S. at $1.104 per Fidelity; net income $648M; efficiency ratio = 62%; NIM = 2.72%, down from 2.88% in the 2020 second quarter; ROTE = 17.5%; ROA = 1.41%; Charge off Ratio = .25%; NPL Ratio = .64%; Coverage Ratio = 267%; total capital ratio 13.5%; tangible book value per share = $33.95

First Horizon (FHN) SEC Filed Press Release (net income of $295M or $.53 per share; non-GAAP E.P.S. was $.58 which excludes 5 cents per share of items related to FHN's acquisition of Iberiabank; consensus E.P.S. at $.435 per Fidelity; NIM = 2.47%, down from 2.9% in the 2020 second quarter; net recoveries of .07%; adjusted ROTE = 22.2%; adjusted ROA = 1.54%; adjusted efficiency ratio = 59.17%; NPL Ratio = .61% total capital ratio = 13.21%)

F.N.B. Corp. (FNB) SEC Filed Earnings Press Release (E.P.S. of $.31 with the consensus at $.288 per Fidelity; NIM = 2.7%, down from 2.88% in the 2020 second quarter; efficiency ratio = 56.83%; ROE = 8.14%; ROTE = 15.85%; ROA = 1.01%; NPL Ratio = .51%; coverage ratio 278.2%; Charge off ratio = .06%; tangible book value per share = $8.2) 

Hope Bancorp (HOPE) Reports 2021 Second Quarter Financial Results (net income of $53.8M or $.43 per share; consensus at $.382 per share per Fidelity; NIM = 3.11%, up from 2.79%; efficiency ratio = 53.12%, up from 55.27% in the 2020 second quarter; ROA= 1.25%; ROE 10.41% ROTE =13.5%; Charge off ratio = .35%; Coverage Ratio = 113.36%; NPL Ratio = 1.24% (high); total risk based capital ratio = 13.16%)

IBM Reports 2021 Second-Quarter Results {GAAP E.P.S. continuing operations = $1.47; operating E.P.S. = $2.33 beating the consensus estimate of $2.29 per Fidelity; revenues up 3% to $18.7B but flat adjusted for divested businesses and currency; free cash flow - $1B; "GAAP earnings per share results include a ($1.58) per-share impact for charges related to amortization of purchased intangible assets and other acquisition-related charges, retirement-related charges, U.S. tax reform enactment impacts, and transaction costs associated with the Kyndryl separation. The impact of the Kyndryl separation costs was ($0.20) per share." I am down to 9 shares with an AC of $106.37 per share, see Item # 2.M. Sold 1 IBM at $151.33} 

KeyCorp (KEY) SEC Filed Press Release (net income of $698M or $.72 per share with the consensus at $.72 per share; NIM 2.52%, down from 2.76% in the 2020 second quarter; ROTE = 22.34%; ROE = 18.34%; ROA = 1.64%; Charge 0ff ratio = .09%; Coverage Ratio = 175.8%; NPL Ratio = .69%; total capital ratio 123.2%) 

M&T Bank Corporation (MTB) Announces Second Quarter Results (GAAP net income of $458M or $3.41 per share includes $.02 per share in merger related expenses; consensus E.P.S. at $3.616 per Fidelity; ROA = 1.22%; ROE = 11.55%; ROTE = 16.68%; NIM = 2.77%, down from 3.13% in the 2020 second quarter; efficiency ratio = 58.4%; Charge off ratio = .19%; NPL Ratio = 2.31%, up from 1.18% in the 2020 second quarter). I have changed my opinion to negative based primarily on the extremely high and growing NPL ratio which calls into question management's competence. This is the worst regional bank report that I have reviewed so far. MTB will soon be acquiring PBCT, which I also own. PBCT reported a NPL ratio of .79% for the 2021 second quarter. People's United Financial Reports Second Quarter Net Income of $170.8 Million, or $0.39 per Common Share 

National Bankshares (NKSH) SEC Filed Press Release (E.P.S. = .74 vs. consensus at $.70 per Fidelity; NPL Ratio = .47%; NPA Ratio = .6%; ROA = 1.15%; ROE = 9.77%; NIM 2.72% down from 2.9% in the 2020 second quarter; Efficiency Ratio = 52.66%)

Novartis (NVS) SEC Filed Earnings Press Release (Core E.P.S. = $1.66; consensus at $1.534 per Fidelity; free cash flow of $4.2B; revenues of $12.956B) 

Seagate Technology (STX) Reports Fourth Quarter and Fiscal Year 2021 Financial Results (GAAP E.P.S. $2.07; Non-GAAP E.P.S. = $2 beating the consensus of $1.84; revenues up 20% to $3B; company bought back 2.6M shares in the quarter; free cash flow of $354M for the quarter; 2021 F/Y ending 7/2/21 GAAP E.P.S. $5.36 with Non-GAAP at $5.64 compares to $4.95 in F/Y 2020;  Non-GAAP E.P.S. guidance for the 2022 fiscal first quarter is $2.20 plus or minus 15 cents; declared quarterly dividend of $.67 per share) 

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Trump PAC has not used any of the $75M its raised this year to help fund election audits: report | TheHill; Trump’s PAC collected $75 million this year, but so far the group has not put money into pushing for the 2020 ballot reviews he touts - The Washington Post Just another scam by Don the Con. 

Debunking Trump's Latest Arizona Election Claims - FactCheck.org Donald is incapable of being truthful.   

Several Arizona Republicans continue to make false claims in furtherance of their brazenly bogus audit of the November 2020 Maricopa County election results. This is to be expected from them. Fact check: Arizona audit chief baselessly raises suspicion about 74,000 ballots; Arizona GOP Official Slams Cyber Ninjas' 'Simply Not Accurate' Election Numbers; Arizona election auditors say they don't have enough information to finish report - CBS News; The Republicans are trying to prevent any independent scrutiny of what they are doing. Arizona's Bizarre Election Audit Likely Can't Keep Documents Secret, Judge Rules I would note that the Maricopa Election Board of Supervisors has 5 members and 4 of them are Republicans. Those republicans signed off on the validity of the reported results.  GOP-dominated Arizona board of supervisors call for end to election audit - CBS News

Trump attacks Republican who has criticized Arizona audit | TheHill

Republican Arizona State Senator Wendy Rogers (R) Calls for New Election, Says Biden Electors Must Be Recalled The idea is to keep holding elections until Donald  wins.   

More Trump Election Distortions - FactCheck.org This is to be expected from the sociopathic leader of America's anti-democracy party. 

Trump Supporter: Capitol Rioters 'There to Overthrow the Government': Book The Republicans who stormed the Capitol knew that Congress had convened to receive the certified election results and wanted at a minimum to disrupt the Constitutional process confirming Biden as the next President.   

Florida man gets 8 months in prison in 1st felony sentence from Capitol riot The felony is obstructing an official proceeding which carries a maximum sentence of 20 years.  

“You’re Gonna Have a Fucking War”: Mark Milley’s Fight to Stop Trump from Striking Iran | The New Yorker; Top U.S. general feared Trump would attempt coup after election loss, new book says - CBS News

A Republican's unwillingness to accept Trump's Big Election Lie will lead to ouster from party positions. Jason Roe, Michigan GOP official critical of Trump, resigns from executive director post - The Washington Post A refusal to lie is not permitted in Trump's party since lying all of the time about almost everything is Trump's new "conservative" value. 

General Milley warned of 'Reichstag moment' in final days of Trump's presidency, new book says - The Washington Post

Vaccine hesitancy becomes vaccine hostility as opposition to shots hardens - The Washington Post

How Republican Coronavirus Vaccine Opposition Got to This Point - The New York Times 47% of Republicans said in a recent poll that they were not likely to get vaccinated. Post-ABC poll finds Biden popular but Republicans resisting the coronavirus vaccine. - The Washington Post In TrumpWorld, it is Biden's fault that they refused to be vaccinated.   

Four Pinocchios for GOP Senator Ron Johnson’s campaign of vaccine misinformation - The Washington Post

Details of what happened on Jan. 6 : ‘I Alone Can Fix It’ book excerpt - The Washington Post This is an excerpt from this recently published book: I Alone Can Fix It: Donald J. Trump's Catastrophic Final Year  The book has almost a minute by minute account of what happened on 1/6/21. 

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1. Added 100 AX.UN:CA at C$11.53: 

Quote: Artis Real Estate Investment Trust - A Canadian REIT that owns property located in Canada and the U.S. Portfolio Map – Artis REIT

Website: Artis REIT

Artis has been selling properties with the most recent transaction being the disposition of 26 properties in the Greater Toronto Area, raising C$696.7M. Two additional industrial properties in that geographic area will soon by sold for C$53.3M in gross proceeds. "The total sale price for the portfolio of $750.0 million represents a price per square foot of $297. After adjusting for one outstanding mortgage of approximately $15.2 million and anticipated closing costs, the transaction will generate total net proceeds of approximately $734 million, exceeding the REIT's most recently reported International Financial Reporting Standards fair value of $550.7 million by 36.2%." Artis Real Estate Investment Trust Closes the Sale of GTA Industrial Portfolio

Investment Category: Equity REIT Common and Preferred Stock Basket Strategy

I currently own 200 shares of the CAD price units. 

My last trade was to sell all of my ARESF units. Item # 1 Eliminated ARESF-Sold 280 at US$8.51 (12/25/20 Post)(profit snapshot = $77.08)  

Dividend: Monthly at C$.05 per share

Distribution History – Artis REIT

Artis Real Estate Investment Trust Announces Monthly Cash Distribution

Yield at C$11.54 TC = 5.2%

Last Earnings Report (Q/E 3/31/21): Artis Real Estate Investment Trust Releases First Quarter Results and Q1-21 MDA:

Reconciliation of Net Income to FFO and AFFO 

Portfolio Dispositions 1st quarter: 

Last Round-Trips on CAD priced units:  Item # 3.A. Pared Artis REIT: Sold 200 AX-UN.CA at C$12.94 (3/8/17 Post); Item # 1 Sold 300 AX-UN:CA at C$15.71 (9/26/14 Post)

Other Material Recent News: Artis Real Estate Investment Trust Enters Into Agreement with Sandpiper Asset Management Inc.

2. Small Ball: 

A. Added to CET in Schwab Account-Bought 2 at $42.07:

Quote: Central Securities Corp

Sponsor's website: Central Securities Corporation

CET SEC Filings

SEC Filing-Holdings as of 3/31/21 

SEC Filed Annual Report 

Largest Investments as of 12/31/2020: 

As explained in a 7/2/21 comment, this purchase resulted from a brain malfunction. 

Last Discussed: Item # 1.L. Started CEF in Fidelity Taxable Account-Bought 5 at $32.03 (1/16/21 Post) I still own those shares. As previously discussed, the largest holding is in the private company Plymouth Rock that had a cost basis of $710+K and an estimated market value of $241.604M as of 3/31/21. CET sells shares back to Plymouth Rock from time to time.  

Schwab Account Position: 7 shares with an average cost of $34.83 per share.  

Data as of 6/30/21 (updated weekly): 

Closing Net Asset Value per share: $50.17

Closing Market Price:  $42.19

Discount: -15.91%

Average 5 year discount: -17.28%

Sourced: CET-CEF Connect 

B. Started AFIN in Vanguard Taxable-Bought 20 at $8.38; 5 at $8.16; 5 at $8: 

Quote: American Finance Trust, Inc. Cl A (AFIN)-Externally Managed REIT

AFIN SEC Filings

10-Q for the Q/E 3/31/21

2020 Annual Report

Investment Category: Equity REIT Common and Preferred Stock Basket Strategy

Last Discussed: Item # 1.B. Bought 50 AFIN at $9; 10 at $8.3-Fidelity Taxable (7/2/21 Post) I have nothing substantive to add to that recent discussion. 

AC this Account: $8.28  (30 shares)

Dividend: Quarterly at $.2125 per share ($.85 annually)

Yield at $8.28 = 10.27%

Last Ex Dividend: 7/9/21

In this Vanguard account, I owned 20 of the 30 shares on the ex dividend date and received a cash dividend of $4.25: 

C. Pared GDO in Fidelity Taxable-Sold 10+ at $18.62: 

Quote: Western Asset Global Corp Defined Opportunity Fund Inc.  (GDO)-A Leveraged Bond CEF that will liquidate on or about 12/2/24. 

GDO SEC Filings 

Sponsor's Website: WA Global Corporate Defined Opportunity Fund Inc.

Western Asset Global Corporate Defined Opportunity Fund Inc. (GDO)-SEC Filed Shareholder Report for the period ending 4/30/21 (cost $344.255+M/Value then at $384.164+M) 

Leverage Details as of 4/30/21: 

Profit Snapshot: +$16.47

New AC per share this Account: $15.12 (56+ shares)

Snapshot Intraday on 7/1/21 after pare

The average cost per share was reduced from $15.42. 

Snapshot Intraday 7/1 before pare

Dividend: Monthly at $.101 per share ($1.212 annually)

Yield at $15.12 = 8.02%

Data Date of 7/2/21 Trade: 

Closing Net Asset Value Per Share: $18.67

Closing Market Price: $18.62

Discount: -.27% (7/2/21 NAV per share and $18.62 closing price)

Average 5 Year Discount. = -6.59%

Sourced: GDO-CEF Connect 

Last Elimination: Item # 1.B. Eliminated GDO-Sold 224+ at $16.47-Used Commission Free Trade (3/3/19 Post)(contains snapshot of prior trades)

Recent Buy Discussions: Item # 1.A. Bought 100 GDO at $16.72 in Schwab Taxable Account (11/7/2020 Post)(I still own that 100 share lot); Item # 2.A. Added 35 GDO at $16.78; 5 at $15.6: 5 at $14.34; 5 at $13.75; 5 at $12.3; 5 at $11.4 (4/11/20 Post)

D. Bought 1 LGND at $119.5:

Quote: Ligand Pharmaceuticals Inc. 

Ligand "is a revenue-generating biopharmaceutical company focused on developing or acquiring technologies that help pharmaceutical companies discover and develop medicines. Our business model creates value for stockholders by providing a diversified portfolio of biotech and pharmaceutical product revenue streams that are supported by an efficient and low corporate cost structure. . . . We partner with other pharmaceutical companies to leverage what they do best (late-stage development, regulatory management and commercialization) to ultimately generate our revenue. Ligand’s OmniAb® technology platform is a patent-protected transgenic animal platform used in the discovery of fully human mono- and bispecific therapeutic antibodies. The Captisol platform technology is a patent-protected, chemically modified cyclodextrin with a structure designed to optimize the solubility and stability of drugs. Ligand’s Protein Expression Technology is a robust, validated, cost-effective and scalable platform for recombinant protein production, and is especially well-suited for complex, large-scale protein production where traditional systems are not suitable. Ab Initio™ technology and services for the design and preparation of customized antigens enable the successful discovery of therapeutic antibodies against difficult-to-access cellular targets. Ligand has established multiple alliances, licenses and other business relationships with the world’s leading pharmaceutical companies including Amgen, Merck, Pfizer, Sanofi, Janssen, Takeda, Servier, Gilead Sciences and Baxter International."

LGND Analyst Estimates | MarketWatch

I discussed this company in a 7/19/21 comment. 

Ligand Pharmaceuticals Inc. Profile | Reuters

Ligand Pharmaceuticals Inc. Key Metrics | Reuters

News Released After Purchase: 

Ligand Partner Jazz Pharmaceuticals Launches RYLAZE™ (asparaginase erwinia chrysanthemi (recombinant), Formerly JZP458 (7/21/21)("Under the terms of the license agreement with Jazz Pharmaceuticals, Ligand received a $2 million payment upon FDA’s acceptance for review of the product BLA and is entitled to receive a $5 million payment upon the first commercial sale following launch. Ligand is eligible to receive up to an additional $155.5 million in milestone payments and tiered low to mid-single digit royalties based on worldwide net sales of any products resulting from this collaboration, including Rylaze.") 

Ligand’s Partner Merck Receives FDA Approval for VAXNEUVANCE™ for the Prevention of Invasive Pneumococcal Disease in Adults Caused by 15 Serotypes (7/19/21) LGND will receive a $2M milestone payment and a low single digit royalty.  This revenue stream was acquired by LGND through its purchase of Pfenex last year, which is discussed below. 

5 Year Chart: 

52 week high of $219.75

52 week low of  $  78.26

Extremely Volatile 

Investment Category: Lottery Ticket Basket Strategy 

I was not aware of LGND until I researched Viking Therapeutics, Inc. (VKTX) which I discussed in this post: Item # 1.M. Bought 10 VKTX at $5.88-Lotto (7/2/21 Post) 

I noted when reviewing Vikings 2020 Annual Report that it had licensed its compounds from Ligand. VKTX Annual Report at pp. 10-12 As partial consideration for the license, VKTX issued LGND 3,665,964 shares and will make milestone payments and pay a royalty when and if the compounds are approved for marketing. The financial risk is assumed by VKTX and its shareholders while LGND is entitled to money when and if VKTX achieves certain regulatory milestones and/or starts to generate revenues from an approved product subject to the license agreement. 

When I looked at LGND's 2020 Annual Report, I noted that it had 130 partnerships or license agreements with other pharmaceutical companies (and 10 more that remain secret). The list starts at page page 7. 

Royalty Table The royalties generating the most revenues in the 2021 first quarter were paid for sales of Amgen's Kryprolis (tiered) and Evomela (at 20%).  

10-Q at page 11 

In addition, LGND has several compounds that it is advancing in clinical or pre-clinical trials. Page 21    

Pfenex Acquisition: On 10/1/2020, LGND acquired Pfenex for "$429.6 million cash consideration paid upon acquisition, and a contingent CVR payment of up to $77.8 million in cash based on a certain specified milestone with an estimated initial fair value of $37.0 million. The CVR will only be paid in full if the milestone is achieved by December 31, 2021." This is a large acquisition for LGND. Ligand Completes Acquisition of Pfenex Inc. (the "acquired business is forecasted to generate $30 million of total revenue in 2021 and double that amount, or $60 million, in 2023. Royalties are expected to be the major component of total revenue and are forecasted to increase Ligand’s royalty revenue by approximately 50% starting by the end of 2021 assuming approval of the programs partnered with Jazz and Merck. The newly acquired business is expected to be accretive to Ligand in 2021 and contribute $1.50 in adjusted earnings per share in 2023.") Pfenex was a publicly traded company. (last filed 10-Q) The Pfenex agreement with Jazz Pharmaceuticals is discussed at page 19 of that SEC filing. 

Dividend: None and none likely for the foreseeable future. 

Last Earnings Report (Q/E 3/31/21): 

During the quarter, Ligand reported $31.3M in Captisol revenues, which is used in the manufacture of remdesivir. Captisol "is a patent-protected, chemically modified cyclodextrin with a structure designed to optimize the solubility and stability of drugs."

Net Income: $18.1M

E.P.S. $1.05

Adjusted Net Income: $24.3M

Adjusted E.P.S. = $1.41

GAAP to Non-GAAP Adjustments: 

The largest single adjustment is to add back to net income share based compensation which amount to $.49 per share.  

Cash, cash equivalents, and short term investments: $339.207M

FDA approves Sarclisa® (isatuximab) in combination with carfilzomib and dexamethasone for patients with relapsed or refractory multiple myeloma - Sanofi

2020 4th Quarter Report 

Broker Reports (available to Schwab Customers): 

Argus (5/10/21): Hold 

Maximum Position: 5 shares

Purchase Restriction: Each subsequent purchase must be at the lowest price in the chain. 

E. Pared CUBE-Sold 3 at $47.49:

Quote: CubeSmart

CUBE is "a self-administered and self-managed real estate company focused primarily on the ownership, operation, management, acquisition and development of self-storage properties in the United States."

Investment Category: Equity REIT Common and Preferred Stock Basket Strategy

Corporate Profile

SEC Filings

10-Q for the Q/E 3/31/21 (debt listed and discussed starting at page 23)

2020 Annual Report (As of 3/31/21, CUBE "owned 543 self-storage properties located in 24 states and in the District of Columbia containing an aggregate of approximately 38.5 million rentable square feet. As of December 31, 2020, approximately 92.3% of the rentable square footage at our owned stores was leased to approximately 340,000 customers, and no single customer represented a significant concentration of our revenues. As of December 31, 2020, we owned stores in the District of Columbia and the following 24 states: Arizona, California, Colorado, Connecticut, Florida, Georgia, Illinois, Indiana, Maryland, Massachusetts, Minnesota, Nevada, New Jersey, New Mexico, New York, North Carolina, Ohio, Pennsylvania, Rhode Island, South Carolina, Tennessee, Texas, Utah and Virginia. In addition, as of December 31, 2020, we managed 723 stores for third parties (including 105 stores containing an aggregate of approximately 7.5 million net rentable square feet as part of five separate unconsolidated real estate ventures) bringing the total number of stores we owned and/or managed to 1,266. As of December 31, 2020, we managed stores for third parties in the District of Columbia and the following 38 states: Alabama, Arizona, California, Colorado, Connecticut, Florida, Georgia, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Nevada, New Hampshire, New Jersey, New Mexico, New York, North Carolina, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, Tennessee, Texas, Utah, Vermont, Virginia, Washington and Wisconsin." Page 6)

Last Buy Discussion: Item # 2.E. Bought 19 CUBE at $22, 2 at $21.55, 1 at $19.74 (4/25/20 Post) 

Profit: $77.16 (3 shares)

Average cost per share after pare = $21.25 (10 shares)

Snapshot Intraday 7/6/21 after pare

Dividend: Quarterly at $.34 per share ($1.36 annually)

Yield at new AC = 6.4%

Last Ex Dividend: 6/30/21

Last Earnings Report (Q/E 3/31/21): SEC Filed Press Release 

Net Income to FFO Computations: 

2021 Guidance: 

F. Eliminated BIREF-Sold 100 at US$4.07: 

Quote: Birchcliff Energy Ltd. (USD Priced Ordinary Shares: Pink Sheet Exchange) 

Profit Snapshot: +US$31.12

As with other small Canadian E & P companies, BIREF's price collapsed in response to lower energy demand resulting from the pandemic. The dividend, a main reason for owning the stock was slashed and consequently I was looking for an exit price where I could unload the position profitably. 

Website: Birchcliff Energy

Our Operations 

Common Share Dividends (slashed effective for the 2020 second quarter)

Birchcliff Energy Ltd. Announces Q1 2021 Financial and Operational Results 

G. Pared FITB Again-Sold 2 at $37.14: 

Quote: Fifth Third Bancorp   (FITB)

FITB SEC Filings

FITB Analyst Estimates | MarketWatch

2020 Annual Report

Profit Snapshot:  $29.8 (7/7/21 sale only)

New Average Cost per share this account: $16 (12 shares)

Snapshot Intraday 7/7/21 after pare 

Dividend: Quarterly at $.27 per share ($1.08), last raised from $.24 effective for the 2020 first quarter payment. 

Yield at new AC  =  6.75%

Last Ex Dividend: 6/29/21

Last Earnings Report (Q/E 6/30/21): Fifth Third Announces Second Quarter 2021 Results 

Net Income: $674M

Diluted E.P.S. = $.94

Consensus E.P.S. at $.806

NIM = 2.63%, down from 2.75% in 2020 2nd Q

Efficiency Ratio: 59.1%

ROA = 1.38%

ROE = 13%

ROTE = 16.6%

NPA Ratio: .61%

NPL Ratio: .58%

Coverage Ratio: 358%

Charge Off Ratio: .16%

Tangible Book Value Per Share: $23.34

Sell Discussions: Item # 1.J. Sold 1.977 FITB at $39.13 (4/9/21 Post); Item # 2.A. Sold 50 FITB at $24.57 (7/3/17 Post)(profit snapshot = $443.21); Item # 2.C. Sold 50+ FITB at $27.53 (2/27/17 Post)(profit snapshot =$481.05); Item # 1.F. Pared FITB in Fidelity Taxable-Sold 16 at $30.14; 4 at $32.21-highest cost lots (1/30/21 Post); Item # 1.I. Pared FITB-Sold 5 at $33.48 (3/6/21 Post) 

FITB Realized Gains to Date: $1,120.08  ($1,090.28 prior trades)

 

H. Bought 30 INFI at $2.8: 

Quote: Infinity Pharmaceuticals Inc. (IFNI) 

INFI Analyst Estimates | MarketWatch (losses)

INFI SEC Filings 

INFI 2020 Annual Report 

INFI 10-Q for the Q/E 3/31/21 (loss of $11.629M)

Website: Infinity Pharmaceuticals

Our Pipeline - Infinity Pharmaceuticals, Inc  INFI has several ongoing clinical trials that involve the compound called Eganelisib. If those trials fail, the stock is toast IMO. 

Last Public Share Offering: In February 2021, the company "entered into a purchase agreement with Piper Sandler & Co., as representative of the underwriters named therein, pursuant to which we issued and sold to the underwriters in an underwritten public offering an aggregate of 24,150,000 shares of our common stock, including 3,150,000 shares of common stock sold in connection with the exercise in full of a 15% over-allotment option by the underwriters. The public offering price was $3.80 per share. The gross proceeds to us from this offering were approximately $91.8 million. After underwriting discounts and commissions and estimated offering expenses, we received net proceeds from the offering of approximately $85.8 million."

Cash and Cash Equivalents as of 3/31/21: $106.8M  

INFI expects "to continue to spend significant resources to fund the development and potential commercialization of eganelisib, also known as IPI-549, an orally administered, clinical-stage, immuno-oncology product candidate that reprograms macrophages through selective inhibition of the enzyme phosphoinositide-3-kinase-gamma, or PI3K-gamma, and to incur significant operating losses for the foreseeable future." Page 7, 10-Q

Investment Category: Blackjack hand, part of Lottery Ticket Basket Strategy

Last Loss Report (Q/E 3/31/21): SEC Filed Press Release 

Updates from clinical trials are expected on 7/27. 

I. Pared FNCL-Sold 2 at $51.91: 

Quote: Fidelity MSCI Financials Index ETF Overview

Sponsor's Website: FNCL | ETF Snapshot - Fidelity

Expense Ratio: .084%

Last Discussed: Item # 1.I. Added 1 FNCL at $33.17 (10/17/20 Post); Item # 1.L. Restarted FNCL-Bought 5 at $35.28, 1 at $34.71 (9/19/20 Post)

Holdings as of 7/16/21 with greater than a 1% weighting: 

Of the stocks included in the preceding snapshot, I currently have position in J.P. Morgan (JPM), Berkshire Hathaway (BRK/B), Bank of America (BAC), Morgan Stanley (MS), U.S. Bancorp (USB), and Truist Financial (TFC). 

Profit snapshot: +$33.25

New Average Cost per share: $34.74

Snapshot Intraday on 7/7/21 after pare  

Dividend: Quarterly at a variable rate

Last Ex Dividend: 6/18/21

Prior Sell Discussions: Item # 4.F. Sold 50 FNCL at $34.47 (2/10/2017 Post)(profit Snapshot = $278.53); Item # 2 Sold 60 FNCL at $28.75 (1/6/2015 Post)(profit snapshot = $135.71)

FNCL Realized Gains to Date: $447.49 

J. Pared BK in Fidelity Taxable-Sold 1.081 at $50.36:

Quote: Bank of New York Mellon Corp.

BK SEC Filings

BK Analyst Estimates | MarketWatch

I also own BK in my Schwab and Vanguard taxable accounts. 

Vanguard 10 shares at an AC of $36.07

Schwab 5 Shares AC at $34.61

Last Buy Discussions: Item # 1.L. Added to BK-Bought 3 at $34.81 (10/3/20 Post); Item # 1.G. (9/12/20 Post)

Profit Snapshot: $15.49 (7/12/21 sale only) 

New AC Fidelity Taxable Account = $34.48 (4 shares)

Snapshot Intraday on 7/12/21 after pare

Dividend: Quarterly at $.34 per share ($1.36 annually), raised from $.31 effective for the 2021 third quarter payment.  

Yield at $34.48: 3.94%

Next Ex Dividend: 7/26/21

Last Earnings Report (Q/E 6/30/21): BNY Mellon Reports Second Quarter 2021 Earnings Of $991 Million Or $1.13 Per Common Share  

E.P.S. of $1.13 with the consensus at $1 per Fidelity; 

repurchased 12.8M shares; 

total revenue decreased by 1%;

fee revenue increased by 4% and at +10% excluding money market waivers which is costing this bank a lot of money; 

ROE =10%; 

ROTE = 19%; 

investment and wealth management revenue up 13% with AUM up 18% to $2.3T; 

increased quarterly dividend by 10% to $.34 per share

Broker Reports (available to Schwab customers): 

Morningstar (7/15/21): 3 stars with a $49 FV, rated as wide moat

Credit Suisse (7/15/21): Outperform, raises PT to $56 from $54   

S & P (7/16/21): 3 stars with a 12 month PT of $52

Argus  (7/20/21): Buy, upgraded from Hold. 

K. Eliminated CVA-Sold 2 shares at $18.84 and 15+ at $19.94: 

Quote: Covanta Holding Corp.

I discussed this elimination in a 7/14/21 comment. 

After I sold the 2 shares at $18.84, CVA announced that it had agreed to be acquired by EQT Infrastructure for $20.25 per share. EQT Infrastructure to acquire Covanta Holding Corporation, a global leader in Waste-to-Energy solutions, for $20.25 per share

Profit Snapshot: +$473.23 (includes prior 2021 sales in this account) 

Last Discussed: Item # 1 Sold 102 CVA at $17.51 (6/25/21 Post) 

Disclaimer: I am not a financial advisor but simply an individual investor who has been managing my own money since I was a teenager. In this post, I am acting solely as a financial journalist focusing on my own investments. The information contained in this post is not intended to be a complete description or summary of all available data relevant to making an investment decision. Instead, I am merely expressing some of the reasons underlying the purchase or sale of securities. Nothing in this post is intended to constitute investment or legal advice or a recommendation to buy or to sell. All investors need to perform their own due diligence before making any financial decision which requires at a minimum reading original source material available at the SEC and elsewhere. A failure to perform due diligence only increases what I call "error creep". Stocks, Bonds & Politics: ERROR CREEP and the INVESTING PROCESS Each investor needs to assess a potential investment taking into account their personal risk tolerances, goals, and situational risks. I can only make that kind of assessment for myself and my family members.