Economy:
For home sales last year, about one third were purchased using cash. See how all-cash offers dominate the housing market near you - Washington Post
That is consistent with Census data which has shown for well over a decade that about 1/3 of U.S. homes are owned free and clear of debt. Back in 2011, I referred to that data to highlight that the debt to disposable income data, which included those households having no mortgage debt, was actually a far more serious problem in 2007. Debt Burden of the American Household (6/14/2011 Post)
While the debt to disposable income ratio was at an all time high near 134% back in the 2007 4th quarter, the ratio would have been far more worrisome excluding those households with no debt.
Treasury Yield Curve February 2023:
Ten Year TIP Real Yield 2/10/23 = 1.41%
Breakeven Inflation Ten Year TIP = 2.33%
VMFXX-Vanguard Federal Money Market Fund: 7 day yield at 4.49% as of 2/9/23
If the Bond Ghouls are correct in predicting a 25 basis point FF increase on 3/22 and another .25% hike on 5/3, I would expect VMFXX to exceed a 5% yield sometime in May.
 |
| 3/22/23 Fed Meeting |
 |
| 5/3/23 Fed Meeting |
+++
Allocation Shifts Discussed in this Post:
Treasury Auctions: +$10,000 principal amount
Treasury Secondary Market Purchases: +$3,000 principal amount
Corporate Bonds: +$1,000 principal amount
Treasuries and Corporate Bonds: +$14,000
Individual Common Stocks: -$6,400.76
(Consisting of $6,487.56 in proceeds minus $86.8 purchase)
Realized Gains Common Stocks: +$953.42
2023 Y-T-D: U.S. Individual Common Stocks Net Outflow: -$17,543.15
2023 Y-T-D Stock Funds Net Outflow: -$3,998.02
2023 Y-T-D Net Outflow U.S. Stocks and Stock Funds: -$21,541.17
My primary goal is capital preservation followed by income generation. The existence of risk free income investments that yield 4%-5% is causing me to shift some money out of stocks. I would not characterize the Y-T-D shift as significant so far.
++++
Putin and His Servile Russian Orcs:
The U.S. State Department advised all U.S. citizens to immediately leave Russia:
Travel Advisory: Russia – Do Not Travel - U.S. Embassy & Consulates in Russia
Putin implicated in 2014 downing of Malaysia passenger jet that killed 298 - The Washington Post
Russia Releases Bizarre Statement About Targeting UK After Zelenskyy's Visit
Vuhledar: Mauling of Russian forces in Donetsk hotspot may signal problems to come | CNN
Wagner fighters in Ukraine recount the horrors of battle | CNN
Putin Ally Vladimir Solovyov Says U.S. Will Become Strait Named After Stalin for Ukraine War Solovyov is the most popular commentator on Russian television. Goebbels of Russia - Vladimir Solovyov - YouTube
Putin Ally Calls for Striking Parliament in London: 'No More Red Lines'
Putin TV is reminiscent of Goebbels' Nazi propaganda efforts, which is to be expected, but with a slick presentation format stolen from Fox "news". Solovyov frequently threatens the west with nuclear annihilation.
Russia acting to destabilise Moldova: Chisinau – EURACTIV.com
The monthly minimum wage in Russia is currently 16,242 Rubles. Russia: monthly minimum wage 2023 | Statista That translates into about US$220 per month.
Last week, Russia's Dear Leader chastised Robert Urazov, a government official, for not recognizing that Russia was the best country in the world. The official then apologized after the reprimand. Putin Reprimands Kremlin Official During Tense Exchange
The exchange is reminiscent of a scene in 1984: "How many fingers am I holding up, Winston?" | 1984 - YouTube In that scene, party member O'Brien is torturing Winston Smith. O'Brien extends 4 fingers and asks Smith how many fingers does he see. Smith replies: “Four! Four! What else can I say? Four!” O'Brien inflicts more excruciating pain. Finally, Smith says he sees 5 fingers, and O'Brien continues the torture, telling Smith “ No, Winston, that is no use. You are lying. You still think there are four.”
+++
Trump and His Party:
Trump campaign paid researchers to prove 2020 fraud but kept findings secret - The Washington Post The researchers "disputed many of his theories and could not offer any proof that he was the rightful winner of the election". Consequently, Donald decided to keep the report secret.
After helping MBS’s rise, Trump and Kushner benefit from Saudi funds - The Washington Post The new House Oversight Committee Chairman, James Comer (R-KY), told George Stephanopoulos that his Committee is focused on Hunter Biden and will not be investigating Kushner's financial ties to Saudi Arabia.
George Santos (R-NY) took puppies, left bad checks, Amish country farmers say - The Washington Post
Anna Paulina Luna (R-FL) rose to Congress on a compelling life story. It surprised some who knew her. - The Washington Post; Congresswoman Anna Luna (R-FL) claims to be Jewish, revealed to be granddaughter of Nazi - The Jerusalem Post
Marjorie Taylor Greene (R-GA) was a participant last week in a Pentagon secret briefing about China's spy balloon. House briefing on China spy balloon turns tense with Greene comments: ‘I chewed them out’ | The Hill; Marjorie Taylor Greene Tried Normal, Realized It’s Just Not Her Jam According to one attendee, she spewed profanities "while yelling and screaming" at the military officials.
Originalism is going to get women killed - The Atlantic; Federal appeals court strikes down domestic violence gun law - POLITICO A panel of three republican judges held that a federal statute that restricted gun access to those who are under a state restraining order to protect an intimate partner or child was unconstitutional. Opinion.pdf (authored by Corey Wilson, appointed by Trump) The presence of a gun in a domestic violence situation increases the risk of femicide by over 1,000%.
The case involved a man who was under a protective order, entered with his consent, that prohibited him from owning firearms after an "alleged" assault on his girlfriend. The guy had been involved in several shootings as noted in the republican judges' opinion:
The police located him, found the firearms, and confiscated them. Rahimi contended that a criminal conviction based on his possession of firearms in violation of the protective order violated his constitutional right to bear arms and the republican Judges agreed.
As previously discussed, the "conservative" Republican Supreme Court Justices believe that what Americans viewed as acceptable in the 1780s or 1868 when the 14th Amendment was adopted, assessed by the laws then in existence, defines the existence and scope of constitutional rights now. (scroll to "Due Process Clause of the 14 Amendment"- 6/28/22 Post)
I know that it hard to believe, but it is nonetheless a correct assessment of what a conservative judicial philosophy means to republican judges. I discussed in the 6/28/22 post, linked in the preceding paragraph, that this "conservative" judicial approach does not actually interpret the constitution as written, as claimed by republicans, but is based instead on judge created provisions that conforms to their personal ideological preferences (pro gun ownership regardless of the consequences, anti-abortion).
Republican Lawmakers in Missouri Vote Against Banning Children From Carrying Guns In Public With 1 exception, all Missouri republican legislators voted in favor of children carrying guns in public without adult supervision.
++++
1. Small Ball Sells:
A. Eliminated BMY in Fidelity Taxable Account - Sold 14 at $74.64:
Quote: Bristol Myers Squibb Co.
This elimination leaves me with 15+ shares owned in my Schwab account with an average cost per share of $60.34:
 |
| Price as of 2/10/23 Close/Unrealized Gain of $182.28 |
I will keep those shares and will consider averaging down only when the purchase lowers my average cost per share.
My primary concern has been and continues to be the loss of patent exclusivity for Revlimid.
2022 4th Quarter Product Revenues:
In comparison to the decline in Revlimid revenues, which is expected to accelerate Y-O-Y, revenues from 9 new products was reported at $645M.
BMY Analyst Estimates | MarketWatch
Pharmaceutical Research & Development Pipeline
Proceeds: $1,044.93
Profit Snapshot: $206.75
Last Discussed: Item # 2. Eliminated BMY in Vanguard Taxable Account - Sold 15+ at $77.56 (5/5/22 Post)(profit snapshot = $279.11)
Last Substantive Buy Discussion: Item # 1.E. Added to BMY in Fidelity Account: Bought 1 at $60.34; 1 at $59.98; 1 at $59.5 (10/29/21 Post)
Dividend: Quarterly at $.57 per share, last raised from $.54 effective for the 2023 first quarter payment
Dividend History - Bristol Myers Squibb
Last Ex Dividend: 1/5/23, owned as of.
Last Earnings Report (Q/E 12/31/22): SEC Filed Press Release
Comparisons are to the 2021 4th quarter.
GAAP E.P.S. = $.95, down from $1.01
Non-GAAP E.P.S. = $1.82, down from $1.84
Consensus Non-GAAP at $1.72
The huge difference in GAAP and non-GAAP is related primarily to non-cash charge of $2.343B relating to amortization of acquired intangible assets.
As I recall, that non-cash charge is primarily due to the Celgene acquisition which brought Revlimid into BMY's product portfolio.
Revenues: $11.406B, down from $11.985, down 5% and down 1% in constant currencies.
2022 GAAP E.P.S. at $2.95, down from $3.12
2022 Non-GAAP E.P.S. at $7.7, up from $7.16
2023 Guidance:
Non-GAAP E.P.S. of $7.95 - $8.25, guiding Revlimid revenues to about $6.5B. That estimate may prove optimistic. Revlimid revenues in 2021 were reported at $12.821B.
B. Eliminated DOW in 2 Taxable Accounts - Sold 5 at $59.71; 8 at $60.2:
Quote: Dow Inc.
Proceeds: $779.11
DOW Analyst Estimates | MarketWatch
Investment Category: Bond Substitute
Profit Snapshots: $54.14
 |
| Schwab Taxable Account |
 |
| Vanguard Taxable Account |
I am keeping 5+ shares owned in my Fidelity account that have an average cost of $52.59 per share:
 |
| Price as of 2/10/23 Close/Unrealized Gain = $42.11 |
The yield at that AC number is currently 5.32%. I will consider averaging down in that account when the purchase lowers my AC per share.
Last Discussed: Item # 2.E. Added to DOW - Bought 2 at $58.69; 3 at $56.32; 2 at $55 in Vanguard Taxable Account. (12/3/2021 Post) Those shares were among those sold.
Dividend: Quarterly at $.70 per share ($2.8 annually)
Next Ex Dividend: 2/27/23
Last Earnings Report (Q/E 12/31/22): SEC Filed Earnings Press Release
Comparisons are to the 2021 4th quarter.
GAAP E.P.S. = $.85 (includes gain from a patent infringement award)
Non-GAAP E.P.S. = $.46, down from $2.15
Consensus Non-GAAP E.P.S. = $.58
Revenues: $11.9B, down 17%
GAAP to Non-GAAP Reconciliation:
I do not care much for companies that are this erratic in earnings and revenues, and erratic is normal for chemical companies.
DOW $1K par value SU bonds: I currently own 2 that mature in 2027. I prefer owning Dow SU bonds maturing in less than 5 years than the common stock.
Analyst Reports (available to Schwab customers):
Morningstar (1/26/23): 4 stars with a $72 fair value
S&P (1/30/23): 3 stars with a 12 month PT of $55
Argus (1/27/23): Buy, raised PT to $65 from $56.
I do not have to these reports published after this earnings report:
Barclays: Increases PT to $57 from $.52, maintains equal weight
UBS: Increases PT to $62 from $57, maintains neutral rating
BMO: Cuts PT to $65 from $69, maintains market perform
Citigroup: Raises PT to $60 from $56, maintains neutral rating.
The PT raises may be in response to some headwinds, including input cost inflation and lower sales due to restocking, dissipating some later this year and into 2024.
The current consensus non-GAAP E.P.S. estimate for the 2023 first quarter is currently $.38. Dow reported $2.34 in the 2022 first quarter. SEC Filed Press Release
C. Eliminated LYB S0ld 6 + at $98.42:
Quote: LyondellBasell Industries N.V. Cl A
LYB Analyst Estimates-MarketWatch
Products & Technology | LyondellBasell
Investment Category: Bond Substitute
Proceeds: $672.61
Profit Snapshot: $58.35
Last Discussed: Item # 4.D. Bought 1 LYB at $85.34 (6/28/22 Post); Item # 3.J. Eliminated LYB in Vanguard Taxable Account - Sold 2 at $110.24 (5/19/22 Post)(profit snapshot = $41.80)
Almost all of the small ball purchases were not discussed.
Dividend: Quarterly at $1.19 per share, last raised from $1.13 effective for the 2022 second quarter payment.
Dividend History | LyondellBasell
Special Dividend: $5.22 in June 2022. LyondellBasell Announces $5.20 Special Dividend and Increases Quarterly Dividend by 5 Percent
Last Ex Dividend: 11/27/22
Last Earnings Report (Q/E 12/31/22): SEC Filed Press Release
Comparisons are to the 2021 4th quarter.
GAAP E.P.S. at $1.07, down from $2.18
GAAP Net Income: $353M
Non-GAAP E.P.S. = $1.29, down from $3.63
Consensus at $1.22
Non-GAAP E.P.S. excludes $.29 per share in costs related to exiting the refining business.
Revenues: $10.206B, down from $12.83B
Outlook:
Consider to Repurchase: <$85, small ball rules.
I will keep my total exposure to less than $1K.
D. Eliminated LXP - Sold 20+ at $11.57:
Quote: Lexington Industrial Trust (LXP)
Proceeds: $236.15
Properties | LXP Industrial Trust
Website: LXP Industrial Trust - Preeminent single-tenant U.S. industrial REIT
Investment Category: Equity REIT Common and Preferred Stock Basket Strategy
Profit Snapshot: +$33.37
Last Discussed: Item # 4.E. Added to LXP - Bought 5 at $9.74 (9/22/22 Post); Item # 3.I. Bought 10 LXP at $10.47 (9/13/22 Post)
Dividend: Quarterly at $.125 per share, slashed from $.177 in 2019 to $.1077 and then raised to $.12 effective for the 2022 first, quarter payment. The $.12 rate was recently raised to $.125 effective for the 2023 first quarter payment. The current penny rate of $.125 is 29.38% below the pre-slash dividend.
Dividend History: Very Poor. I have lost my subdued enthusiasm for this stock after the dividend cut.
2022 Dividend Classifications:
Last Ex Dividend: 12/29/22, owned as of.
Last Earnings Report (Q/E 9/30/22): The 4th quarter report is scheduled for release on 2/16/23.
2022 Third Quarter Report: SEC Filed Earnings Press Release
FFO per share = $.17, underwhelmed
LXP Realized Gains to Date: $1,957.89
Some Sell Discussions: I eliminated my position in response to the dividend slash mentioned above. Item # 1.B. Eliminated LXP - Sold 155+ at $9.46 (6/26/19 Post)(profit snapshot = $6.37); Item # 1.B. Sold 108+ LXP at $9.45-Used Commission Free Trade (2/6/19 Post)(profit snapshot = $79.9); Item # 1.C. Sold 137+ LXP at $9.08 and 53 at $9.06 In 2 Separate Roth IRA Accounts (9/12/18 Post)(profit snapshots = $914.11); Sold 100 LXP in Fidelity Roth IRA at $11.15 (1/6/17 comment- profit of $271.9 referenced with no snapshot); Item # 1 Sold 150 LXP in Vanguard Roth IRA-Update For Equity REIT Basket Strategy As Of 6/24/16 - South Gent | Seeking Alpha (profit snapshot = $80.19); Item # 2 Sold 250 LXP on Ex-Dividend Date in Two Taxable Accounts-Update For Equity REIT Basket Strategy As Of 4/6/16 - South Gent | Seeking Alpha (profit snapshot = $224.65); Item # 1. Sold 54 LXP at $11.44 Vanguard Roth IRA (1/27/15 Post)(profit snapshot = $64.4); Item # 1 Sold 101+ LXP at $10.65 (10/28/14)(profit snapshot = $51.76)
Current Common Stock Position: None
Bond Ownership: I own 3 LXP 4.4% SU bonds maturing on 6/15/24 which are generally lightly traded with large bid/ask spreads. FINRA Bond Detail (currently rated Baa2/BBB-). When buying a corporate bond that is lightly traded, I go into the trade knowing that I will probably have to hold until maturity or early redemption.
Consider to Buy: The new consider to buy range is at less than $10, small ball rules.
E. Eliminated SEM - Sold 60+ at $30.45:
Proceeds: $1,845.27
I would prefer having those proceeds earning 4+% in a MM fund than taking a chance that this position would go back into loss territory. Earnings have been disappointing since I initiated a position, largely due to meaningfully higher costs related to the pandemic and lower utilization rates for elective procedures.
SEM Analyst Estimates-MarketWatch
Investor Relations | Select Medical
Profit Snapshot: Net of +$49.74 (some shares sold at a loss)
Last Discussed: Item # 4.L. Eliminated SEM in Schwab Taxable Account - Sold 20+ at $29.69 (8/10/22 Post); Item # 1.B. Added to Falling Knife SEM- Bought 5 at $22.01 (2/17/22 Post)
Dividend: Quarterly at $.125 per share
Dividend History: Very poor. No dividend was paid starting in the 2015 second quarter through the 2021 first quarter. There has been no dividend increase since the first $.125 per share dividend was paid in the 2021 second quarter. I am not expecting a dividend increase.
Last Ex Dividend: 11/15/22
Last Earnings Report (Q/E 9/30/22): SEC Filed Press Release
Comparisons are to the 2021 third quarter.
E.P.S. $.21, down from $.57
Revenue: $1.567+B, up from $1.534+B
Consider to Repurchase: <$25, small ball rules.
F. Eliminated FISV - Sold 2 at 108.41:
Quote: Fiserv, Inc.
Proceeds: $216.86
Website: Financial Services Technology, Mobile Banking, Payments | Fiserv
Investor Relations - Fiserv, Inc.
FISV Analyst Estimates (In my last post discussing FISV, published in early December 2021, I noted there that the 2023 consensus E.P.S. was $7.51. Currently the 2023 estimate is at $7.29)
Profit Snapshot: +$11.59
Dividend: None and none expected. I am eliminating several non-dividend paying stocks. I currently am more interested in receiving 4%+ in a MM fund than keeping a small ball position in a non-dividend paying stock.
Last Earnings Report (Q/E 12/31/22): The stock jumped in response to this report, rising $8.88 to close at $115.28 (2/7/23).
GAAP E.P.S. = $1.23, up from $.50
Non-GAAP E.P.S. = $1.91, up from $1.57
Non-GAAP Consensus at $1.9
GAAP to Non-GAAP Reconciliation:
 |
2023 Guidance: Adjusted E.P.S. of $7.25-$7.4 with organic revenue growth of 7% to 9%.
2022 Adjusted E.P.S. = $6.49, up 16% compared to 2021.
I still own ETFMG Prime Mobile Payments ETF (IPAY) that has FISV in its top ten weightings, currently at 6.07%.
G. Eliminated GOOGL - Sold 3+ at $107.71:
Quote: Alphabet Inc. Cl A (GOOGL)
52 week range: $83.34-$144.25
GOOGL Analyst Estimates | MarketWatch
Alphabet’s GOOG vs. GOOGL: What’s the Difference?
Proceeds: $373.33
Profit Snapshot: +$59.98
Last Discussed: Item # 4.F. Bought 1 GOOGL at $98.07; 1 at $91.01 (11/29/22 Post)
Dividend: None and none expected.
Last Earnings Report (Q/E 12/31/22): Unfavorable
Comparisons are to the 2021 4th quarter unless otherwise noted.
Net Income: $13.624B, down from $20.642B
GAAP E.P.S. = $1.05, down from $1.53
Consensus at $1.18
Revenues: $76.048B, up from $75.325
Free Cash Flow: $16.019B, down from $18.551B
2022 GAAP E.P.S. = $4.56, down from $5.61
Consider to Repurchase: <$90, small ball rules.
H. Eliminated CNQ in Fidelity Taxable Account - Sold 3 at $58.43:
Quotes:
USD: Canadian Natural Resources Ltd. (CNQ)
CAD: Canadian Natural Resources Ltd. (Canada: Toronto)
I am keeping the 10 share held in my Vanguard Taxable Account. The average cost per share is at $31.45:
 |
| Price as of 2/10/23 Close/Unrealized Gain at $291.6 |
Proceeds: $175.28
CNQ Analyst Estimates | MarketWatch
Website: Canadian Natural Resources
CNQ SEC Filings (foreign company forms)
Investor Relations – Canadian Natural Resources
Profit Snapshot: $75.32
Last Discussed: Item # 2.A. Added to CNQ in Vanguard Taxable Account - Bought 5 at $30 (9/17/21 Post) Item # 1.H. Started CNQ in Vanguard Taxable-Bought 5 at $32.9 (6/19/21) I still own those shares.
Dividend: C$.85, up from C$.75 effective for the 2023 first quarter payment. There was also a C$1.5 special dividend paid in August 2022. The dividend was not cut during the energy price collapse in 2020. Dividends – Canadian Natural Resources
Last Earnings Report (Q/E 9/30/22): Robust
SU Bonds: I currently own 4 CNQ SU bonds: 2 CNQ 3.9% SU bonds maturing on 2/1/2025, FINRA Bond Detail, and 2 CNQ 3.8% SU bonds maturing on 4/15/24, FINRA Bond Detail, discussed at Item # 1.B. (11/22/22 Post)
I. Eliminated SU in 2 Taxable Accounts - Sold 8 at $33.09; 10 at $33.29:
Quotes:
CAD: Suncor Energy Inc. (Canada: Toronto)
Canadian Dollar to US Dollar Exchange Rate Chart | Xe
Website: Suncor
SEC Filings (foreign company forms)
I am keeping 19+ shares held in my Fidelity Taxable Account that have a $14.83 average cost per share:
 |
| Price as of 2/10/23 Close/Unrealized Gain = $371.67 |
Profit Snapshots: +$273
 |
| 8 Shares +$145.22 |
 |
| 10 Shares +$127.78 |
Last Discussed: Item # 4.D. Sold 2 SU in Schwab Taxable Account at $35.8 (11/22/22 Post)(profit snapshot $25.05)
Last Buy Discussion: Item # 2.K. Added to SU in Vanguard Taxable Account-Bought 2 SU at $20.93 (5/8/21 Post)
Dividend: Quarterly at C$.52, raised from C$.47 effective for the 2022 4th quarter payment. Slashed from C$.465 to C$.21 effective for the 2020 second quarter payment.
In USDs: Suncor Energy Inc. (SU) Dividend History | Seeking Alpha (substantial slash in 2020)
Last Ex Dividend: 12/1/22, owned as of
Last Earnings Report (Q/E 9/30/22): SEC Filing The 4th quarter report is scheduled for release tomorrow.
Other Sell Discussions: Item # 6.E. Pared SU - Sold 4 at $33.13 in Fidelity Taxable Account (11/1/22 Post)(profit snapshot = $43.97); Item # 2.H. Pared SU in Fidelity Taxable Account - Sold Highest Cost 10 Shares at $40.1 and 7 at $40.6 (6/9/22 Post)(profit snapshot = $237.35); Item # 2.E. Pared SU in Fidelity Taxable Account - Sold 10 at $36.77 (5/12/22 Post)(profit snapshot = $72.19); Item # 2 Sold 50 SU at $40.95 - Elimination (8/16/14 Post)(profit snapshot = $598.08)
SU Realized Gains to Date: +US$1,249.64
J. Eliminated IRM in Vanguard Taxable Account - Sold 3 at $54.35:
Quote: Iron Mountain Inc (IRM)
Profit Snapshot: +$98.68
I am keeping the shares owned in my Fidelity account. The average cost per share is at $23.01:
 |
| Price as of 2/10/23 Close/Unrealized gain at $453.65 |
The yield at $23.01 is currently at 10.75%.
Investment Category: Equity REIT Common and Preferred Stock Basket Strategy
Iron Mountain - Investor Relations
Last Discussed: Item # 4.G. Sold 1 IRM in Fidelity Taxable Account at $55.04 (9/20/22 Post)
Dividend: Quarterly at $.6185
Last Ex Dividend: 12/14/22, owned as of
Last Earnings Report (Q/E 9/30/22): SEC Filed Press Release and SEC Filed Slides for 3rd Quarter Conference Call
Long Term Debt (net of current portion): $10.228+B, up from $8.962+B in as of 12/31/21.
IRM's SU debt is rated at Ba3/BB- (junk).
The 4th quarter report is scheduled for release on 2/23/23.
IRM Realized Gains to Date:
I have zero interest in buying shares at the current price.
K. Eliminated CIZN in Vanguard Taxable Account - Sold 25 at $16.63:
Quote: Citizens Holding Co. (CIZN)
Investment Category: Regional Bank Basket Strategy
The secondary categories are Dividend Harvest Strategy and Bond Substitute.
Profit Snapshot = $32.5
I am keeping the 20 shares held in my Fidelity Taxable account which have a $13.52 average cost per share. The dividend yield at that average cost is 7.1%.
I have been eliminating several duplicate stock positions. Several of those positions have been sold in my Vanguard taxable account where I receive my most favorable dividend yield on a sweep MM fund.
Last Discussed: Item # 2.C. Added to CIZN in Fidelity Taxable Account - Bought 5 at $13.14; 5 at $12.75 (1/3/23 Post); Item # 5.C. Started CIZN in Fidelity Account - Bought 10 at $14.1 (11/22/22 Post)
Dividend: Quarterly at $.24 ($.96 annually)
CIZN Dividend History | Nasdaq
Last Ex Dividend: 12/15/22 (owned as of)
Last Earnings Report (Q/E 12/31/22): SEC Filing
Recent earnings reports have been much better than what I come to expect from this bank which I would describe as most underwhelming.
Comparisons are to the 2021 4th quarter.
Net Income: $2.463M, up from $1.81M
E.P.S. = $.44, up from $.32
NIM = 2.87%, up from 2.6%
NPL Ratio: .74%, down from 1.13%
Coverage Ratio: 169.86%
ROE: 15.3%, up from 6.74%
E.P.S. for 2022 = $1.47, up from $1.34 in 2021.
CIZN Realized Gains to Date: $503.29
2. Treasury Bill Purchases at Auction: +$10,000 in principal amount
A. Bought 5 Treasury Bills at 2/6/23 Auction:
%205:11:23%20.png){kind=small}
Matures on 5/11/23
91 Day Bill
Interest: $58.01
Investment Rate: 4.708%
B. Bought 5 Treasury Bills at 2/8/23 Auction:
17 Week Bill
Interest: $77.68
Investment Rate: 4.84%
3. Treasury Note Purchases - Secondary Market: +$3,000 in principal amount.
A. Bought 1 Treasury 2.5% Coupon Maturing on 1/31/24 at a Total Cost of 97.8159:
%203:31:24.png){kind=small}
YTM at Total Cost: 4.791%
Current Yield at TC = 2.558%
I now own 5.
B. Bought 1 Treasury 2.25% Coupon Maturing on 3/31/24 at a Total Cost of 97.2776:
%203:31:24.png){kind=small}
YTM at Total Cost: 4.717%
Current Yield at TC = 2.313%
I now own 3.
C. Bought 1 Treasury 2.25% Coupon Maturing on 1/30/24 at 97.5337:
%201:31:24%202.25%25%20.png){kind=small}
Current Yield at TC = 2.3069%
I now own 4.
4. Corporate Bonds:
A. Bought 1 GATX 4.35% SU Maturing on 2/15/24 at a Total Cost of 99.259:
Issuer: GATX Corp.
GATX Analyst Estimates | MarketWatch
SEC Filed Earnings Press Release for the Q/E 12/31/22 (net income of $48.4M)
FINRA Page: Bond Detail (prospectus not linked)
Credit Ratings: Baa2/BBB
YTM at Total Cost: 5.106%
Current Yield at TC = 4.38%
I now own 3.
5. Small Ball Buy:
A. Added to BBDC in Vanguard Taxable Account - Bought 10 at $8.68:
Quote: Barings BDC Inc. (BBDC)
Management: External
Last Discussed: Item # 3.C. Added 5 BBDC in Vanguard Taxable Account at $8.15 (12/27/22 Post)
Last Substantive Discussion: Item # 4.A. Added to BBDC in Vanguard Taxable Account - Bought 5 at $8.99 (11/29/22 Post) I discussed the last earnings report in that post. The 2022 4th Q. report is scheduled for release on 2/24/23.
New average cost per share: $9.39 (50 shares)
Dividend: Quarterly at $.24 per share
Yield at new AC = 10.22%
Last Ex Dividend: 12/6/22
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.
