Author Archives: The Flower City Analyst

Passive Investing is not a Panacea

Increases in wealth tend to strengthen the appetite for risk while losses tend to weaken it. -Richard Bernstein Like all things human-created, passive investing has it’s flaws and biases. It falls prey to the blessing and curse of human optimism. Investing in the largest companies at any given time gives insights into what we, as […]

Calm before the Storm?

The number of private equity firms has grown as the number of listed companies has shrunk. Multiples of private equity deals have grown and market multiples of listed companies have grown. Also, private equity firms have more dry powder than recent years while listed companies have leaned on share buybacks to spend their monies. What […]

Running out of steam

This morning Bill Gross posted his newest installment of his blog. In it, he claims that because rates are so low in and absolute sense, the yield curve will need to flatten less in absolute terms to be associated with past recessions. This is because so many have taken on large amounts of debt, especially […]

How to make the Bond Bear feel less scary. 

    I get it. There is an opportunity cost, on average, for owning bonds as opposed to stocks. With that comes more risk. Recently, many prominent investors have written about the end of the prolonged bond bull market where both income and capital appreciation have been ample. Does this mean they are pushing for stock […]

Why Behavioral Finance Matters.

When you think of the stock market, what comes to mind first? Apple? Amazon? Algorithms? Those are some of my first thoughts. We’ve come a long way from the time when railroad stocks were hot and ticker tape was considered high-speed. One thing hasn’t change though, but I’ll save that for later. With so much […]

NYSE: MN Strong Buy on Net Net Basis

NYSE: MN Current Assets: $169,120,000 Total Liabilities: $92,154,000 Net Working Capital: $76,966,000 Shares Outstanding: 14,216,988 NWC/Share: $5.41 Market Price: $ 4.25

Is the Eurozone ready to slow asset purchases?

A coworker opined that Draghi will stop easing via asset purchases soon. I wasn’t convinced. He mentioned inflation coming in near target, which is true. It is 1.9% vs. a 2% target. I decided to dig in to see where this number was coming from.  Germany at 1.7 France at 1.0 Spain at 3.0 Italy […]