IBM spinoff of Kyndryl

IBM spinoff of Kyndryl Today we are selling shares in Kyndryl Holdings Inc (KD). Kyndryl was spun out of IBM on a basis of one share of Kyndryl for each five shares of IBM. IBM will retain less than 20% of the equity of KD with shareholders receiving 80.1%. KD previously handled the managed IT … Read more

AMA Trade – 26 Oct2021

Sell Loblaws (L) Buy Empire (EMP.a) Today we are selling our position in Loblaw Companies Limited and redeploying the capital in their competitor Empire Company-the operator of Sobey’s, IGA, Safeway, Thrifty Foods, Foodland and Fresh Co. Empire also has a 45% stake in Crombie REIT. This trade is being driven by Loblaw’s stock having greater … Read more

PP2 Trade – 26 May 2021

We are recommending the sale of AT&T (T-NYSE). The current management team has made a decision to “de-vertically integrate” the company in a deal which will see AT&T’s Time Warner division spinoff and merge with Discovery Networks. Concurrent with this will be a dividend cut expected to be somewhere around 40%. Our sell discipline requires … Read more

Welcome to May!

There’s an idiom in our industry “Sell in May, and go away.” The sentiment behind this expression is the belief that there is a seasonality to the markets, that is predictable and that the markets can be timed as to entry and exit. I respectfully disagree. First, market timing has been repeatedly shown to be … Read more

AMA trade – March15 2021

As market indices continue to hang out near record levels we are still finding opportunities to buy companies whose stock price represents good value in our opinion. Concurrent with this, we are seeing some of our longer-term holdings reach levels where we feel the upside potential is all but basically achieved. The two trades we … Read more