Editor's Note: The following was posted in real time on our premium Buzz & Banter (click for a free trial). It's being shared here for the benefit of the Minyanville community. See also Ten Themes for 2009 and The First Test of 2009. Yuan is love? Baby don't hurt me don't hurt me no more... After punting my energy exposure on Monday--and keeping corks near my forks yesterday--"discipline over conviction" has once again been rewarded (funny how that happens). I've yet to re-dip my wick into this 8% slip but given my sense on the geopolitical front--and with a respectful conscious ...
By Martin Hutchinson Contributing Editor Money Morning/The Money Map Report Investors are breathing a sigh of relief that 2008 is over, but they shouldn’t get too comfortable. After... Money Morning is here to help investors profit handsomely on this seismic shift in the global economy. Money moves markets. But Money Morning lets you move first. <img[More...]
Investors are breathing a sigh of relief that 2008 is over, but they shouldn’t get too comfortable. After all, with a worldwide recession under way, investors can expect acceleration in corporate bankruptcies in 2009.
But the question is - which ones?
In the financial services sector, 2008 was a year of spectacular failures:
Bear Stearns ...
Target Corporation (NYSE: TGT) may not seem like a bright spot in today’s market after shares were cut in half in 2008, but at least one activist investor is confident that value can be extracted from the retailer. William Ackman’s Pershing Square owns nearly 10% of the retailer and even created a separate fund to make a leveraged bet on a sharp turnaround. Ackman’s theory relies on the fact that, unlike many other retailers, Target owns the land under its stores. Currently, this land is not valued at all in the retailer’s market capitalization. The activist investor believes that the true value of this land could be $40 billion or more given the location and tenant (Target). The problem is: How can we unlock that value? Ackman proposed that Target spin-off its land into a real estate investment trust (REIT) that would[More...]
By William Patalon III Executive Editor Money Morning/The Money Map Report President-elect Barack Obama’s transition team is reportedly putting the finishing touches on an economic... Money Morning is here to help investors profit handsomely on this seismic shift in the global economy. Money moves markets. But Money Morning lets you move first. <img[More...]
President-elect Barack Obama’s transition team is reportedly putting the finishing touches on an economic recovery plan that could run from $675 billion to $1 trillion, though many experts believe the program will most like range between $700 billion and $800…
15% of Target locations stated that business is “Very Strong”, down from 21% in June. Locations calling business “Above Average” remained constant at 59%. Just 26% believe the weak economy is hurting sales, down from 32% in June; however, 62% have excess inventory, up sharply from 34% in June. The best selling brand of women’s clothing is Mossimo according to 24%.