PIMPING STOCKS

[call_me_ishmael]

It's all fintech and crypto. It all shot up because it was so undervalued. There's still room to go. But yeah I gotta sell some. The problem is IDK what to buy.

[bobblehead]

I am up about ~40% since Trump won the election. Fintech finally broke out, Crypto broke out as well.

You mean entire portfolio? In 3 weeks? Thats insane. I would say you are WAY to risk oriented, but results speak. Good for you. I'm probably up 12-15%. Not sure exactly, but my entire portfolio is still undervalued and I expect continued run up through 2026 with only modest changes.

[call_me_ishmael]

I am up about ~40% since Trump won the election. Fintech finally broke out, Crypto broke out as well.

[Tony Oday]

Holy crap I just looked at my Robinhood and man I love Doge!!! I have 100k, bought it at .2 and just held it This is my retirement fun money so I hope it keeps going!

[bobblehead]

Is Michael Saylor right? Man IDK.

Regarding Bitcoin? Yes and no. I think its already replacing gold in a lot of peoples minds. However I still have the deep seeded fear that the government isn't going to give up its control over our fiscal security quite so easy. Government was behind the curve in realizing what was happening, but they are certainly noticing now. We are one election away from a regime that decides they don't like us having all this control over our "dollar" of choice and making life miserable for those that hold bitcoin.

[call_me_ishmael]

Is Michael Saylor right? Man IDK.

[bobblehead]

Good answers and of course the answer is tricky. If a stock is heavily inflated in no way would I want them to do a buyback, but those would generally be high growth companies that are using cash to grow and they wouldn't do a buyback. They likely wouldn't issue a special dividend either.

However a stock like Altria which pays a great dividend and is valued like its going out of business does, and should be using buybacks for future strength.

Edit: forgot to make the case for special dividend. BDCs or lenders or REITs with excess cash and tax advantages to distributing should probably issue special dividends as their stock trades in a tight range and returning income through dividends is required by law.

[call_me_ishmael]

I have a knowledge assessing question (maybe logic assessing as well) for rats who like stocks. Would you rather a company sitting on extra cash 1) cut you a special dividend (1x payment) or 2) buyback shares of the company. I will also say this is a neutral question, so you're specific circumstances don't apply (i.e. I need cashflow cuz I'm retired).

It depends. I generally buy things that I think are undervalued and I like the signaling the company makes with a buyback. I would prefer though to be in a company that is growing and spending their money on growth.

But I am young.

[falco]

you can also argue a special dividend does nothing but provide immediate cash yield at the expense of reducing stock price (since the value of the cash is baked into the share price) while a stock buyback improves forward looking cash yield / share and has longer term benefits

[falco]

I have a knowledge assessing question (maybe logic assessing as well) for rats who like stocks. Would you rather a company sitting on extra cash 1) cut you a special dividend (1x payment) or 2) buyback shares of the company. I will also say this is a neutral question, so you're specific circumstances don't apply (i.e. I need cashflow cuz I'm retired).

with a share buyback, you don't trigger any tax burden for the shareholder, instead increasing the share price and allowing them to decide when to trigger the tax liability.

[bobblehead]

I have a knowledge assessing question (maybe logic assessing as well) for rats who like stocks. Would you rather a company sitting on extra cash 1) cut you a special dividend (1x payment) or 2) buyback shares of the company. I will also say this is a neutral question, so you're specific circumstances don't apply (i.e. I need cashflow cuz I'm retired).

[bobblehead]

LB 11/02 price 56
LB currently 68

TPL has managed to run up despite its crazy valuation as well.

[bobblehead]

Is it a REIT?

No. Its a standard c corp. They are "expected" to announce a starting dividend next quarter though.

[Patler]

Is it a REIT?

[bobblehead]

So if you want a solid play that isn't all tech/AI all the time look into LB, Landbridge. I don't invest like you all do as I have seen the folly of buying companies trading at 80x earnings. Its awesome until it isn't. Some plays are decent, like META at 21x and still staring at double digit growth, but then you chase Palantir at 123x and 20% growth. SOFI might work out at 260x, but it has to execute on the 100% growth each of the next 2 years projected by analysts that haven't been right yet (100% miss rating on SOFI). Thats a big gamble and I have dice tables for that.

LB on the other hand is a new company that owns land rights in NM against the Permian basin. Its already profitable and is staring at 49% growth next year trading at 13.6x. They lease the land to oil and gas drillers and get royalties plus all water rights (water is a byproduct of the drilling techniques used in Permian). They also have surface rights and plan on building data centers and other infrastructure. Without getting to in depth on their plans the only comparable company is TPL (Texas Pacific Land). TPL only has mineral rights on the TX side and is trading at 59x on 10% growth (overpriced).

LB Is small and has to execute, but even if it did NOTHING other than take the water and royalties its worth double what its trading at. No overhead expenses, no cost other than a few managing employees.

Give me a choice between a tech stock I HOPE doubles a few times to justify its valuation or a company no one is looking at that has to do nothing new to double and guess where my money goes.