Deere annual report 2015

Deere, annual, 2015, front page

Since I bought Deere not that long ago as well as them having a broken year my first report summary therefore are based on their annual report for 2015. Upon the release of this report the share price increased with 4 to 5% which as always is based on the expectation of the analysts versus the real outcome. This time Deere apparently did better but the reading was not pleasant and the future expectations by the managers were not showing us the road to riches.

Enel report Q3 2015

Enel, Q3, 2015, report, front page

My greenish energy producer Enel arrived with their report. Enel had a bit of a share price drop during spring-summer but are now up above 4 € again. I was thinking about increasing the position when they were down around 3.7 € (because my initial investment was so small) but I never got around to it and it seems as if I never have the money to do so. It seems to be a never ending story with my companies and there is always one of them dropping like a stone and I then feel forced to buy that one instead so I never get to water the flowers.

Cez report Q3 2015

Cez, Q3, 2015, report, front page

My eastern European electricity investment Cez arrived with their Q3 report. The share price has during the last six months not been going very well but it was not as a response directly to this report but I think the investment is down by around -20% right now (like almost all my electricity investments are). I have read several articles about the trouble Vattenfall is in and that they are forced to sell their coal plants and mines in Germany. Cez has given Vattenfall an offer on all of that including ten hydro plants. I hope that Vattenfall will accept the deal.

When will shareholder boards create company rules?

Future, Managers, Minions

Based on a comment from Matthias found here in combination with discussions at work concerning that democracies very rarely "learn" since new people come in power all the time this reflection started to form in my mind.

Looking back in time religion had, upon the time of creation, an important function of bringing "laws" and structures to people. It also brought them hope, comfort and unification but that is unimportant for this reflection.

Stock bought November 2015: RWE

RWE, a German electricity provider

Actually my plan was to buy a completely different company in November. I wanted to get that company at a very nice price and I therefore placed an order at a price that obviously was far too low and I have still not managed to buy the company and yet that money is blocked for doing anything else unless I stop the order and pay 4.5 € for doing so. This has been driving me up the walls. Each day I have been login into my broker account to see if the darn order has been taken or not and of course it have still not happened.

Happily I had a little bit more money on the account that I could use so I decided to use that now upon yet another massive share price drop for RWE. The CEO said (or at least it was interpreted like that by the journalist) that RWE has no money for making investments and they need to make investments to grow. This then brought up the fear of that RWE might be forced to issue more shares so that they can grow. If a company decided to issue more shares so that they get money to grow then I have no issue with this. I do not like when a company issues more shares because A) they are not generating enough money on their own to pay for operational costs or B) because otherwise they will go bankrupt because loans need to be paid back. There are probably a C and a D also but I can not think of them right now.

Anyway... due to this the share price dropped again by -5 to -6% and then I decide to pick up more shares in RWE.

I therefore bought 95 fresh shares in RWE at a price of 10.823 € or 1,036.08 € including fees in total. I now hold 330 shares in RWE with a total investment of 4,585 € or 13.89 € per share including fees.

To find out more about RWE please take a look at analysis of RWE 2015.

If you want to see my current Stock Portfolio then click on the link but the portfolio will not be fully updated until the end of the month.

Analysis of Kroger

Kroger, an American grocery conglomerate

Company: Kroger

ISIN US5010441013 | WKN 851544

Business: An American grocery conglomerate. They are standing on several pillars: Supermarkets (2625 of them), Convenience stores (to the quantity of 782), Fine Jewellery Stores (326 of them), Supermarket Fuel Centers (1330 so almost every second Supermarket have a fuel center). Additionally they have 37 Food Processing Plants and 36 Distribution Centers. When the customer arrived they definitely try to sell everything they can to them!

Active: USA in 34 states.

P/E: 21.5

Greenlight Capital: David Einhorn Q3 2015

Greenlight Capital, hedge fund run by David Einhorn

David Einhorn once again made massive movements in his portfolio. Four new companies were included and he kicked out seven!

For the previous report please visit Greenlight Capital: David Einhorn Q2 2015.

The fresh additions were:

CNX Coal - An American coal mining company... which I find funny since on the other hand he is getting more and more involved in Solar...

Garmin - A Swiss navigation products company please see analysis of Garmin.

Terraform - A renewable energy company acquired from SunEdison.

Vivint Solar - A solar panel company.

Pershing Square: William Ackman Q3 2015

Pershing Square, a hedge fund run by William Ackman

The excitement from William got slightly more intensified since he actually stepped into a new company last quarter according to SEC. Please keep in mind that only US holdings must be filed.

For the previous report please visit Pershing Square: William Ackman Q2 2015.

New holdings:

Mondelez - An American food and snack producer.

Conclusion: Since Mr. Ackman very rarely are silent when he step into companies it was already known since before that Mondelez was the new thorn in his side... or maybe other way round... I took a look at Mondelez. They have excellent brands. Many that I myself love to eat but it also seems to be run by fools having today large intangible assets and goodwill in their balance sheet. So maybe Ackman will manage to change something. On the other hand he has not been very successful as of late.

Source: SEC