Quick idea today: I am looking at Service Properties Trust (SVC). I think the idea is interesting and there is a catalyst. Here’s the situation: Company Overview: SVC is an externally managed REIT (managed by RMR – more on this later), owning 304 hotels and nearly 800 “service-oriented properties” which …

Vimeo stock collapsed following the spin from IAC. That caught my attention, I read some of their calls, but I never really dug in. Then, in early January, I tweeted there was an interesting cash-covered put trade you could do at $12.50 strike. As Vimeo stock has fallen more, I …

When I look around at the risks facing the market expectation, there is one main concern I have. The Bullwhip Effect. via GIPHY We saw a massive “destocking” of inventories occur in 2020 (the initial response to the pandemic). Then, a massive “restocking” occurred as demand returned with limited inventories. …

I wrote up KAR stock back in 2021 when investors were confusing secular issues (auctions are becoming more competitive with online presence) with cyclical ones (there just were no cars to sell!). Now, KAR is selling it’s physical auction business to Carvana in a $2.2BN transaction ($1.6BN after–taxes). This is …

Here’s something you don’t see everyday in efficient markets: A company being acquired for a 100% premium. Tenneco is being acquired by Apollo private equity for 100% premium to yesterday’s close. It’s not a premium to is 30 day VWAP or the premium 90 days ago before a rumor of …

ABM reported a fine Q3’21 – EBITDA increased 20% on a 14% increase in sales and was slightly ahead of expectations. However, the stock is down about 10% since reporting and was down >15% at one point. Must be a terrible outlook, right? Well, their EPS guide at midpoint was …

First, some personal news. My wife and I have been blessed with our first child, so I’ve been a lot less active on here lately. That said, I’ve been watching the turmoil pretty closely in the market. In particular, the bond market is starting off with one its worst years …

Tax loss harvesting is something I tend to think about after a strong year of equity returns. I find myself asking if I should reduce risk in some names or at least re-balance the portfolio. The problem is that this can create significant capital gains. That said, if you are …

“Past performance is not indicative of future results” you say as you read this post. But it can be a tool for analyzing what asset allocation performed the best. The markets are particularly tough to apply history to, though, because of the wide amount of factors involved. Interest rates, valuations, …