Over the weekend I was catching up on companies I own. BBY reports earnings this Tuesday. Remember that BBY changed its fiscal year in 2013. Hopefully comparisons will be clear. The 10K for 2013 Fiscal year will only include 11 months because of the transition.
Share repurchase - In FY2011 BBY repurchased 1.2B in stock. In FY2012 BBY repurchased 1.5B in stock. At the end of FY2012, authorization remains for 4.1B repurchase. At current prices, BBY could easily take down its float by 10% or more.
Also saw an article about internet sales tax in California in the LA Times. Sales tax will start September 15th and will help BBY longer term.
Long BBY into earnings.
FCX - In February 2012, FCX sold $3.0 billion of senior notes in three tranches with a weighted average interest rate of approximately three percent. FCX used the proceeds from this offering (plus cash on hand) to redeem the remaining $3.0 billion of its 8.375% Senior Notes. FCX will save over 150MM per year.
Long FCX (1Q earnings were 4/19)
AHL - Book value in 2011 declined less than 2%. Book value increased QoQ by 1.0% even with the 'Costa Concordia event'.
"Net income for the first quarter included $16.9 million, or $0.23 per diluted share, of catastrophe losses after tax resulting from the severe US storms in February and March. It also included $27.0 million or $0.37 per diluted share related to the losses from the Costa Concordia event. These losses were net of reinsurance recoveries, reinstatement premiums and taxes."
"A significant combination of catastrophe events and depressed investment returns made 2011 one of the tougher years the insurance industry has faced for some time, and one of the worst years of catastrophe-related losses in history. Countries around the globe faced a series of natural disasters, including an earthquake and tsunami in Japan, earthquakes in New Zealand, cyclone and flooding in Australia, a hurricane and a series of severe tornadoes in the United States, and devastating floods in Thailand. Industry-wide losses in 2011 totaled about $108 billion. This is more than double the figure of $48 billion in 2010, and second only to the record of $123 billion in 2005 when U.S. Hurricanes Katrina, Rita and Wilma alone cost the insurance industry over $100 billion. For 2011, we reported a net loss of $1.82 per share. Diluted book value was $38.43 per share, a decrease of 1.2% from year end 2010."
ANF - missed revenue numbers and the street is obviously skeptical if ANF can meet earnings guidance. I think there were also a few investors out there (myself included) that were hoping for a guidance raise based on cotton prices moderating. I think the sell off is overdone and am adding to my position.
Long ANF (earnings were 5/16)
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