Friday, 15 January 2016

Bought SNOW, AAPL and Hornbach

With the market offering more reasonable put more money to work again.


Snow does have an open dutch auction tender offer with odd-lot priority. I have bought 99 shares under $9 and will tender them for a profit of at least ~$40.

nametickersummcap% mcapodd lot minmaxannounced+1due dateprice nowprice minprice max

INTRAWEST RESORTS HOLDINGSsnow$50,000,000385,721,27412.96%yes9101/13/20162/10/20168.538.578.83


 This is just a short-term trade. Apple looks undervalued here. The expectations have come down a bit. The company still generates much cash. Although I see the low tax rate for foreign profits at risk here, when the OECD will finish their BEPS initiative.


The price dropped below €26 and this stock was on my watchlist to buy at this price. The last quarter was rather bad because of strong competition. Hornbach has a price guarantee and reacts on price decreases by their competitors. This means they "invest" in the perception of low prices. Customers should not feel the need to compare prices all the time.
Interestingly Hornbach offers free Wi-Fi in their DIQ megastores. If one finds a cheaper price online you get the cheaper price of the competitor minus 10% via their price guarantee. I see some intangible value here. Additionally I went to stores and looked around. The employees do not change all the time and seem to know their products quite well. For inventory management a SAP system is used.


There is also a tender with an odd-lot priority open right now. The price is higher than the current share price.