Posted by admin on May 30th, 2011
Bill Gates is super rich but his once high-flying software company has been in the doldrums since mid-2002 after falling from the $35 level. The problem with Microsoft (MSFT) has been its failure to grow both its revenues and earnings at the superlative rates the company once enjoyed.
Any company the size of Microsoft, with a market-cap of $242 billion, will find growth an issue because of its size. But this is not to say the stock is dead. Far from it, Microsoft remains a viable long-term software company and is cash rich with $34 billion or $3.28 per share in cash. This gives the stock plenty of financial flexibility to develop or buy growth technologies. Microsoft just announced it would spend $1.1 billion in R&D at its MSN Internet unit in the FY07. And according to the Wall Street Journal, Microsoft is exploring the possibility of taking a stake in Internet media company Yahoo (YHOO) to take on Internet advertising behemoth Google (GOOG).
But with an estimated five-year earnings growth rate of a pitiful 12%, the company has its work cut out for it. Trading at 16.30x its estimated FY07 EPS of $1.44, the stock is not expensive but appears to be priced not as a growth stock.
Its PEG on the surface of 1.51 is not cheap, but if you discount in the cash of $3.28 per share, the estimated PEG falls to around 1,0, a decent valuation. Also, if Microsoft can improve on its estimated 12% growth rate, the PEG would decline further.
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Posted by admin on May 28th, 2011
So you’ve seen your umpteenth infomercial with the guy in his neatly pressed button-upped white T-Shirt grinning ear to ear waving his rock-solid no-money-down rags-to-riches real estate investment course for 3 easy payments of a gazillion dollars (but only if you call now) and now you are thinking, “wow this looks like a great deal, I better get it fast before the special offer expires.” You notice how there’s always a special offer? Anyway, I am not saying this guy isn’t telling the truth, however regardless of which course or school of thought you buy into there are several key areas that one must avoid when engaging in any real estate related transaction.
Pitfall Number 1: Don’t Overpay!
The whole point in investing is to find properties that are undervalued. How does one find out what is undervalued versus overvalued? Without getting into technical details, the bottom line is you need experience. Yes much like shopping for anything else, real estate is essentially one of the highest ticket items in the shopping center of life. It’s advisable to stick with one market, perhaps the one closest to you in proximity as a starting off point. Through your experience and asking the right questions, you will eventually have a feel for the pulse of the market you are looking after, and of course identify what is considered a good buy.
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Posted by admin on April 6th, 2011
Foreign Exchange Market is a market where traders buy and sell currencies with the hope of making a profit when the values of the currencies change in their favor. People are making vast amounts of money from Forex trading. The Forex Market has a big potential for everyone, ranging from large corporate firms to ordinary, everyday people like you and me.
It is a very exciting trade with a huge money-making potential. Just imagine yourself sitting comfortably in your pajamas at your computer… you turn on the internet and make a few quick transactions and by the time that you get up to get a cup of coffee, you are several hundred dollars rich! Would you like that? I would!!
I can hear you say, “Wait a minute!! This sounds just like another one of those confusing markets like stocks, options or traditional futures, so what makes this market any different?”
Aaah! Good question! So, in answer to your question, here are 10 good (if not great) reasons to enter the Forex Trade:
1. First and foremost, Forex trading allows for small investments. You do not have to be able to invest thousands of dollars to get started with this trade. You can start trading Forex with as little as $300 to $350 and could be well on your way to earning more than that on your first day.
2. The Forex markets are always open! You are able to trade anytime and from anywhere in the world. No waiting for the stock exchange to open. The market is ongoing, with generally only minor breaks on the weekends.
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Posted by admin on May 31st, 2010
Airline credit cards have steadily been gaining popularity in the past few years. Airlines and other companies related to the travel industry benefit as customers utilize their services more frequently; brand loyalty is strengthened as well. Consumers with a good credit history gain by obtaining greater value from their credit cards. Fundamentally, airline credit cards operate in a similar manner; purchases charged to the credit card earn travel points for the card holder, these points can be redeemed in various ways, for example contributing toward free travel, hotel stays, service at a car wash, etc. Four key features to consider while selecting an airline credit card are given below.
Low Interest Rate: The cost of credit is measured in terms of the annual percentage rate (APR). A good credit profile helps to obtain a low APR, i.e. prime + 4%. Most credit cards offer a “variable rate” plan in which the APR changes with certain economic indicators. The interest rates vary with the cards and are influenced by other offerings such as the grace period, annual fee, bonus points, etc. A card holder who does not carry a monthly balance need not really worry about interest rates; however, people who do carry their balances forward can select from a number of airline credit cards that charge a low interest rate. Some cards offer an introductory rate of 0% interest on balance transfers over a period of time, which is typically 12 months.
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