Viewing posts by Claude Walker

Vocus Communications is a good long term investment (ASX: VOC)

Introduction to Vocus Communications (ASX: VOC)


Vocus Communications is one of the more attractive companies trading on the ASX, and it’s the company that I have held longest in my portfolio. Earlier this year, the shares were trading under $1.70, at an apparent discount compared to Amcom Telecommunications, which also owns a fibre network and data centres. Surprisingly, even after the company released their preliminary results, I was able to double my holding at about $2.30. At the current price of $3, I still think Vocus offers good value for long-term shareholders, and I have no intention of selling at this price.

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Fiducian Portfolio Services announces growing operating cashflow (ASX: FPS)

I bought shares in Fiducian Portfolio Services a couple of weeks ago because, based on a conservative discounted cashflow valuation, I believed their shares were undervalued. I'm now adding Fiducian Portfolio Services to the Hypothetical Sample Ethical Portfolio, with the caveat that 10% of the profits of Fiducian should be donated to charity, because Fiducian is not a particularly ethical investment. The hidden report contains a discussion of the ethics of investing in Fiducian.

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Sample Ethical Share Portfolio

This sample portfolio is meant to represent a hypothetical ethical portfolio, so it is diversified across a number of industries. The purpose of this portfolio is not to suggest it is the best portfolio. It certainly isn't my portfolio. This portfolio is an experiment.

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Initial coverage of 1300 Smiles Limited (ASX: ONT)

1300 Smiles achieves excellent returns on investment and the Managing Director, Dr Daryl Holmes, appears to have a lot of integrity. He proudly supports charity and owns over 60% of the company, which he founded. The company boasts impressive earnings growth since listing in 2005. The company is providing low cost dental care. The business of the company is to help dentists run more more profitable businesses by allowing them to focus on what they do best: treat patients.

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Should I buy Beyond International? (ASX: BYI)

One of my favourite small cap companies, Beyond International (ASX: BYI) has announced a joint venture with Seven Network, owned by Seven West Media (ASX: SWM). Beyond Productions will join forces with Seven to create new programs for the North American market.The JV will be called 7Beyond and is based in Los Angeles.

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Should I buy Clover Corporation? (ASX: CLV)

Clover Corporation (ASX: CLV) owns technology that allows them to turn fish oil into a power. Fish oil is a well-known source of Omega-3 which plays a crucial role in brain function. It is normally contained in breast milk and is included in baby formula, and that’s where Clover comes in. 67% of Sales are into Oceania, and that's where the growth is. The company has two divisions. One is responsible for product innovation, the other, Nu-Mega Ingredients, is responsible for commercializing the products. Note: See this edit regarding the ethics of this company.

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Why I Bought My Net Fone (ASX: MNF) Again

About 2 months ago I wrote about My Net Fone. By way of history, I had sold my shares at about $1.50 earlier in the year, but the fall in the share price to below $1.20 prompted me to write a short article, in which I concluded (conservatively) that the company would earn about 6c per share. Having thus justified my decision not to buy shares at $1.20, I carefully avoided considering whether affirmation bias might have swayed me (after all, I had decided the shares were over valued at just $1.50). Further evidence that I have a way to go developing my investing temperament.

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Why I sold my Codan shares (ASX: CDA)

About a month ago I wrote this article in which I estimated that I would have to buy shares in Codan at $1.81 in order for the investment to meet my required return on investment, assuming that results largely reflected my predictions in this update to subscribers. I also examined some of the risks facing the company.

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Content creators Beyond International (ASX: BYI) 2013 Financial Year Results

Beyond International (ASX: BYI) have reported results that were slightly worse than my expectations. The core businesses remain strong, but the digital acquisition has floundered. I sold my shares in Beyond at $1.50, although they last traded at $1.66. I believe the company has no margin of safety, and is potentially overvalued at the current price. The company has no debt and has cash of over $10 million. This article may seem negative to some... but really, it's because I'm holding Beyond up against high standards. This is a well run company.

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