Waste Management, is Garbage the Ultimate Value Investment?

Okay, the elevator pitch for Waste Management sounds good, but does it make money? Yes, it does, but it has a hard time keeping that money.

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MasterCard sees Value in the Blockchain

U.S. Patent Application 20170323294  for “a method for processing a guaranteed electronic transaction” specifically mentions the blockhain. Here is how it is described in the application:

“The present disclosure relates to the use of recorded guarantees for payment transactions for verification by acquiring institutions to facilitate instantaneous payment to a merchant involved in the payment transaction, specifically the use of a blockchain or other third party network for verification of a guarantee associated with the payment transaction.”

The applicant for the application; dated May 6, 2016, was MasterCard International Incorporated of Purchase, New York. Get the picture folks MasterCard is trying to create a blockchain-based solution for instantaneous payment.

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The Incredible Value at Oracle

Larry Ellison’s formula for generating all that cash is the same as Warren Buffett’s: float.

If you are looking for a value stock in technology that can make a lot of money, Oracle is it. Just be aware of the serious threats that fast-developing technology poses to its’ lucrative business model.

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Uber Drivers are now Employees in the UK, IPO Predicted

Her Majesty’s government just reclassified Uber drivers from contractors to employees, The Guardian reported. The Employment Appeal Tribunal rejected Uber’s argument that drivers are not employees because they do not work fixed work schedules.

This upends Uber’s business model because it would require the company to provide all the generous benefits, employees are entitled to under British law. That includes union representation and the high taxes that support Britain’s welfare state. Uber has been leaching off the UK’s welfare state because its’ drivers enjoy benefits like free healthcare from the National Health without paying for them.

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Berkshire Hathaway is now the House of Cash

The potential of this are absolutely staggering. Just a few of the things Uncle Warren can do with all that cash include:
Buy America’s second largest grocer; Kroger (NYSE: KR), outright and still have $75.56 billion left in the bank. That’s amazing because Kroger reported revenues of $118.05 billion on 31 July 2017. Kroger had an enterprise value of $32.74 billion on November 10, 2017.

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Is Canadian Pacific the best Railway Stock?

This exposes the Canadian Pacific’s greatest problem: its resources are simply too limited. The railway barely seems to make enough money to cover the cost of operations, let alone expand or modernize.

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An Interesting Speculative Play in Finance at BNY Mellon

Beyond the potential repatriations windfall, there is something else really fascinating about Bank of New York Mellon (BNY) – it is a potential cryptocurrency play. Mellon has been actively researching and experimenting with blockchain and altcoins; while finance industry leaders have been badmouthing them.
BNY Mellon is listed as one of the participants in the Ethereum Enterprise Alliance (EEA).
To add icing to the cake, BNY Mellon is also participating in the Linux Foundation’s Hyperledger Project.

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Yes Google is a Value Investment

There is a $16.4 billion two-fold threat to Alphabet’s advertising-based business model out there that a lot of investors will not see coming. It is advertising fraud and Big Business’s growing dissatisfaction with digital advertising in general.

Digital advertising fraud will cost brands $16.4 billion worldwide in 2017, the ad-verification company Adloox and The&Partnership predicted in April. That figure marks a 20% increase over the $12.5 Adloox estimated that brands lost to fraud in 2016, CNBC reported. Not surprisingly this level of fraud is upsetting some major advertisers.

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Wells Fargo and the Future of Monster Banking

The potential challenges Wells Fargo faces are vast. The greatest of these is falling revenues, which probably reflects the growing implosion of the mortgage market.

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US Bancorp Gets Better

There’s also less exposure to the mortgage market which is still on some very shaky ground. U.S. Bancorp controlled around 2.8% of the mortgage in first quarter 2017, compared to the 16.3% that Wells Fargo owned, Forbes Great Speculations pointed out.

The volume of mortgage originations is falling dramatically dropping from $561 billion in 3rd Quarter 2016 to $361 billion in Quarter One 2017. That’s a decline of more than $35% or $200 billion in just six months.

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