Market Mad House

In individuals, insanity is rare; but in groups, parties, nations and epochs, it is the rule. Friedrich Nietzsche

Kansas City Southern

Good Stocks

Ten Really Great Underpriced Stocks to Consider Buying Right Now

If you want to take a gamble on a tech company that could be the next Google, PayPal could be it. PayPal’s revenue was growing at a rate of 14% in the first quarter of 2015. PayPal’s international revenue grew at a rate of 52% in 2014, the volume of mobile payments it processed grew by 58% and its total payment volume grew by 26%.

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Good Stocks

Are Railroads Still a Growth Industry?

The true problem here is that the drop in revenue growth seems to be occurring throughout the U.S. railroad industry. Union Pacific (NYSE: UNP) reported a rate of -9.74% on June 30, 2015, while CSX reported a rate of -5.55% on the same day. The other big publicly traded U.S. railroad operator, Norfolk Southern (NYSE: NSC), reported a rate of 4.54% on March 31, 2015.

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Market Commentary

Is Deflation Beginning?

It looks as if an economic downturn has begun. Only time will tell if this is actual deflation or simply a case of the jitters on the part of consumers. One thing is clear though; the rumors of an economic recovery seem to be greatly exaggerated.

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Politics

Mexico’s Strange War on Drugs and Terror

The Federal Police had a budget of $34.6 billion in 2010 and more than 40,000 employees in 2009, making it a formidable bureaucratic empire similar to the U.S. military industrial complex. That empire is growing, and its leaders have figured out how to tap the U.S. national treasury to pay for the expansion.

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Market Insanity

Is Uncle Warren Going Shopping?

What’s more intriguing is that Uncle Warren himself seemed to confirm such speculations with a cryptic remark to MSNBC. After calling Exxon a “wonderful company,” he said, “We thought we might have other uses for the money.”

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Good StocksStocksUncategorized

The Railroad Everybody Forgets About: Kansas City Southern

The assets are the connections to the port of Lazaro Cardenas on the Pacific and the track that connects it to Kansas City. The Kansas City Southern has a direct connection between those ports and America’s heartland.

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Long Ideas

What would a Hyperloop Economy look like?

One result of a hyperloop would be a sort of economic boom in areas with lots of cheap housing that is in fairly close proximity to expensive urban areas. Another would be a fall in housing prices in areas where there are currently shortages that lead to high priced housing.

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Good Stocks

Union Pacific Shows Falling Oil Price Not a Threat to Railroads

The UP also reported a year to year quarterly revenue growth rate of 9.29% on Dec. 2014 and a profit margin of 23.26% on Dec. 31, 2014, not to mention a return on equity of 24.28%.

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You Missed It

Musk’s Game Changing Hyperloop Is Closer to Reality

If it gets built, the Hyperloop could be very profitable, if railroad revenues are anything to go by: Union Pacific’s TTM revenue increased by nearly $2 billion between September 2013 and September 2014.

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