Unique financial nuggets

[waleedhbk]

Re: Unique financial nuggets

@Southie

Yes Waleed, I got that. I have zero knowledge of forex trading.

The great investor Warren Buffet had two rules

Don't lose money Don't forget rule 1

So in investing don't ever get into something you don't understand.

Yes Uncle so its a NO for me then :(

[Southie]

Re: Unique financial nuggets

We apologize for the hiatus due to unforseen circumstances related to staff churn. Anyway here we go.

Per the May 21 issue of the WSJ, the total cash held by 2000 non financial companies grew by 1 pct to 1.84 trillion, while total debt grew 15 pct to 6.6 trillion.

The top 25 companies held 51 pct of this cash with a cash to debt ratio of 153 pct. For the remains 1975 companies - 99 pct - debt rose by 730 billion while cash went Southie by 40 billion. They hold 900 billion in cash and 6 trillion in debt. That’s is a cash to debt ratio of 15 pct. The lowest in 10 yrs.

I didn’t know that. Dear readers, did you?

[sensibilitate]

Re: Unique financial nuggets

@Southie

The theme this week appears to be Mega deals funded through Mega debt. Abbvie Anheis3r is offering 104 billion dollars to acquire Sab Miller. They could go to European debt market to fund the deal.

The deal values Sab Miller at 31 times earnings. Altria owns 27 pct of bade Sab. And approves this deal.

Cand be a good option, but i think they cand think again about that. Is just my opinion.

[Southie]

Re: Unique financial nuggets

@sensibilitate

Cand be a good option, but i think they cand think again about that. Is just my opinion.

Thank you sensibilitate. So you like this move by Annheiser? Or shoukd they rethink this move?

Welcome to the Financial Nuggets section. And welcome to GS.

You have an interesting name.

[Southie]

Re: Unique financial nuggets

@chapter_2

mai nai bhi meal khaya. kichri. nugget plz fall through it!

My apologies, dear poster. How did I miss this gem?

Or shall we call it a falling nugget?

[Southie]

Re: Unique financial nuggets

@Southie

We apologize for the hiatus due to unforseen circumstances related to staff churn. Anyway here we go.

Per the May 21 issue of the WSJ, the total cash held by 2000 non financial companies grew by 1 pct to 1.84 trillion, while total debt grew 15 pct to 6.6 trillion.

The top 25 companies held 51 pct of this cash with a cash to debt ratio of 153 pct. For the remains 1975 companies - 99 pct - debt rose by 730 billion while cash went Southie by 40 billion. They hold 900 billion in cash and 6 trillion in debt. That’s is a cash to debt ratio of 15 pct. The lowest in 10 yrs.

I didn’t know that. Dear readers, did you?

It is nearly 9 months since this post. This is amazing stuff. With interest rates rising, the remaining 1975 companies do not seem to be in a very good position.

This is a good example of why balance sheet is so important. Thank you for pointing this out to us early on.

I wish you would provide more frequent updates. I also recommend you solicit input from knowledgeable persons such as Bobby1, who just may have a thing or two to add.

Thanks for notn.