Love is in the Air

Old man Buffett is buying ketchup. He’s a cynical type. Perhaps the government will begin inserting drugs in our ketchup, in order to maintain a docile mob. Either way, I think it’s fair to say mergers and acquisitions are back. Men of banking have their swagger bag.  Million dollar bonuses and the private jet life are their rite. Soon enough, the ipo market will boom and private equity will become increasingly active–which is why I am long GS and BX.

Just so you know, BX has been a very big buyer of foreclosed properties over the years and now hold a portfolio of more than $3 billion. Not only is BX your best private equity play–but it’s also a great way to play the housing recovery.

ANGI is going absolutely gangbusters this morning. Naturally, I missed out on the run, even though I was a fan. Here is a snippet of a convo I had with RC about it, on 9/11/12–when the stock was at $10.

This has become a regular occurrence. It takes patience to hold distressed assets, a character trait that I am lacking in some regard. I am very patient with stocks that I believe in–but not so much in names that are shrouded with uncertainty–as was the case with ANGI.

Seeing ANGI  soar makes me want to buy back NAV. The company is struggling and in the process of attempting a turn around. The valuation is so cheap, it’s almost worth the gamble. If they’re successful, the stock will quickly head back into the mid-$40’s.

Aside from taking Mrs. Fly to a Valentine’s Day lunch, I intend to research some distressed companies today. I will only buy them if the fundamentals scream value. Otherwise, they’re just dogs in a rip roaring market.