Work on Models and a Few More Articles

It’s been a fairly busy month this month, as I work to improve my modeling ability.  I’ve been putting in quite a few hours working on financial models, mostly for major American airlines.  As part of this, I’ve also posted a few more articles on Seeking Alpha, and received generally positive feedback:

  1. After earnings, I believe Delta Air Lines is a strong investment.  Like Southwest, they have very little debt compared to others, such as American Airlines.  I currently see up-side of 16-30%, which makes it a “Buy,” although I’m still on the sidelines personally.
  2. Southwest Airlines is a good investment, in my eyes.  Their balance sheet is quite strong, with much less debt that their peers.  I think that their safety due to this means they can get away with their relatively low growth rate, and it’s a good value.
  3. Is WWE Ready for a Big Push?: in which I suggest the shares are priced a few dollars too high. I tend to think that vanity stocks such as WWE, where fans will purchase them to own them, trade a bit high.  I also don’t think growth prospects are as good as the company suggests, but time will tell.
  4. An article on William Hill. To me, the company looks a bit undervalued, although there is a specter of legislation changes in the UK related to their slot-like machines.  That’s potentially worrisome for the business.  There’s also some possibility of expansion in the US, which would be lucrative if it came to pass.

My goal for the remainder of the month is to publish a few more articles, and to prepare for earnings seasons.  I’d like to have models that I like in-hand prior to earnings releases for each company, and to be able to adjust those models on the fly in order to quickly interpret those earnings and forecasts for the future contained in them.  I’m also currently thinking up some other possible revenue streams from my work, as I’m quite enjoying it, and not currently eager to go back to law firm life.