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The blog’s primary focus is the identification and communication of topical issues relating to the.. analysis of corporate cash flow and cost of capital in investment decision making.

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Other Tags: Free Cash Flow, Cost of Capital, Return on Invested Capital, ROIC, Credit Trends

Latest Blog Posts

  • Credit Trends to be updated early 2017
    on Dec 20, 2016 in General
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    on Jun 2, 2016 in General
    Robust asset growth in passive portfolios is ascribed to active managers’ inability to earn higher post-fee returns. We have long attributed this to benchmark composition which has overcome the placement of valuation in the make-up of the benchmark...
  • The December “Games”
    on Dec 31, 2014 in General
    It has been estimated that about 90% of investment advisers were under performing their benchmarks going into the final month of the year. To make up lost ground, the smaller stocks would be easiest to push up in price. As evidenced in the following...
  • Should We Call Him Senator Ackman?
    on May 13, 2014 in General
    Given the successes in arm twisting and now bringing the GSO’s into the cour’s and away from Johnson-Crapo, activist investors know the road to extreme gains lies with regulators and congress.   This report available to consulting cl...
  • AstraZeneca-Arbitrage Possibilities
    on May 13, 2014 in General
    The clear rejection by the Board of AstraZeneca to Pfizer may not necessarily mean a permanent end to a deal. This reports reveals what the Board needs to hear and the possibility of such taking place.   This report available to consulting clien...
  • New Report on Major US Airline
    on Apr 21, 2014 in General
    We are issuing a new analysis on a major US airline–recommending it as a short. There are liabilities with this company not being picked up by all large sell-side firms as well as this company having other issues which are not being imputed by...
  • Retailing–Buggy Whip or High Tech
    on Mar 7, 2014 in General
    Retailing is at the crossroads, as seen this week with Staples, Radio Shack, Children’s Place, and ASNA to name just a few. While on-line divisions are generally performing to expectations, as with Bed Bath and Beyond as well, cash cow big box...
  • Apple-Fair Value and Updated Risk Analysis
    on Feb 26, 2014 in General
    With so many high profile investors entrenched in the stock, and the accompanying publicity they have drawn to the company, why haven’t shares in Apple performed more admirably. From Icahn to Einhorn………….   Contact...
  • Fair Value-Fannie Mae
    on Feb 23, 2014 in General
    An estimate of fair value for Fannie Mae is a complicated issue. In the analysis that follows no account is made for a possible liquidation or change in its current form. Furthermore, large 79,9% dilution, loss of tax carryfowards which would be requ...
  • Two Gold Stocks Offering Superior Value
    on Feb 13, 2014 in General
    Last week, we issued a report recommending two gold stocks, one a core holding, the other more risky but offering greater potential reward. While both are certainly off to a robust start, they remain very substantially undervalued.   Order our r...
  • New PBGC Fees to Have Significant Impact on Many Firms Cash Flows
    on Jan 6, 2014 in General
    Fore the $2 trillion in defined benefit plans the raising of fees to $64 per participant will have a significant impact on firm cash flows, while at the same time benefiting selected insurers. However, some firms, by virtue of both their asset alloca...
  • Our Pick of the Year-2014
    on Dec 10, 2013 in General
    2012-Metlife (still own) 2013-(NuSkin, bought December 2011 @ $37, sold at $83) 2014- The Mosaic Company (for a report, contact CT Capital)   Share on Facebook Tweet This Post...
  • JCP Update
    on Dec 4, 2013 in General
    JCP Update, 12/3/13 There have been a few important developments in the credit of JCP, and equally impacts equity valuation. Yet, as pointed out in our last report, the challenging retail environment, combined with……….   REPORT...
  • A Hugely Overpriced Stock With Bankruptcy Possibilities
    on Oct 29, 2013 in General
    CT Capital, after intense analysis has identified a company whose share price does not reflect its economic reality. They are burning cash although not readily apparent using traditional metrics. They are also very vulnerable due to other factors, an...
  • Sovereign Risk
    on Oct 23, 2013 in General
    We have seen changes to cost of equity for various major countries in which US firms derive significant cash flows and have made large capital and financial commitments. In China, we have recently seen…   Report is available for $50,000 Sh...
  • Cost of Equity Capital Rises to 5 Week High
    on Oct 13, 2013 in General
    The CT Capital cost of equity capital model has risen to a five week high, but more importantly is sure to impact valuations to many firms whose shares have strongly rallied (see Table 2). Of most importance are the metrics most responsible for the i...
  • CT Capital LLC
    on Sep 27, 2013 in General
    Our Investment Philosophy   CT Capital’s methodology is quite simple, when distilled to its underlying elements. We compare an equity investment’s free cash flow yield and cash based return on capital to that of the yield on the risk free ra...
  • JCP- Update
    on Aug 5, 2013 in General
    Since we last warned about credit conditions at JCP……….   Updated report now available. Price $125,000. Share on Facebook Tweet This Post...
  • July 2013 Summary Review- Full Review to Clients Only
    on Aug 4, 2013 in General
    In the News I have been reading a number of articles lately on the subject of share buybacks, the works of both highly placed academics and practitioners. Yet, in no analysis have I seen the authors adjust for (1) an upward shift to cost of capital r...
  • J.C. Penney Company Inc.(JCP)
    on Jun 16, 2013 in General
      Very few investors, including apparently major fund managers truly understand the profound changes that have taken place at JCP over the course of the past year, led by a drastically altered credit. This new landscape has been, and will contin...