TRCO-TRIBUNE MEDIA COMPANY-been in the news a lot lately.  They have a lot of assets, but their core business sucks.  Selling at 31.45.  They are at about their 52week low.  They have a 3.29 short interest.  They pay a 3.18% dividend.  They have a P/E of 8.36.  Cap is at 2.96b.  Analysts are neutral/negative.  Book per share is at 45.67…properties.  Earnings growth moving forward is not even speculated.  Return on equity is at 8.  They have 80% debt to equity.  Since coming out of their bankruptcy?  their earnings have been spotty.  This is a value play…if any play.  With no earnings growth, i can justify paying like 15 bucks for them.

NKE-NIKE INC-Selling for 57.56.  They have a 98b cap.  There is a .7% short interest.  P/E is at 28.  Dividend is at 1.11%.  Analysts are bullish.   Book is only 7.85 per share.  Book growth per share is at 5.43 for past 5 years.   Earnings growth has high hopes at 12.62%.  Return on equity is at 28 percent this past year. Historically it is very very high, maybe 21-22 average.  Debt is at about 10%.  What can I say, they are a great company.  They are just too expensive.  Buying at 40 would be dangerous, given the earnings I want.  Upon review, dividend is at like .57 annually.  EPS is something like 2.05.  So lets say that return on retained equity is like 15…with a future value of 31.76 in book per share and thus earnings of something like 6.35 and thus a price of something like 95 (15p/e) or 152 (24p/e) plus those dividends maybe like $4.67 after taxes.  So, on the low side I’d be looking at 5.68% gain…and on the high end like 10.48%.  They are selling high.  I’ll keep the previous price point, but to get that 15% gain, I’d need to buy them at about 35.

MCD-MCDONALDS CORP selling for 115.18.  They had a great year, but now they are overpriced.  Short interest is at 1.11%.  Cap is at 105b.  P/E is at 24.88.  Dividend is at 3.09.  Analysts are neutral.  Book is at 9.05 per share.  EPS growth is expected to be 8.23 moving forward along with 10% this past year.  Return on equity is at like 41.  Debt to equity is at 151%.  Compounded earnings growth is at like 4.9.  So expected earnings growth of 8 is ok.  Their return on equity is always high, average of 25.  By any stretch, this stock is overpriced.  I’d pay 75.  Upon review, EPS is about 4.8 and of that .89 is paid as a dividend.  So their dividend is about 18% of their earnings.  So 3.91 is retained, and equity is increased and/or debt is paid from this.  So we could say that equity would be 39 in 10 years.  Return on equity is at 20%. Maybe 7.8 per share for a share price of about 156-187, plus all those dividends.  Maybe $11ish.  So if I bought them for 115: I’m looking at a pretty shitty gain.  Maybe 5ish%.  I think my 75 price point was generous.

KO-COCA COLA COMPANY- Selling for 41.5.  Their 52 week low is 36.56.  They have a 180b cap.  .71 short interest.  Dividend is at 3.18.  P/E is at 26.6.  Analysts are bullish for whatever reason. Book is 6/share.  Earnings growth is at like 2.85 moving forward.  Growth in book is at like 4.1%.  Return on equity is at 24.23%.  Debt to equity is at 99%.  Earnings are not really very steady.  Return on equity is always high cuz of that debt.  This company has headwinds with the shift to healthier diets that I anticipate.  I just don’t see people drinking sugar water in 10 years like they did 20 years ago. The stock doesn’t make sense when I want that 15% growth.  I could buy em at like 20.  Upon review, they have 1.56 in earnings per share.  And they pay out .33 in dividends.  So they reinvest and pay that debt with the remaining 1.23 per share.  They pay their dividend at about 21% of their earnings.  So let’s say their retained return on equity growth figure is more like 16%.  So lets say they have book of 34 in 10 years.  Their earnings figure could be 8.5 per share and given historical multiples between 15 and 25 for p/e: we’d be looking at a share price of 127 or 212.5 plus those dividends at like $3 bucks after tax.  So that’s an 11% gain per year up to a 17% after tax gain per year.  I’d look at the low side….and I suspect their figures are misleading.  I’ll revise my buy figure to 30.  I suspect they’ll be a laggard even at that price.  Old doods sure do like their dividends.