Debt Ceiling, Stock Thoughts: VMC, ARA

Debt Ceiling

The date that I am waiting for, March 6, the debt ceiling deadline is moved to May 18.

A good article for those who are interested about it:

http://blogs.wsj.com/washwire/2013/02/04/obama-signs-debt-ceiling-law-now-what/

VMC

Results of annual stockholders meeting:

http://www.pse.com.ph/resource/disclosures/2013/pdf/dc2013-1252_VMC.pdf

VMC has interesting amendments on its articles of incorporation:

  1. Co-generation
  2. Entry to ethanol production
  3. Participation to public-private partnership with the government

Entry of VMC to co-generation is expected but ethanol production and PPP was a surprise.

There are still strong sellers for VMC shares.

ARA

Nice price action for ARA.

https://fundamentalenthusiast.wordpress.com/2013/01/16/araneta-properties-inc-pse-ara/

Don’t confuse it with SLI with SLRDI ok?

https://fundamentalenthusiast.wordpress.com/2013/01/16/slrdi-pse-sli-confusion/

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5 thoughts on “Debt Ceiling, Stock Thoughts: VMC, ARA

  1. I believe VMC is positioning its self to tourism and power generation. The revival of the Negros railway system can be used in multiple ways.
    1.) Sugar cane delivery
    2.) Public transportation
    3.) Tourist tour ride to the vast sugar cane plantation and time frozen hasiendas in Negros

    Reply
      • What I see in VMC is that they are looking for a more stable income generation option for the company. This is good for a long term investor perspective. Hedging the company from volatile sugar prices.

        1.) Refine sugar from sugar cane
        2.) Ethanol form Molases
        3.) Energy form production of both products
        4.) Reduction of sugar cane transportation and goods transportation
        5.) Opportunity of having becoming a cheap source of logistic alternative using the rail road system.
        6.) Tourism opportunity form revival of Negros railway system

  2. Pingback: debt thoughts

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