Tuesday, February 21, 2017

Wealth: Stock Alert

Hello again loyal followers and guests. Today I want to talk about one of my potential buys - Tupperware! I have reviewed this company in the past but recent times have changed my outlook on where it stands. This leaves me at a new opinion of the company as a whole and it also left me wanting to share my thoughts.

Tupperware (TUP) is a manufacturer and distributor of multiple Tupperware brands such as the ever so recognizable containers and other not so recognizable lines that follow cosmetics and personal care products. While the company itself has shown little to no real motion other than hills and dips over the last year, the company as a whole still has a lot of buying potential.

One of the key items that has always seemed to stick with me is the product's inability to become irrelevant regardless what portion control items try to do. While our waist lines seem to get bigger and bigger, our ability to make more and more food continues to astound. This leaves the product itself with an ever increasing market. Pair this with the potential for a recession (which will inevitably come) and one has a recipe for a great buy. This is why I intend to purchase shares in the near future.



Here are the fundamentals:

Tupperware Brands Corp - TUP

EPS: 4.41
P/E Ratio: 13.25x
Annual dividend: $2.72 /  4.66%

Ex-dividend date: 3/16/2017

TREND: Downwards and then stabilizing over the last year
PROFIT MARGIN: 10.10%

BALANCE:
Total Cash: 93.20M
Total Debt: 711.90M

Or if you would rather just watch the breakdown of this stock, you can watch the new YouTube channel where I share my thoughts. 


Thank you everyone for stopping by to pay me a visit here. If you liked this post or if you enjoyed getting this in video form, please make sure to comment, like, and subscribe. Until next time, adios! 

5 comments:

  1. Hey Reaper, thanks for the stock alert and video! I hope you continue doing them. Thanks for putting TUP on my radar.

    p.s. - killer beard, wish mine looked that good.

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    1. Thanks for the support. It means a lot when you put yourself out there on video to see the positive response. Also, thanks for admiring the beard. The wife was against it at first but it has "grown" on her.

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  2. A couple of things.

    1) Good for you doing YouTube! I suggested to FI Fighter at one point he do YouTube because he was looking to change things up. He started videos shortly after. Let's watch and see how many Bloggers/Vloggers start to follow this lead. They ALL should because it is the way of the future. Kudos for you to getting out in front.

    2) TUP - I don't see it on David Fish's CCC? This means that while the yield looks juicy--and I agree it is a brand everyone knows, it has no track record of increasing the payout, which is usually what DGI investors look for (I look for that).

    3) I have not done a single piece of research on TUP except cursory reading to response to this video.

    4) You are correct this has been a money loser since 2013--total downward trend. Usually folks like to see the turn-around first before investing.

    5) FastGraphs (10-year line) has TUP overvalued (in my opinion). If I was going to buy based on FG, it would be at the $46-$48 level to get some deep value. I see this hovering in $50-55 range for the next few years. Wait for the major pull back with no history of stability.

    All that said, I think I will add TUP to my watch list because I like 4.7% yields on name brands. Much DD needs to be performed. Most of all, keep doing videos on YouTube. You will eclipse all other DGI/DGI wannabe and general investors in readership if you do.

    Note: I have subscribed and I am the first. Lets watch you grow. This will be fun I think.

    I watch many a YouTube channels on many subjects and have watched them grow over time. The good ones grow. People are dropping cable like flies (like me) and YouTube is a main source of TV viewership for many.

    Good luck, your first subscriber on YouTube.

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    1. Thank you for the great response. This is what I love about the DGI community. Things I may miss are always picked up by others and it helps to open my eyes to them.

      I'll admit that the lack of raises in dividends over time aren't as attractive as some others, it is nice to see such a healthy yield, even if it stays the same for a little while. This is important for a portfolio as young as mine where I need bigger hitters for quick jet fuel to propel it forward. Then, at a later date I can drop it off and reload it into something that will produce raises as well.

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  3. Nothing wrong with yield/income plays. I have a few myself.

    They are RDS.B 6.8%, BP 7.1% & F 5.1%--the rest increase.

    I'd rather by BP right now at 7.1% with no increase than TUP at 4.7% with no increases.

    There are plenty of "pure" income plays out there with better yields and better prospects. OHI is another 7.8% and they are increasing the divi.

    There is just too much more interesting out there now (in an uninteresting market) than TUP

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