New buys -- GOL and MKL
I picked up one new position and added to another one late on Friday.
I wrote after their earnings release that I was still very happy with Gol and with their remarkable management team and growth prospects -- no need to rehash that here, but I found myself unable to resist nibbling a little more at the stock. After seeing the shares begin to decline in the mornign I put in a limit order at $25.50 that was filled near the end of the day at $25.47, so I'm the proud owner of a few more shares of GOL. I think I'm in near the ground floor of a remarkable growth story here, and in my opinion the only significant risks are related to the possibility that Brazil's economy might stop growing ... not a huge risk, in my opinion. I love the disclosure the company provides, their ability to beat their competitors on costs and service, and the huge untapped market. This will be enough for me for a while -- GOL is now one of my five largest holdings.
And I also wrote last week, while the market was in the doldrums, that I was looking at an investment in Markel (MKL). No time to write it up in detail now, but I picked up a small MKL position at $339.20 on Friday. Very solid insurance company with a great reputation for not writing unprofitable business, and a nice counterpart to much of my portfolio because, like Buffett's Berkshire Hathaway, Markel uses it's float to build a strong portfolio of undervalued equities. Markel is entering the profitable maritime energy insurance business and should see nice pricing in some of their lines following the hurricanes, and their overseas offices -- especially the London business -- look like they might be ready to contribute significantly to earnings going forward. Will write some more about my argument for buying Markel when I can, though reading insurance company earnings can sometimes cause drowsiness.
I wrote after their earnings release that I was still very happy with Gol and with their remarkable management team and growth prospects -- no need to rehash that here, but I found myself unable to resist nibbling a little more at the stock. After seeing the shares begin to decline in the mornign I put in a limit order at $25.50 that was filled near the end of the day at $25.47, so I'm the proud owner of a few more shares of GOL. I think I'm in near the ground floor of a remarkable growth story here, and in my opinion the only significant risks are related to the possibility that Brazil's economy might stop growing ... not a huge risk, in my opinion. I love the disclosure the company provides, their ability to beat their competitors on costs and service, and the huge untapped market. This will be enough for me for a while -- GOL is now one of my five largest holdings.
And I also wrote last week, while the market was in the doldrums, that I was looking at an investment in Markel (MKL). No time to write it up in detail now, but I picked up a small MKL position at $339.20 on Friday. Very solid insurance company with a great reputation for not writing unprofitable business, and a nice counterpart to much of my portfolio because, like Buffett's Berkshire Hathaway, Markel uses it's float to build a strong portfolio of undervalued equities. Markel is entering the profitable maritime energy insurance business and should see nice pricing in some of their lines following the hurricanes, and their overseas offices -- especially the London business -- look like they might be ready to contribute significantly to earnings going forward. Will write some more about my argument for buying Markel when I can, though reading insurance company earnings can sometimes cause drowsiness.
This article posted by One Guy @ 3/13/2006 11:21:00 AM 0 comments
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