Posted on November 4, 2020
This week’s A Jew and His Gold is brought to you by a 40 oz. Texas T-bone steak – fatty as they come (kosher slaughter, of course) – with marinade of your choice and an ice cold can of Schlitz to wash it down.
Ladies and gents, we believe in meat. And we have a feeling you do, too.
In fact, if we had to characterize this investment letter in its broadest terms, we’d call it ‘options con carne’, and we’d like you to recommend it to all your friends as such.
And so long as we’re talking about recommendations, here’s another one: we recommend you remain highly suspect of all who cross your path professing an anti-beef weltanschauung.
You’ll be glad you did.
We raise the issue of ingesting animal protein for the sole reason that today’s trade involves mid-cap agribiz Bunge Limited (NYSE:BG), St. Louis based marketers of NON-MEAT edibles since 1818.
And why have we decided to feast on them?
Aside from the technicals, which we’ll address in a moment, the company’s shares have soared 107% since the Batflu bottom and now sport –
And that something is earnings growth.
More specifically, BG’s EPS for the last five years is -39%.
In the last year, they’re down 833%.
And projections for next year see a decline of an additional 15%.
So where’s the proverbial beef?
Many happy returns!