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Category: in focus

In Focus… RRD

Posted on November 6, 2012 in dividend investing in focus

Today we’re going to take a look at R.R. Donnelley & Sons Co. (RRD). RRD provides commercial printing, logistics, and information services to its customers. Based in Chicago, RRD has about 58,000 employees and a market cap of approximately $1.84 billion.

Let’s look at the basics for RRD (all data as of 11/5/2012): (more…)

In Focus… NGPC

Posted on November 1, 2012 in dividend investing in focus

Welcome to the next in our somewhat sporadic In Focus… series. Today we take a look at NGP Capital Resources Co. (NGPC).

NGPC is interesting. It’s a relatively new financial services company organized by Natural Gas Partners. Natural Gas Partners is a capital management firm that specializes in investing private equity capital in the energy sector (oil and gas production, power companies, oilfield services, etc.). They currently manage $10.8 billion in a family of funds. NGPC was founded in 2004 as a vehicle for providing structured capital to the energy and natural resources industries via a wide variety of debt and equity offerings. NGPC has a stated goal of generating both income and capital appreciation. (more…)

Risk Analysis ARR

Posted on October 26, 2012 in dividend investing in focus risk analysis

Today I want to take another look at the subject of yesterday’s In Focus… post: ARR.Yesterday we looked at some of the benefits of this stock and talked a little bit about why it might be a good investment. One thing we should never forget, however, is to analyze the risks associated with any investment. And given the fact that ARR is a REIT, there are plenty of risks to consider.

To begin, let’s remember how ARR goes about it’s business. ARR sells short term debt (repurchase agreements, or repos), buys longer term debt (typically GSE MBSs, or Government Sponsored Entities Mortgage Backed Securities), and the difference is the gross yield margin. That’s it in a nutshell. (more…)