What Matt Drudge Predicted is Now Becoming a Reality After 20 years

Matt Drudge gave a speech before the National Press Club in Washington, D.C. in 1998. He was already deemed an internet leader in both news and aggregated news distribution. His Drudge Report challenged the ethos of the newspaper society, which was just the beginning of dynamic revolutionary change in the news world order. The Drudge Report made friends, added enemies, created new futures and helped forced everyone in the industry to change many times over in order just to stay relevant.

99 Cents Only Stores Update – Restructuring News

This week, Durig Capital provides a brief update on 99 Cents Only Stores LLC, a deep discount retailer whose bonds we have reviewed in the past for our Fixed Income 2 (FX2) High Yield Managed Income Portfolio. 99 Cents Only Stores has recently been challenged by its outstanding debt obligations. Here are some of the highlights:

  • Deep discount retailer 99 Cents Only Stores recently completed an arrangement with creditors which would eliminate many of their short term debt obligations.

  • Debt to equity swaps are a common method  companies use to improve liquidity.

  • Under the newly agreed upon terms, 99 Cents Only Stores will issue common and preferred stock for some of its outstanding debt.

 Recent Financial Statements

Magnachip Semiconductor Bonds, Short Term, High Yield, Fixed Income Investment, Yielding 7.25% YTM

This week, Durig Capital takes a second look at an issuer involved in the design and manufacture of semiconductors. Magnachip Semiconductor (NYSE:MX) has been around for over three decades and is currently the largest independent supplier of OLED display drivers to panel makers for smartphones. The company is riding the wave of transition from LED to OLED in the smartphone world. This has paid handsomely as its full year 2018 results can attest (above). In addition, the company’s first quarter also posted continued wins for its Standard Products division.

Dogs of the Dow: Does It Work, and Should It Have a Place in Your Portfolio?

Last month, Durig Capital explored several variations of the classic Dogs of the Dow Investment Strategy. Later in the article, we examined the historical performance of these strategy variations, benchmarked against the performance of Durig’s own unique Dogs of the Dow Portfolio Strategy. The original strategy designed by Michael O’Higgins in the book “Beating the Dow” in 1991 was designed for just that; beating the Dow Jones Industrial Average (DJI).

Denbury Bonds, Short Term, High Yield, Fixed Income Investment, Yielding 18.25% YTM

This week, Durig Capital looks at an oil producer who has built its company using non-traditional production techniques. Denbury Resources (NYSE:DNR) has been successfully using enhanced oil recovery (EOR) techniques to build its name in the world of tertiary oil production. The company had a fantastic 2018 as well as a solid first quarter.

Free Online Digital Content Publishing Platforms – Where Readers Have a Voice

Communal News is one of the fastest growing free online digital platforms…where the readers have access to write on our open contributor platform. Between Communal News readers, Google News distribution, and distribution on all the main social media sites where people get their news, CN is the most open content publishing platform on the internet. We have added a wide variety of contributors (well over 600!) and in a very short time have seen over 2,000 articles published on the Communal News free online digital platform– not bad for a very new product launch!

Gran Colombia Gold Bonds or “Gold Notes”, Short Term, High Yield, Fixed Income Investment, Yielding 8% YTM

Beyond Belief… this may be the most fascinating debt instrument we have ever reviewed.

Rising with the price of gold, the cash flow and yield of Gran Colombia Gold’s senior secured “Gold Notes” appears to be headed straight into the land of unbelief.  Perhaps what we see here is either wrong… or something in this picture seems to have quietly escaped the attention or the view of most other investors in the high yield bond market.  Granted, this is not a straightforward and easily understood issue because of the quarterly interest boost linked to its amortized quarterly redemption of principle when the price of gold is higher 1250 per ounce.  However, it is precisely this “hard to be understood” feature that is driving its current push into the land of dreams.

Gold Moves Up Big; Is This the Beginning of a Monster Move, or a Dead Cat Bounce?

First, why is gold moving up?

We talked with experts and they explain the dollar is weakening. They are pricing in rate cuts they expect to U.S. interest rates. Donald Trump lashed out at the Federal Reserve, comparing it to ‘a stubborn child.’ He and the stock market are pushing for lower rates. As rates appear to be going down, gold historically moves in the opposite direction of U.S. currency. This downward push in dollars is pushing gold up.

Is gold being pushed out by cryptocurrencies?

Increase Your Income – Writing News

Build a Writing Business with News!

  • Your news articles posted immediately on Communal News, Google News, Twitter, Facebook, LinkedIn. and many more. Incredible freedom to write what you have a passion for, when you want. Work from anywhere in the world, allowing you to enjoy the lifestyle of ultimate freedom. Make more money than your friends building a carrier as a journalist. We pay one of the highest pay per view rates in the industry, with no costs to you.

    See your written articles posted immediately on Communal News, Google News, Twitter, Facebook, LinkedIn. and many more.

  • The writing and publishing world is rapidly changing and it takes a lot of work for writers and journalists to get noticed and properly paid on the web. Traditional corporate journalism is slowly dying and skilled writing positions are being eliminated all over, even at premium national news companies. This is making it harder for readers to find high-quality, accurate news reporting. Meanwhile, the news, social media and internet website messaging business becomes even more competitive and interactive each and every year. We believe writers need a professional outlet and not the Uber model.
  • That’s why Communal News introduced their new online paid contributor services, allowing writers and journalists to focus on their craft while letting Communal News do the heavy lifting. We manage the fast growing digital distribution, advertising, and editing– all to help you save time and write a superior, timely product.

Hertz Bonds, Short Term, High Yield, Fixed Income Investment, Yielding 6.5% YTM

For this week’s bond review, Durig Capital ventures into the auto world to look at one of the leading auto rental companies in the U.S. and around the world. Hertz Global (NYSE:HTZ) had a fantastic 2018 and 2019 looks to be shaping up much the same.

  • First quarter 2019 is the seventh consecutive quarter the company has recorded year-over-year growth.
  • Total revenues were up 2% (during one the company’s historically slow quarters), up 4% on a constant currency basis.
  • Revenues in the U.S. grew by 7%.
  • Cash flow provided by operating activities grew by 28% over first quarter 2018.
  • First quarter 2019 interest coverage of 3.4x.

Dogs of the Dow: Durig’s Past Performance Runs Ahead of the Pack

This week, Durig Capital explores a popular variation of the classic Dogs of the Dow investment strategy, introduced by Michael O Higgins in the early 1990’s.  The strategy has been widely accepted by some for its simplicity and repeatability, yet denounced by others for the exact same. Durig Capital believes less complicated is better; fewer moving parts mean fewer potential points of failure, and has done well historically with it’s own unique version of this simple strategy, discussed later in the article.

Submit News: How to Get Your Article Listed on News Hubs Like Google News – Digital Comparison

Submitting Article to News Sites as a Contributor

(Image: news.google.com)

This article is about how to become a contributor who gets their news articles listed on Google News. This article is not about building a website or blog business to work with Google News.

Most writers simply want to write news and don’t want to deal with all the work involved in building an internet company. If you’re a journalist, and/or a quality writer, and you want to get into the news cycle, than this article is for you.

Are German Banks in Trouble?

Could Deutsche Bank be too big to fail? The bank’s stock hit a record low as UBS downgraded it to sell.

Deutsche Bank is the biggest bank in Germany, followed by Commerzbank, the bank that Deutsche just tried and failed to buy. Commerzbank opened merger and acquisition talks this week with others banks. Both banks are at best only marginally profitable which is becoming normal in Germany’s banking sector.

New Dogs of the Dow Significantly Outperforms Major Indices

This week, Durig Capital reviews its own version of a time-proven investment strategy. The Dogs of the Dow investment strategy is a simple way for investors to design a portfolio around the “dogs” of the broader Dow Index, and rebalance it annually. Durig Capital’s Dogs of the Dow (DoD) portfolio has, since its inception in June 2017, resulted in a less volatile portfolio with excellent returns when compared the the broader Dow index.

Explore Over 17% YTM with California Resources Corporation, Bonds Mature September 2021

This week, Durig Capital takes a look at a unique oil and gas producer. California Resources Corporation (CRC) produces oil, natural gas and natural gas liquids (NGL) strictly within the state of California. Most people know that California is one of the largest states (physically) in the U.S. But most probably don’t know that it represents the world’s 5th largest economy. Against this backdrop, CRC produces oil, natural gas and NGLs and sells all of it in the state of California. This looks to be a great situation for CRC – a local buyer for all of its product and a huge appetite for more. CRC, a spinoff of Occidental Petroleum in 2014, has spent the past few years recovering from the oil doldrums of 2016 and it looks to be on the upswing. Some of the highlights from its most recent quarterly results in bullet points above.

The Bitcoin Rally Up 132% Year-to-date. Why?

With the launch of several new products, Bitcoin future contacts hit a new high in future volumes.  This is the same Bitcoin that in November of 2018 had us asking Where is the Bitcoin Bottom?

Even though on a technical basis it appeared ready for a bounce, the news for Bitcoin has just been getting better as more and more large American companies become involved.

Here are some reasons why Bitcoin is having a great 2019:

Litecoin and XRP Lists on Germany’s 2nd Biggest Stock Exchange

Börse Stuttgart, Germany’s second biggest stock exchange and the 9th largest in Europe, has sanctioned two new ETNs (Exchange-traded Notes)- Litecoin (LTC) and XRP. According to a company press release, this is the first kind of announcement in Germany.

Börse Stuttgart has declared that like ETFs, ETNs are also strictly regulated, a transparent and protected instrument that can be used by an investor to invest in different assets or they can buy or sell ETNs based on the cryptocurrencies Litecoin and Ripple.

Produce Over 9.5% YTM with AK Steel, Bonds Maturing October 2025

This week, Durig Capital looks at one of the leading producers of steel products in the United States. AK Steel has been working diligently over the past few years to increase its competitiveness in the marketplace. Its design of its own ultra high-strength steel (UHSS) has produced excitement amongst the company’s automotive customer base. In addition, AK Steel’s acquisition of Precision Partners a few years ago has been very lucrative as that acquisition has now resulted in approximately $50 million in additional future revenues. The company recently released its first quarter results for 2019. Amongst some of the highlights:

Find Over 6.7% YTM with Tenneco Inc., Bonds Mature December 2024

This week, Durig Capital takes a look at an industrial designer, manufacturer and marketer of aftermarket parts for light vehicles, commercial trucks and other industrial uses. Tenneco Inc. recently posted a fantastic fourth quarter and full year results in large part due to its recent acquisition of Federal-Mogul. Highlights include:

Later this year, Tenneco will create two separate, market leading companies from its acquisition of Federal-Mogul.  Federal-Mogul brings strong brands, products and capabilities that are complementary to Tenneco’s portfolio. Creating two new product focused companies with stronger product portfolios will allow each of them to move faster in executing on their specific growth priorities.

A Golden Opportunity with Monthly Paying “Gold Notes” from Gran Colombia Gold, Over 8% YTM, Mature April 2024

This week, Durig Capital reviews the largest underground gold and silver producer in Colombia.  Gran Colombia Gold has staged an amazing transformation from just a short three years ago, when Durig Capital began to carefully follow this issuer.  After completing a well-timed and skillfully crafted restructure of its balance sheet early in 2018, the company has consistently continued to smash its production targets, and has once again impressed us with its most recent results for the fourth quarter and full-year 2018.

Updated Review of Entrec Corporation, 16% YTM, Maturing June of 2021

This week, Durig Capital reviews a Canadian heavy haul transportation and crane company. Entrec Corporation provides heavy haul transportation and crane solutions to the oil and gas, construction and power generation industries, among others.  Entrec’s most recent results for both its fourth quarter and full year 2018 showcase healthy growth in the company’s U.S. operations. And given the volatility in oil and gas late last year, the company’s results are even more impressive.

Pick Up 6.6% YTM with Quad Graphics, Bonds Maturing May 2022

This week, Durig Capital reviews a traditional print-based marketing company that is undergoing a transformation. Quad Graphics (recently rebranded to just Quad) is in the midst of implementing its Quad Transformation 3.0 plan. This plan is helping to add core marketing expertise to the company’s service offerings. This has been accomplished mainly through acquisitions. The company’s most recent financial results show some of the progress on this plan.

Get Connected with Frontier Communications, Nearly 23% YTM, Bonds Mature April 2022

This week, Durig Capital takes a look at a company that provides communications services for consumers and businesses across the U.S. Frontier Communications has spent most of 2018 making progress on its transformation initiatives that are designed to reduce costs, increase profitability and improve the balance sheet. The company recently released its fourth quarter and full year results for 2018. The company is showing progress on its initiatives.

Frontier Communications’ April 2022 bonds are currently trading at a significant discount, giving them an outstanding yield-to-maturity of about 23%. These bonds provide investors with an excellent opportunity for diversification into the essential service of internet connection. Considering Frontier’s solid free cash flow and excellent interest coverage, these 2022 bonds make an ideal addition to Durig Capital’s Fixed Income 2 (FX2) High Yield Managed Income Portfolio, which historically, has done well in a rising interest rate environment, shown below.

Pull Nearly 12% YTM with CSI Compressco, Bonds Mature August 2022

This week, Durig Capital takes a look at a company that provides compressions services and equipment for the oil and gas industry. CSI Compressco (CCLP) has had multiple successive quarters where the company has increased revenues and its latest quarter did not disappoint. Included with this increase were several other notable achievements.

With the continued demand for LNG and the current and planned LNG terminals in the U.S. and Canada, CSI Compressco looks to be perfectly positioned to take advantage of this demand. In light of the company’s solid performance in 2018, the company’s short-term bonds maturing 2022 are an ideal candidate for additional weighting in Durig Capital’s Fixed Income 2 (FX2) High Yield Managed Income Portfolio, shown below.

Fed’s Jay Powell, Interest Rates, and Trump

Earn Over 23.5% YTM with Community Health Systems, Bonds Mature February 2022

This week’s bond review focuses on one of the nation’s largest publicly traded hospital companies. Community Health Systems, Inc. (NYSE: CYH). CYH has spent the past few years divesting hospitals in an effort to reshape its portfolio towards urban and suburban markets. The company continues to make that shift and has now added urgent care centers in some of those markets to help drive additional patients to its hospitals. Its fourth quarter and full-year 2018 results look to be an indicator that the transformation is gaining a foothold.

Harvest Nearly 15% YTM with Pyxus International, Formerly Alliance One, Bonds Maturing July 2021

This week, Durig Capital looks at a longtime company that has adopted a new name to reflect its new direction. Pyxus International, formerly Alliance One, is well into its “One Tomorrow” transformation plan, where it has added new products to its product base of leaf tobacco. The company has entered into producing e-liquids, cannabis and cannabis related products.

Bring Home 9.0% YTM with Conn’s Inc., Bonds Maturing July 2022

This week’s bond review delves into the retail sector with a specialty retailer of durable consumer goods who also offers its customers financing on their purchases. Conn’s Inc., which is headquartered in Texas, has a market presence that stretches across the southern United States. Conn’s set some records in its most recent quarterly results (third quarter for its fiscal year 2019).

  • Record third quarter retail gross margin of 41.2%
  • Record quarterly credit segment revenues of $89.9 million.
  • For the first nine months of fiscal year 2019, the company registered its second highest nine month operating income ever
  • Excellent interest coverage of 2.4x.

Do You Have an IRS Audit Coming?

Find Over 8.5% YTM with Owens & Minor, Bonds Mature September 2021

This week, Durig Capital looks to the healthcare industry, where a medical supply logistics provider has made some key acquisitions to broaden its revenue sources. Over the past 18 months, Owens & Minor has acquired Byram Healthcare, a direct to patient medical supply distributor, along with Halyard’s surgical and infection prevention (S&IP) business.  Combined, these two acquisitions are slated to add $1.45 billion in annual revenues for Owens & Minor. The company’s last reported quarterly results (third quarter 2018) show revenue growth coming through these most recent additions.

China, US Trade and the Economic Effects

An Introduction to Durig Capital’s Dogs of the Dow Portfolio Strategy

 This week, Durig Capital reviews its own version on a time-proven investment strategy. The “Dogs of the Dow” investment strategy was introduced by Michael B. Higgins in the early 1990’s as a simple way for investors to design a portfolio around the “dogs” of the broader Dow index, and re-balance it annually. Durig Capital has created its own version on this investment strategy which has historically resulted in a less volatile portfolio and has produced excellent returns since its inception in June 2017.

  • Since its inception (June 6, 2017) Durig’s “Dogs of the DOW” Portfolio has generated a total return of 14.26% (as of January 22, 2019). Over the same time period, the greater Dow index generated a return of 11.37%. So, Durig’s “Dogs of the DOW” portfolio returned 25% more than the index.

  • Most notably, during the selloff in the fourth quarter of 2018, Durig’s portfolio was down -5.23% while the greater Dow index was down -11.30%. These figures are as of January 22, 2019.

  • Year-to-date in 2019, the Durig portfolio was up 1.56%, while the greater Dow index was up 4.71% (as of January 22, 2019). This statistic, along with the results from fourth quarter 2018 illustrate the portfolio’s reduced volatility.

Google Quarterly Businesses Breakdown

Find Nearly 9% YTM with Magnachip Semiconductor, Bonds Mature July 2021

This week, Durig Capital ventures to the technology sector to review an issuer involved in the design and manufacture of semiconductors. Magnachip Semiconductor (NYSE:MX) has been around for over 30 years and is the largest independent supplier of OLED display drivers to panel makers for smartphones. The company’s latest reported quarterly results (three months ending September 30, 2018) were excellent.

 

  • Adjusted EBITDA increased 13% year-over-year.

  • Gross profits were up 10.8% over the prior year period.

  • Operating income increased by 17.9% over Q3 2017.

  • Revenues were up 16.6% year-over-year and were at the highest levels since Q4 2012.

  • Interest coverage over 3x for the third quarter.

Apple’s Quarterly Businesses Breakdown

Are Oil Prices About to Gush?

New SALT Taxes are Going to be Shocking to Many