Friday, March 28, 2014

Got Some CBS Outdoor

I decided to jump back into the IPO game and was allocated a few shares in CBS Outdoor (Ticker: CBSO). I actually do like this company and will probably hang on for a bit. I didn’t think bill boards would have a high barrier to entry, but apparently they do. CBS Outdoor occupies some of the very best locations such as New York City. They are actually grandfathered in many of their prime locations as current regulations would prohibit the building of new bill boards. I can see nice steady growth for this company from higher ad rates and the conversion to digital bill boards. Finally, the conversion to REIT status will be another plus so there are lots of catalysts to move this stock higher over time. The last thing on my radar was to own a piece of a bill board company, but this company is nice a cash machine.

What else am I doing? I’ve been doing a lot of Put selling on Gilead (Ticker: GILD). If Gilead drops far enough, I wouldn’t mind owning the stock. Longer term, this company / stock will do well…


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