Tillman going public

Read an article in Houston Chronicle about Fertitta taking
his empire public. If not mistaken , this is the 2nd time he has
done this. Going from private to public to private and now back to
Public again. No doubt he is a talented businessman and knows
what he is doing. Would you be willing to invest in this new endeavor
with the state of travel and hospitality industry just now ? The golden
opportunity to get in at the “bottom” before a boom ?

From what I have read, the primary reason/focus for the new direction is to be able to be better positioned to build on gambling and casinos. He is keeping a portion of his holdings private. He was outbid for the last opportunity for Caesar’s, so apparently trying a new strategy.

Gambling is definitely a growth industry at this point.

Kinder Morgan has done similar. When they think the market is undervaluing their assets, they go private

I know Dell has made this type of private/public switch a few times too. How does
the little guy fare in these events ? So , yeah, I guess it has happened a few times, but
Is a bit interesting event.

Little guy? Like a mouse when a herd of elephants start dancing


Did a little deeper dive into the Dell case and found the following info.
My conclusion, in this one case, it was a good deal for the little
guy Investor.

Dell Inc went public at $8.50 a share on 6/22/1988. It ceased being public
on 10/29/2013 and was private for about 6 years. It returned latet being
traded as Dell Technologies after the EMC merger. If you bought 100 shares
on 6/22/1988, with all the stock splits , you would have had 9,600 shares on
10/2013 ( Assuming I did the stock split math correctly ) . Should be noted that
small investor would probably not have been able to purchase shares at the IPO
time and would have had to pay more. But still, it seems like in this case it would
Have been a good investment. Also should note, Dell Tech. seems to have a pretty
high debt load.


How many little guys hold stock of a single company for 25 years (other than in an index fund)?

Me. I’ve owned XOM & D since around 1979. Dividends!

Sold a large chunk of D (Virginia Electric & Power) to start my insurance busness

Not saying it doesn’t happen but it’s not that typical. Especially when you add from the original IPO.

Bought some more XOM when it went under $35 recently

I’m a holder as well. I’ve had Microsoft for a longtime . And I bought it because I hated
Their products so much but I saw it taking over the corporate landscape back in the day.

That was a great buy.

I think the XOM yield at $35 was close to 10%.

Yep, the concern at the time was if they could continue to make that work. Prices have gone up significantly since and XOM will be fine if they hold.

I think they are underestimating Guyana.

There are head winds and who knows what things will look like in 10 years. But I agree things look good longer term for XOM. Guyana is a big deal.

While I still think big oil will have at least
one more boom and bust cycle, picking up xom at $35 was a good buy. Long term
xom and cvx seem to have non sustainable strategy, as Rdsa, bp, and total seem to
Have embraced a more diverse energy future, to greater degree. Still, the question as always,
when do you get out and take the profits. And how to reinvest the profits.

That’s all debatable and probably wouldn’t be good on this board. And long term is relative. We will have to see how it all plays out.

The new kids on Wall St hate oil and won’t invest in it. That will change at $75 a barrel. The key to a good economy is low cost energy. That means oil and gas for the rest of my life.

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Agree oil is out of favor today, and agree $75/b is definitely within range at some point.
To get economy rolling we need low oil prices while it is still the dominant source. However
I don’t think high energy prices and robust economy are mutually exclusive. But it all comes
down to timing. I can’t say $75/b is 6 months away , 2 years away, or 5+ years away. If forced to
bet , I’d say we are 1.5 - 2 years away from $75 oil.

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