4S Ranch Allied Gardens Alpine Baja Balboa Park Bankers Hill Barrio Logan Bay Ho Bay Park Black Mountain Ranch Blossom Valley Bonita Bonsall Borrego Springs Boulevard Campo Cardiff-by-the-Sea Carlsbad Carmel Mountain Carmel Valley Chollas View Chula Vista City College City Heights Clairemont College Area Coronado CSU San Marcos Cuyamaca College Del Cerro Del Mar Descanso Downtown San Diego Eastlake East Village El Cajon Emerald Hills Encanto Encinitas Escondido Fallbrook Fletcher Hills Golden Hill Grant Hill Grantville Grossmont College Guatay Harbor Island Hillcrest Imperial Beach Imperial Valley Jacumba Jamacha-Lomita Jamul Julian Kearny Mesa Kensington La Jolla Lakeside La Mesa Lemon Grove Leucadia Liberty Station Lincoln Acres Lincoln Park Linda Vista Little Italy Logan Heights Mesa College Midway District MiraCosta College Miramar Miramar College Mira Mesa Mission Beach Mission Hills Mission Valley Mountain View Mount Hope Mount Laguna National City Nestor Normal Heights North Park Oak Park Ocean Beach Oceanside Old Town Otay Mesa Pacific Beach Pala Palomar College Palomar Mountain Paradise Hills Pauma Valley Pine Valley Point Loma Point Loma Nazarene Potrero Poway Rainbow Ramona Rancho Bernardo Rancho Penasquitos Rancho San Diego Rancho Santa Fe Rolando San Carlos San Marcos San Onofre Santa Ysabel Santee San Ysidro Scripps Ranch SDSU Serra Mesa Shelltown Shelter Island Sherman Heights Skyline Solana Beach Sorrento Valley Southcrest South Park Southwestern College Spring Valley Stockton Talmadge Temecula Tierrasanta Tijuana UCSD University City University Heights USD Valencia Park Valley Center Vista Warner Springs

Brandes Looks for Undervalued Stocks; Today, His Big Positions Are Certainly Valued Low in the Market

San Diego's Brandes Investment Partners, which manages $125 billion of investors' money, looks for undervalued stocks. The stocks in which Charles Brandes's firm has big positions are certainly valued low in today's market, and as of now, Brandes has big losses. On Sept. 30 of last year, the firm reported that it owned a big chunk of McClatchy, the newspaper chain. The stock was selling for $20.04 then; now it's $10.35. Brandes owns 9.95 percent of the company now. At the same time, Brandes said it owned a slug of the largest newspaper chain, Gannett. The stock has come down from $43.70 to $33.72 today. Brandes has 10.17 percent of Gannett. It looks like Brandes will lose a bundle in Countrywide, the big, troubled mortgage peddler. Brandes reported it owned 7.9 percent of the company on Sept. 30 of last year, when the stock was at $19.74. On Jan. 11, the company agreed to be bought by Bank of America for $7.16 a share. Now it's selling for $6.84. Today's Wall Street Journal reported that Brandes had $1 billion in Alcatel-Lucent at last year's end, when it was selling for $7.32 Now it's $6.25. Charles Brandes has completed a 54,000 square foot home on 30 acres in Rancho Santa Fe, where he lives with his new, beautiful wife. Forbes Magazine, which lists Charles Brandes among the 400 richest Americans, says the home is worth $60 million. Brandes tells tax authorities it is worth less.

Here's something you might be interested in.
Submit a free classified
or view all

Previous article

San Diego Asian Film Festival 2021 sampler

Reviews of Beyond the Infinite Two Minutes, Inside the Red Brick Wall, and Islands
Next Article

The revelation and revival of 3-D

What I wouldn’t give for the deep-focus enhancement of Bambi’s Multiplane Camera pyrotechnics

San Diego's Brandes Investment Partners, which manages $125 billion of investors' money, looks for undervalued stocks. The stocks in which Charles Brandes's firm has big positions are certainly valued low in today's market, and as of now, Brandes has big losses. On Sept. 30 of last year, the firm reported that it owned a big chunk of McClatchy, the newspaper chain. The stock was selling for $20.04 then; now it's $10.35. Brandes owns 9.95 percent of the company now. At the same time, Brandes said it owned a slug of the largest newspaper chain, Gannett. The stock has come down from $43.70 to $33.72 today. Brandes has 10.17 percent of Gannett. It looks like Brandes will lose a bundle in Countrywide, the big, troubled mortgage peddler. Brandes reported it owned 7.9 percent of the company on Sept. 30 of last year, when the stock was at $19.74. On Jan. 11, the company agreed to be bought by Bank of America for $7.16 a share. Now it's selling for $6.84. Today's Wall Street Journal reported that Brandes had $1 billion in Alcatel-Lucent at last year's end, when it was selling for $7.32 Now it's $6.25. Charles Brandes has completed a 54,000 square foot home on 30 acres in Rancho Santa Fe, where he lives with his new, beautiful wife. Forbes Magazine, which lists Charles Brandes among the 400 richest Americans, says the home is worth $60 million. Brandes tells tax authorities it is worth less.

Sponsored
Here's something you might be interested in.
Submit a free classified
or view all
Comments
6

Could be worse, Brandes could have invested in student loan giant Sallie Mae, whose stock has dropped over 75% in the last 6 months-

Feb. 7, 2008

Response to post #1: Yes, Sallie Mae would have been much worse. He could have done worse in several other kinds of stocks. Value investors often look bad for awhile before they look good. However, I don't think Brandes has much chance of looking good in either Countrywide or McClatchy. But he could do well in Gannett and Alcatel-Lucent. Best, Don Bauder

Feb. 7, 2008

Gannett, as you have pointed out about newspapers, is a wildcard.

Sam Zell just bought the LA Times, at a very lofty price. Sam Zell didn't become a rich man making boneheaded moves, so maybe the paper business is not a dying bread after all.

Feb. 7, 2008

Speaking of papers.

Don, here is a link to an article pontificating about the declining circulation of papers, and goes far beyond the Internet explanation.

I must ask though-did the UT have many of these miniskirted women selling ad space when you worked there??????

Man, I may have been in the wrong line of work.

http://roguecolumnist.typepad.com/rogue_columnist/2008/01/whats-really-wr.html

“The biggest problem, of course, had nothing to do with the newsrooms. It was the collapse of an unsustainable business model. Simply put, the model involved sending miniskirted saleswomen out to sell ads at confiscatory rates to lecherous old car dealers and appliance-store owners. Protecting these profits, whether from national, local or classified ads, became the central focus of newspaper bosses. These areas were the most vulnerable to new competitors. But the condition of the industry by the 1990s – risk averse, promising unrealistic margins, losing its best talent, ignoring ideas outside its preconceived notions – left it unable to meet these threats.”

Feb. 7, 2008

Response to post #3: Zell basically stole the Tribune, parent of LA Times. Zell hardly put any of his own money in. The debt is selling for a discount of something like 25 percent on that deal. Tribune now wildly overleveraged. Employees supposedly own it. Fraud. Best, Don Bauder

Feb. 7, 2008

Response to post #4: I got to the San Diego Union in 1973. By then, the miniskirt craze was just about over. In any case, Copley used, and still uses, sobersided men, for the most part, to sell ads. The newspaper model is definitely out of date, but don't blame it on miniskirted lasses selling ads to lechers. The demographics, societal changes (youth not reading, e.g.) and technology just left the industry in the dust. And few saw it coming until the late 1990s, yet the handwriting was on the wall in the mid-1980s. Best, Don Bauder

Feb. 7, 2008

Sign in to comment

Sign in

Ask a Hipster — Advice you didn't know you needed Big Screen — Movie commentary Blurt — Music's inside track Booze News — San Diego spirits Classical Music — Immortal beauty Classifieds — Free and easy Cover Stories — Front-page features Drinks All Around — Bartenders' drink recipes Excerpts — Literary and spiritual excerpts Feast! — Food & drink reviews Feature Stories — Local news & stories From the Archives — Spotlight on the past Golden Dreams — Talk of the town Letters — Our inbox [email protected] — Local movie buffs share favorites Movie Reviews — Our critics' picks and pans Musician Interviews — Up close with local artists Neighborhood News from Stringers — Hyperlocal news News Ticker — News & politics Obermeyer — San Diego politics illustrated Outdoors — Weekly changes in flora and fauna Overheard in San Diego — Eavesdropping illustrated Poetry — The old and the new Reader Travel — Travel section built by travelers Reading — The hunt for intellectuals Roam-O-Rama — SoCal's best hiking/biking trails San Diego Beer — Inside San Diego suds SD on the QT — Almost factual news Sheep and Goats — Places of worship Special Issues — The best of Street Style — San Diego streets have style Surf Diego — Real stories from those braving the waves Tin Fork — Silver spoon alternative Under the Radar — Matt Potter's undercover work Unforgettable — Long-ago San Diego Unreal Estate — San Diego's priciest pads Your Week — Daily event picks
4S Ranch Allied Gardens Alpine Baja Balboa Park Bankers Hill Barrio Logan Bay Ho Bay Park Black Mountain Ranch Blossom Valley Bonita Bonsall Borrego Springs Boulevard Campo Cardiff-by-the-Sea Carlsbad Carmel Mountain Carmel Valley Chollas View Chula Vista City College City Heights Clairemont College Area Coronado CSU San Marcos Cuyamaca College Del Cerro Del Mar Descanso Downtown San Diego Eastlake East Village El Cajon Emerald Hills Encanto Encinitas Escondido Fallbrook Fletcher Hills Golden Hill Grant Hill Grantville Grossmont College Guatay Harbor Island Hillcrest Imperial Beach Imperial Valley Jacumba Jamacha-Lomita Jamul Julian Kearny Mesa Kensington La Jolla Lakeside La Mesa Lemon Grove Leucadia Liberty Station Lincoln Acres Lincoln Park Linda Vista Little Italy Logan Heights Mesa College Midway District MiraCosta College Miramar Miramar College Mira Mesa Mission Beach Mission Hills Mission Valley Mountain View Mount Hope Mount Laguna National City Nestor Normal Heights North Park Oak Park Ocean Beach Oceanside Old Town Otay Mesa Pacific Beach Pala Palomar College Palomar Mountain Paradise Hills Pauma Valley Pine Valley Point Loma Point Loma Nazarene Potrero Poway Rainbow Ramona Rancho Bernardo Rancho Penasquitos Rancho San Diego Rancho Santa Fe Rolando San Carlos San Marcos San Onofre Santa Ysabel Santee San Ysidro Scripps Ranch SDSU Serra Mesa Shelltown Shelter Island Sherman Heights Skyline Solana Beach Sorrento Valley Southcrest South Park Southwestern College Spring Valley Stockton Talmadge Temecula Tierrasanta Tijuana UCSD University City University Heights USD Valencia Park Valley Center Vista Warner Springs
Close