Wednesday, January 12, 2011

Bye Bye Talisman (TLM)

I recently sold my position in TLM @ $22 and change. TLM reached my conservative estimate of the company's intrinsic value. While TLM continues to be a well run company lead by John Manzoni, at over 2X book and 18-20X forward earnings it's time to move along. The risk/reward combo has now flipped. There's more downside risk than upside potential. I have used some of the proceeds to add to US financials and another much smaller oil/gas company based in the US that's currently out of favour.

Andre

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