Studies in securities

Bibliographic data

Monograph

Identifikator:: 1757542078

URN:: urn:nbn:de:zbw-retromon-134903

Document type:: Monograph

Title:: Studies in securities

Edition:: Revised

Place of publication:: New York

Publisher:: Jas. J. Oliphant & Co.

Year of publication:: 1927

Scope:: 81 S.

Digitisation:: 2021

Collection:: Economics Books

Usage license:: Get license information via the feedback formular.

Chapter

Document type:: Monograph

Structure type:: Chapter

Title:: Anaconda Copper Mining Co.

Collection:: Economics Books

STUDIES IN SECURITIES Intense competition by the copper selling companies at home and abroad, as productive capacity has been so great, has kept the price of the red metal abnormally low. Operations of the Copper Export Association, it is hoped, will alleviate this situation. At the close of 1926 Anaconda’s treasury position was strong. Cur- rent liabilities totaled $20,021,000 and current assets $115,561,000 including $28,312,000 cash and marketable securities. Copper is a metal for which no substitute has ever been found. Its consumption is in fundamental industries and expansion in de- mand has been continuous except for the abnormal period follow- ing the tremendous output of war years. Anaconda Copper Min- ing Co. occupies a dominating position here; its big expansion has been successfully accomplished ; its management and financial con- dition is excellent; its stock, paying $3 dividend, is the medium for participation in the copper mining, refining, and fabricating business. Atchison, Topeka & Santa Fe Ry. Hardly due to luck the earnings of Atchison, Topeka & Santa Fe Ry. were substantially greater in 1926 than ever before. A favor- able set of circumstances simply brought to light the earning ability secured by long continued heavy investment of surplus. Last financing was in 1916 and from 1917 to 1926 Atchison turned approximately $195,000,000 surplus income into the property. Theretofore, according to 1916 official statement, since the start in 1896 about $343,000,000 had been spent for improvement and extension and but $225,000,000 of this was provided by sale of bonds or stock. Also $101,010,000 has been accumulated for equip- ment depreciation beyond actual retirement needs. Against a book value of $244 a share of common stock, excluding the $43 additional in equipment reserve, the earnings do not seem extraor- dinary, viz. : 1926. 0, ... . 223.42 LORE Er 1924... 15.46 1923... a 0.315.458 1922..." 12.42 1921 12.13 Road and equipment beginning 1927 had $878,000,000 depreciated value upon which 6% earnings would pay 4.07% average interest on $277,178,000 bonds and 5% dividends on $124,173,000 pre- ferred stock leaving 159% for $232,410,000 common stock. Per- haps the true value of transportation property at current costs is some $300,000,000 more and if so the legitimate operating earnings on the common stock would be half as much again. In addition [251

Access restriction

Copyright

fullscreen: Studies in securities

Monograph

Chapter

Table of contents

Download

Monograph

Chapter

This page

Image fragment

Citation links

Citation recommendation