Locator: 48710CSX.
Updates
Later, 10: 21 a.m. CT: link here.
Original Post
For the meteor showers, link here.
But now? The Cramer hour.
Let's see if NBC allows him back on the air. Yup, there he is.
LOL.
Leads with UNP and NSC: first American transcontinental railroad in modern era. And ever in the history of the US.
$320 / share; currently trading at $286. $85 billion deal.
FTC:
- three Republicans
- one Democrat
- one vacant seat
- Trump will appoint a Republican to fill that vacant seat; to be named in December, 2025
- needs to be fact-checked: CNBC is reporting something different (but at end of day, makes no difference)
Thoughts:
- CSX
- if FTC approves one transcontinental railroad, needs to approve both
- will be a two-year process; most of that time selling it to the public, unions, shareholders;
- has Warren Buffett been building a cash position to make one last huge purchase?
- I don't think there's any way Buffett would let arch competitor UNP have the only transcontinental railroad
- Buffett's been very, very quiet, but he continues to see assets and no big purchases announced as far as I know -- disclaimer: this is not an investment site.
Back of the envelope, CSX:
- 320 / 268 = x / 36
- x = $43 / share
- 67 / x = 36 / 43
- x = $80 billion
Everything fits.
The big, big, big deal: Trump leaves office having "built" two transcontinental railroads.
The "re-industrialization" of America.
Think about all the story lines.
Politics: Governor Newsom / California can't even build a short state railroad from Los Angeles to San Francisco, with cost trending toward $150 billion. Two US transcontinental railroads, $160 billion ($85 billion + $85 billion).
President Trump leaves office with two transcontinental railroads. The US has never had a transcontinental railroad (much less two) owned by one company. The first transcontinental railroad in the United States was not owned by a single company. It was built by two companies: the Central Pacific Railroad and the Union Pacific Railroad. These companies built separate sections of the line, which eventually met in Promontory, Utah.
Quick: name one thing -- just one thing that would be a better example -- a better photo op -- a better story -- to politicize that America is back! Two transcontinental railroads.
In Elizabethan times / Shakespeare era: the "king maker" was "John of Gaunt."
2025: the "deal maker" is President Trump.
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Cramer Continues
Unitedhealth (UNH): huge miss. Huge. Cramer and Faber both say they don't know how UNH could have gotten this so wrong.
Novo Nordisk AS (NVO): also shocking. Down 21% in pre-market trading. Blames Lilly.
Second big story: Baker Hughes to buy Chart Industries. Wow. Chart has air exchangers for cooling, think data centers. Chart Industries has a lot of pieces -- but the cooling piece is very, very interesting. One may want to start following TRANE.
AI is an energy story. It's now a "cooling" story.
Just how expensive is the California bullet train: link here.
- every resident in Los Angeles and San Francisco could take 200 round trip flights between these two cities for $135 billion that the Bullet Train is now projected to cost. Will likely be more.
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Disclaimer
Brief
Reminder
Briefly:
- I am
inappropriately exuberant about the Bakken and I am often well out front
of my headlights. I am often appropriately accused of hyperbole when it
comes to the Bakken.
- I am inappropriately exuberant about the US economy and the US market.
- I am also inappropriately exuberant about all things Apple.
- See disclaimer. This is not an investment site.
- Disclaimer:
this is not an investment site. Do not make any investment, financial,
job, career, travel, or relationship decisions based on what you read
here or think you may have read here. All my posts are done quickly:
there will be content and typographical errors. If something appears wrong, it probably is. Feel free to fact check everything.
- If anything on any of my posts is important to you, go to the source. If/when I find typographical / content errors, I will correct them.
- Reminder: I am inappropriately exuberant about the Bakken, US economy, and the US market.
- I am also inappropriately exuberant about all things Apple.
- And now, Nvidia, also. I am also inappropriately exuberant about all things Nvidia. Nvidia is a metonym for AI and/or the sixth industrial revolution.
- I've now added Broadcom to the disclaimer. I am also inappropriately exuberant about all things Broadcom.
- Longer version here.
