I can’t remember the last time that all of my stocks were up. 28 of them were up by more than 1%. If anyone would like to track the performance of my broad market portfolio, I have it listed at Stockpickr.com. Two notes though, at present I am running with 8% cash, and Allstate and the Japan Smaller Capitalization fund are roughly 1.5x the size of the largely equal-weighted portfolio. Today, the portfolio continued to beat the S&P 500, returning roughly 1.9%. Leading the charge were Fresh Del Monte (what a move over the last month), Barclays plc, Royal Bank of Scotland, SABESP (wish it had gone down more, would have bought a bunch), and Deerfield Triarc. Deerfield Triarc pointed out that as a mortgage REIT, they had minimal exposure to subprime mortgages. No surprise to me, but in this environment, everyone is suspect. Nice yield of around 10%.
As for my project of the week, I have all of my tickers contending to be in my portfolio, and I will share them with you here:
ABY ACI ADM AGU AIMC AL AMGN AMK APPB AVT AXL AYI BBV BEZ BG BGG BLX BP BPOP BRL BRNC BTU CAJ CAKE CALM CAR CAT CHK CMI CMP CNQ COO DB DF DGX DSW DT DUK EAC EAT ECA EMN ENI EPD ESV EVEP FCL FINL FL FSTR GGC GI GIL GMK GMR GPI GRC GSF HAL HES HSOA HTCH HTZ ICO IDCC INSP IOM JRCC KBR KOMG KONG KPN LABL LAD LCUT LINE LMC LNG LNX LRW LSCO MCHX MEE MEG MOT MU MUR MWE NAT NBR NCOC NEM NFX NGPC NOV NTE NXG NXY NZT OCR OPMR PCA PD PDS PHG PMTC POT PSO R RAD RDC RIG RIO RSG RSH RTP SCM SKX SNSA SON SPC STX STZ SUG SVU SWFT TAP THE TJX TK TKR TMA TMO TNP TOT TSCO TSN TSO TUES UNT URI VLI WDC WERN WIRE WPI WTI YRCW YZC
The next two tasks are calculating the industry ranks from two different models, and setting up the spreadsheet so that I can compare companies against one another. That’s for tomorrow and Thursday.
Full Disclosure: Long ALL FDP BCS RBSPF SBS DFR JOF
Is there any reason why you would prefer to buy PD before the merger rather than just buy FCX, when the they trade so closely?
I was interesting to see (mostly generic) drugs, coal, and disk drives/parts so heavily represented in your watch list, though. I’ve read your RM work for a while, and I don’t recall you investing heavily in those sectors before (at least not to the same degree as food, oil, or land/timber).
Congratulations on the great peformance yesterday!
You are correct, those are sectors I haven’t visited in a long while. Once I run my industry models this evening, that may toss a few more names into the mix. With respect to PD, that was a slip-up… I forgot about the merger.
And yesterday was just that, yesterday. I don’t expect another day like that for a long time, if ever. Thanks for reading.
Fantastic work David!!
yes, 35 up out of 35 is hard to beat!
but KOMG, MOT, MU, and STX? You’re either starting a technology fund or you’ve been hanging out with Cody Willard too much!…lol
I see that you have STZ on your list…what do think of DEO, who is also in that sector?
long DEO
Thanks, Paul… don’t expect to ever have another day like that ever.
aliens8mycow — The tech names are possibilities, as are the rest of them. As I go through the process, you’ll see how I eliminate names. As for DEO, it’s a very well run firm, but outside the valuation box that I typically play in.
Oh, yes. Cody likes it when we have a name in common. 🙂
aliens8mycow – sorry, you provoked a minor rant 🙂
I’d argue that the hard drive names definitely belong on a value investing shopping list given they trade 10xFY2008 estimates. I own STX and have agonized over KOMG and HTCH… but have not pulled the trigger because manufacturers might have an edge over the disk/spindle suppliers after all of the consolidation. I like WDC, too, but didn’t want to become too concentrated in the sector.
I think they all may have gotten unfairly knocked down by the thesis of flash replacing HDs within a few years. I think that’s a little unrealistic as the storage density is not close, nor is the cost/MB, and the demand from businesses will be around for a long time considering the effort needed to change so much data center infrastructure.
And when I when I see so much online video growth priced into AKAM and ADBE, I wonder if the market really appreciates how much storage digital media requires? Just holding the files for one video company takes hundreds of GBs to multiple TBs, stored on arrays of multiple enterprise class drives (not the ones in your desktop). And that’s just storing the content, which is then pushed out to edge servers in content networks (like AKAM’s or Limelight’s) which will have to have fairly beefy storage, too. Then you need to account for how many of this expanded based of drives will need to be replaced per year (i found this article after googling a little, in case you anyone’s curious http://www.pdl.cmu.edu/PDL-FTP/Failure/failure-fast07_abs.html).
Best luck with Diageo!
(long STX)
One note — I deeply appreciate James Altucher for mentioning this blog post, but the first line of the post was ambiguous. This was about one single day, not YTD performance.
That said, It’s rare to see any diversified portfolio, even on a great day to have 35 of 35 stocks up. And for what it’s worth, 22 of the 35 stocks are up YTD. 30 of 35 have a gain since purchase. I’m a singles hitter, not a home run hitter.