So just a brief update.
AAPL just had their Greatest Of All Time (GOAT) quarterly earnings report. This earnings call put Apple 4th out of the top 10 best quarterly earnings of a companies of all time... most of the top 10 are Oil and Gas companies. As expected, this boosted the stock up to $493.17 today. Just 7 points shy of Jim Cramer's $500 price mark. In as much as I want to get more Apple stock, I want to do more research whether or not the stock still has room to run. Pending any new product launch in the next 2-3 months, I think I'll wait for a pull back before getting more AAPL.
My LULU position also did well since my last post. Being up 27% makes me consider to take some profits. If only I had more than 7 shares of LULU. After fees and taxes, my profits would be under $20. So I think, I'll let it ride a bit more or get some more shares. My thesis is still solid. I still see a lot of Lululemon customers in the gym and even the new active wear line from the GAP (GPS) only solidifies my theses: The Healthy Mind and Body movement has some wings besides, bikini season is just 3 months away. It also helps that the unusually warm winter helped more people work out more.
Finally, XLNX might be giving me a well deserved profit. Finally give me a 0.43% appreciation. Of course I can't sell it at that price... fees and taxes. Plus, it's new hardware season. I bet XLNX would be part of it.
All in all, my portfolio is up 16.43% ($397.46). Mainly due to Apple, LULU and GLD.
some might even say we're in a Bull Market. I think now is the time for some cautious investing optimism.
Upcoming Dividend pay outs:
XLNX - EX-Dividend date Feb 6, 2012. Dividend date: Feb 28.
ETP - EX-Dividend date Feb 3, 2012 Dividend date: Feb 13.
Showing posts with label Mad Money. Show all posts
Showing posts with label Mad Money. Show all posts
Thursday, February 9, 2012
Tuesday, January 17, 2012
Auto Investment Plan for January 17, 2012 Results
The market was in general up today and here are the results of my Auto Investment plan that triggered today:
ETP = 2.4459 shares @ $47.43
KFT = 2.5093 shares @ $38.26
MO = 3.3151 shares @ $28.96
I was just pennies off the 01/10/12 prices so it's no big deal. Unfortunately, the new positions did not show how it it did for my fund after the closing bell. However, ETP showed well today and is one of the 3 positions that are up today which brings my fund up 14%.
ETP = 2.4459 shares @ $47.43
KFT = 2.5093 shares @ $38.26
MO = 3.3151 shares @ $28.96
I was just pennies off the 01/10/12 prices so it's no big deal. Unfortunately, the new positions did not show how it it did for my fund after the closing bell. However, ETP showed well today and is one of the 3 positions that are up today which brings my fund up 14%.
Thursday, January 12, 2012
Oil Prices Go Up... so I getting more ETP
There's a labor strike in Nigeria which would threaten oil supplies in the near future. I do not have positions in the oil but I have ETP in my energy sector play. I'm also counting on an increase of natural gas usage as the winter progresses. Therefore, here's my plan:
Along with next Tuesday's Automatic Investment Plan, I'm investing an additional $120.00 in ETP. After the $4 fee, I'll probably end up with 2.4462 shares (at $47.42 as of 9:03 am 01/12/12). This would bump up my Oil and Energy position and along with my Consumer Goods plays (KFT and MO), would balance out my asset allocation.
The DOW and the Market are ticking downward since the rally earlier this week. Profit taking as expected. This is good since I'll be getting my purchases on the pullback.
Along with next Tuesday's Automatic Investment Plan, I'm investing an additional $120.00 in ETP. After the $4 fee, I'll probably end up with 2.4462 shares (at $47.42 as of 9:03 am 01/12/12). This would bump up my Oil and Energy position and along with my Consumer Goods plays (KFT and MO), would balance out my asset allocation.
The DOW and the Market are ticking downward since the rally earlier this week. Profit taking as expected. This is good since I'll be getting my purchases on the pullback.
Tuesday, January 10, 2012
New Year, New Stock Positions
One of my New Year's Resolutions is to find new companies to invest in. Even though my portfolio did well in 2011 in spite of the end of year Euro woes, I still need to have more diversity that would shore up my performance and hedge my bets from volatility.
In 2011, I noticed most of my gains came from AAPL and at times, LULU. I am grateful but I believe I need something that would perform well and would take the load off AAPL and LULU.
Therefore, I'm looking for companies that would be a great fit in my portfolio.
I am currently looking at Altria (MO). This company is in the Consumer Goods sector where it is in good company with Pepsi (PEP, General Mills (GIS), Clorox (CLX) and Kraft (KFT). Basing on the PEG rations, only KFT beat MO in terms of being "cheap" in an apples-to-apples comparison.
Looking at the charts, both MO and KFT trended closely together throughout 2011. Both outperforming the S&P 500.
MO's financials looks solid according to their latest 10-Q filing and they are cash flow positive this last quarter thanks to a debt refinance that was done in the previous quarter. MO had a pre-tax judgement made against them, however, they have been proactive in lowering their yearly guidance and enacted some cost-cutting measures in order to preserve the dividend yield and business did well enough to off-set the additional expense for this quarter. Even though there was a slight decrease of market-share among smokers, the success of the e-cigarette helped boost MO's earnings. As sad as I am to say this, as long as people smoke, I would remain bullish with MO. I'll just watch out for government regulations, additional taxes and class-action lawsuits against MO.
Altria's Numbers: Jan 10, 2012 end of trade day
last trade = $28.91
day's range = $28.78-$29.00
52 week high = $30.40 low = $23.20
P/E = 17.30
EPS = $1.67
Div & Yield = $1.64 (5.70%)
PEG = 1.74
Kraft's Numbers: Jan 10, 2012 end of trade day
last trade = $38.02
day's range = $37.90-$38.15
52 week high = $30.21 low = $38.05
P/E = 20.74
EPS = $1.83
Div & Yield = $1.16 (3.10%)
PEG = 1.66
Kraft is in the diversified foods industry and keeps MO company in the consumer goods sector. It would be almost impossible to not find a KFT product in a typical household pantry. In the Nov 4, 2011 10-Q filing, KFT proposed to spin-off its businesses into 2 independent public companies: 1) The Global Snacks Business and 2) The North American Grocery. Of course, this would be subject to regulatory review and it would probably cost the company a lot of money and might trigger some sell-off from nervous investors. KFT posted an increase in net revenues and is expected to keep growing as the operating costs would go done as soon as the integration of Cadbury is complete.
Not everything is rosy in KFT as they have a legal dispute with the Starbucks CPG Business over breach of agreements concerning the control of the Starbucks packaged coffee products in the grocery store. This dispute can be a distraction and legal fees might eat in the gross profits of KFT.
KFT's income statement looked solid although the cash flow statement made me a little uneasy. As I mentioned before, I am wary of companies who have a negative cash flow. Although KFT can explain this by the Cadbury acquisition and the spin-off proposal, I still worry about debt repayments that are due and interest payments from these loans. I'm sure management would refinance and pay down these debts but the prospect of not having enough cash could mean a cut in the dividends or massive lay-offs just to keep the stock price from dropping.
My worries were alleviated a bit by the knowledge that Berkshire Hathaway and the Vanguard Group are invested in KFT. Cramer also recommended getting some KFT along with wallstreet analyst giving it a strong buy. If I were to buy KFT, I would base it it's growth estimates and customer mind share. Besides, packaged food is not a cyclical product as people would still eat in spite of the recession.
Here's what I'll do:
I'll buy MO and KFT. I'll put in $100 in each position which after fees would yield me 3.32 share of MO and 2.52 shares of KFT (est based on today's closing prices). My target to ride the current upward trend of these stocks and to keep buying if these stocks end up in a sell off. I'll use these positions as my recession defense stocks which I expect would take the load of my AAPL and LULU stocks.
In 2011, I noticed most of my gains came from AAPL and at times, LULU. I am grateful but I believe I need something that would perform well and would take the load off AAPL and LULU.
Therefore, I'm looking for companies that would be a great fit in my portfolio.
I am currently looking at Altria (MO). This company is in the Consumer Goods sector where it is in good company with Pepsi (PEP, General Mills (GIS), Clorox (CLX) and Kraft (KFT). Basing on the PEG rations, only KFT beat MO in terms of being "cheap" in an apples-to-apples comparison.
Looking at the charts, both MO and KFT trended closely together throughout 2011. Both outperforming the S&P 500.
MO's financials looks solid according to their latest 10-Q filing and they are cash flow positive this last quarter thanks to a debt refinance that was done in the previous quarter. MO had a pre-tax judgement made against them, however, they have been proactive in lowering their yearly guidance and enacted some cost-cutting measures in order to preserve the dividend yield and business did well enough to off-set the additional expense for this quarter. Even though there was a slight decrease of market-share among smokers, the success of the e-cigarette helped boost MO's earnings. As sad as I am to say this, as long as people smoke, I would remain bullish with MO. I'll just watch out for government regulations, additional taxes and class-action lawsuits against MO.
Altria's Numbers: Jan 10, 2012 end of trade day
last trade = $28.91
day's range = $28.78-$29.00
52 week high = $30.40 low = $23.20
P/E = 17.30
EPS = $1.67
Div & Yield = $1.64 (5.70%)
PEG = 1.74
Kraft's Numbers: Jan 10, 2012 end of trade day
last trade = $38.02
day's range = $37.90-$38.15
52 week high = $30.21 low = $38.05
P/E = 20.74
EPS = $1.83
Div & Yield = $1.16 (3.10%)
PEG = 1.66
Kraft is in the diversified foods industry and keeps MO company in the consumer goods sector. It would be almost impossible to not find a KFT product in a typical household pantry. In the Nov 4, 2011 10-Q filing, KFT proposed to spin-off its businesses into 2 independent public companies: 1) The Global Snacks Business and 2) The North American Grocery. Of course, this would be subject to regulatory review and it would probably cost the company a lot of money and might trigger some sell-off from nervous investors. KFT posted an increase in net revenues and is expected to keep growing as the operating costs would go done as soon as the integration of Cadbury is complete.
Not everything is rosy in KFT as they have a legal dispute with the Starbucks CPG Business over breach of agreements concerning the control of the Starbucks packaged coffee products in the grocery store. This dispute can be a distraction and legal fees might eat in the gross profits of KFT.
KFT's income statement looked solid although the cash flow statement made me a little uneasy. As I mentioned before, I am wary of companies who have a negative cash flow. Although KFT can explain this by the Cadbury acquisition and the spin-off proposal, I still worry about debt repayments that are due and interest payments from these loans. I'm sure management would refinance and pay down these debts but the prospect of not having enough cash could mean a cut in the dividends or massive lay-offs just to keep the stock price from dropping.
My worries were alleviated a bit by the knowledge that Berkshire Hathaway and the Vanguard Group are invested in KFT. Cramer also recommended getting some KFT along with wallstreet analyst giving it a strong buy. If I were to buy KFT, I would base it it's growth estimates and customer mind share. Besides, packaged food is not a cyclical product as people would still eat in spite of the recession.
Here's what I'll do:
I'll buy MO and KFT. I'll put in $100 in each position which after fees would yield me 3.32 share of MO and 2.52 shares of KFT (est based on today's closing prices). My target to ride the current upward trend of these stocks and to keep buying if these stocks end up in a sell off. I'll use these positions as my recession defense stocks which I expect would take the load of my AAPL and LULU stocks.
Wednesday, October 26, 2011
Actual Shares Bought, ETP updates and Portfolio Recap
So my Automatic Investment Plan from a few days ago kicked in. Unfortunately, LULU and ETP went up a little bit so my "fraction" shares purchase was a wee bit smaller. No big deal.
Here's what my $280 was able to buy:
Fees: $8 ($4 per stock transaction)
LULU = 2.5689 shares @ $52.94
ETP = 3.0418 shares @ $44.71
Portfolio Recap (as of 10/26/11 @10:17 am PST):
AAPL = 2.1473 shares = $848.12 (+$98.12/0.13%)
ETP = 4.0809 shares = $187.72 (-$16.17/-0.18%)
GLD = 1.0349 shares = $173.85 (+$23.85/0.16%)
LULU = 7.3301 shares = $377.87 (-$1.08/-0.00%)
WM = 2.0556 shares = $70.12 (-$11.25/-0.14%)
XLNX = 6.2161 shares = $196.12 (-$32.17/-0.14%)
Total = $1,853.79 (+$61.29/3.42%)
Not bad... my fund is up 3.42% (from March 22, 2011 thru October 25, 2011) when the DOW Jones average is down 2.60% (from March 22, 2011 thru October 25, 2011) and the S&P 500 Index is down 5.00% (from March 22, 2011 thru October 25, 2011). I actually outperformed these two indexes. Does that mean I'm a genius? No. Perhaps I'm just lucky or perhaps I'm just not exposed to more volatile positions like the financial, industrial, etc sectors. Besides, AAPL shored up my fund and is my largest position dollars wise. Also, I picked 3 positions that paid dividends and that helped with my yield. Also, my loses aren't so bad and it was mainly because of the fees I incurred during my early stock purchases... lesson learned.
ETP Update - I was watching my daily Mad Money with Jim Cramer podcast and he had the CEO of ETP as a guest. Cramer liked ETP except for the LPG business side of the company. We found out from the CEO that ETP is planning to sell off the LPG side of the business and they already have a buyer. He also said that they would focus more on the transport and storage of natural gas which can be lucrative for the company especially if and when the US decides to use more natural gas instead of oil. He also does not believe that the US would be exporting the excess natural gas but the company is also hedged for the possibility. Cramer reiterated his opinion for ETP and actually gave his blessing especially because his only negative is going away (LPG business). Personally, I bought more shares of ETP prior to this on the thesis of the future use of natural gas during the winter months and that big juicy dividend and yield.
Next moves - I still have to put in $100 each month in my Sharebuilder Account to get that bonus (I forgot if it's $50 or $1000) and I think I found an extra $280 from my monthly take home pay so I can probably allocate some of that into my portfolio.
As you can see above, I'm a little light on my GLD and WM positions. WM pays a dividend and GLD is a great hedge for inflation and worse-case scenario situations. I would also like to have more AAPL so I might try to sneak in a huge influx of cash so I can get 2-3 more shares of my beloved Apple. But for next month, definitely I'll get some more GLD, WM and ETP. Perhaps, I can buy shares of AAPL is fractions of a share at a time.. but we'll see.
Here's what my $280 was able to buy:
Fees: $8 ($4 per stock transaction)
LULU = 2.5689 shares @ $52.94
ETP = 3.0418 shares @ $44.71
Portfolio Recap (as of 10/26/11 @10:17 am PST):
AAPL = 2.1473 shares = $848.12 (+$98.12/0.13%)
ETP = 4.0809 shares = $187.72 (-$16.17/-0.18%)
GLD = 1.0349 shares = $173.85 (+$23.85/0.16%)
LULU = 7.3301 shares = $377.87 (-$1.08/-0.00%)
WM = 2.0556 shares = $70.12 (-$11.25/-0.14%)
XLNX = 6.2161 shares = $196.12 (-$32.17/-0.14%)
Total = $1,853.79 (+$61.29/3.42%)
Not bad... my fund is up 3.42% (from March 22, 2011 thru October 25, 2011) when the DOW Jones average is down 2.60% (from March 22, 2011 thru October 25, 2011) and the S&P 500 Index is down 5.00% (from March 22, 2011 thru October 25, 2011). I actually outperformed these two indexes. Does that mean I'm a genius? No. Perhaps I'm just lucky or perhaps I'm just not exposed to more volatile positions like the financial, industrial, etc sectors. Besides, AAPL shored up my fund and is my largest position dollars wise. Also, I picked 3 positions that paid dividends and that helped with my yield. Also, my loses aren't so bad and it was mainly because of the fees I incurred during my early stock purchases... lesson learned.
ETP Update - I was watching my daily Mad Money with Jim Cramer podcast and he had the CEO of ETP as a guest. Cramer liked ETP except for the LPG business side of the company. We found out from the CEO that ETP is planning to sell off the LPG side of the business and they already have a buyer. He also said that they would focus more on the transport and storage of natural gas which can be lucrative for the company especially if and when the US decides to use more natural gas instead of oil. He also does not believe that the US would be exporting the excess natural gas but the company is also hedged for the possibility. Cramer reiterated his opinion for ETP and actually gave his blessing especially because his only negative is going away (LPG business). Personally, I bought more shares of ETP prior to this on the thesis of the future use of natural gas during the winter months and that big juicy dividend and yield.
Next moves - I still have to put in $100 each month in my Sharebuilder Account to get that bonus (I forgot if it's $50 or $1000) and I think I found an extra $280 from my monthly take home pay so I can probably allocate some of that into my portfolio.
As you can see above, I'm a little light on my GLD and WM positions. WM pays a dividend and GLD is a great hedge for inflation and worse-case scenario situations. I would also like to have more AAPL so I might try to sneak in a huge influx of cash so I can get 2-3 more shares of my beloved Apple. But for next month, definitely I'll get some more GLD, WM and ETP. Perhaps, I can buy shares of AAPL is fractions of a share at a time.. but we'll see.
Friday, April 1, 2011
Third Stock Pick
Today, I got in Energy Transfer Partners, L.P. (ETP) at $52.14 (even though my LO is $52.15 - I must have typed a "4" instead of a "5".. lucky for me).
I got charged the standard $9.95 commission for the trade. So total transaction is $62.09
I first heard about ETP from Jim Cramer's Mad Money. What struck me with the stock is the dividend yield of 6.70% which considered high. this made me think if the stock is an accidental high yielder... maybe so. So After I waited the standard two day grace period (to avoid the "Cramer Bump"), I Put in my LO and got in my position.
I got the stock due to high dividend yield and as my Natural Gas play. Due to the Nuclear disaster in Japan and the Middle East Tensions, I predict that Oil and Natural Gas will spike in prices as we lead in to the Spring and Summer months (Lots of people would be driving). As Cramer repeatedly mentioned in his show, Natural Gas is a more practical bridge fuel for our cars and energy use than solar and wind energy. Also, the USA has a surplus or Natural Gas that we may EXPORT some to other countries.
Also, ETP makes their money thru Natural Gas Midstream, intrastate transport and storage in the US plus they also have a network of retail Propane Gas stores. ETP's debt mostly consists of investments in pipelines and discovering new sources of Natural Gas. As mentioned in their 10k report, ETP knows that failure to invest in pipelines and new sources of Natural Gas will severely damage their gross margins and market growth. Therefore, even though I do not like companies with a lot of debt outstanding, the reasons ETP gave sounds reasonable and is necessary to further their growth and competitive edge.
However, I will keep a watchful eye on this stock. My goal is to own 10 shares of ETP by 12/31/11. I would sell if the following happens: 1) Dividend is cut/ Eliminated 2) Government regulations hinder or hurt the adaptation of Natural Gas as a viable alternative source of energy.
Exit strategy is my standard 10% gain or the stock reaching a high of $60.
I got charged the standard $9.95 commission for the trade. So total transaction is $62.09
I first heard about ETP from Jim Cramer's Mad Money. What struck me with the stock is the dividend yield of 6.70% which considered high. this made me think if the stock is an accidental high yielder... maybe so. So After I waited the standard two day grace period (to avoid the "Cramer Bump"), I Put in my LO and got in my position.
I got the stock due to high dividend yield and as my Natural Gas play. Due to the Nuclear disaster in Japan and the Middle East Tensions, I predict that Oil and Natural Gas will spike in prices as we lead in to the Spring and Summer months (Lots of people would be driving). As Cramer repeatedly mentioned in his show, Natural Gas is a more practical bridge fuel for our cars and energy use than solar and wind energy. Also, the USA has a surplus or Natural Gas that we may EXPORT some to other countries.
Also, ETP makes their money thru Natural Gas Midstream, intrastate transport and storage in the US plus they also have a network of retail Propane Gas stores. ETP's debt mostly consists of investments in pipelines and discovering new sources of Natural Gas. As mentioned in their 10k report, ETP knows that failure to invest in pipelines and new sources of Natural Gas will severely damage their gross margins and market growth. Therefore, even though I do not like companies with a lot of debt outstanding, the reasons ETP gave sounds reasonable and is necessary to further their growth and competitive edge.
However, I will keep a watchful eye on this stock. My goal is to own 10 shares of ETP by 12/31/11. I would sell if the following happens: 1) Dividend is cut/ Eliminated 2) Government regulations hinder or hurt the adaptation of Natural Gas as a viable alternative source of energy.
Exit strategy is my standard 10% gain or the stock reaching a high of $60.
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