Dow Jones Industrial Average 17,888.28 (Down) Week Ending 11-04-2016
When I first started buying Value Stocks , I purchased stocks that were trading with current Book values of below 1.0. These are stocks that Warren Buffett would reverently call "Cigar Butts". You find them on the ground, pick them up, and smoke them till the end then drop them. This method does work lots of times, but you can sometimes end up with a stock that is low priced for very good reason and suffer an unwanted loss of capital.
So a better idea is to buy higher quality stocks, that for some reason are temporarily out of favor. So say companies with a PEG Ratio below 1, with quarter over quarter sales gain of 5%, and a a Book Value below 5, and a half decent Return on Equity, over say 7%.
Here is a list of 5 Value stocks that I like that fit these kind of financial parameters:
American International Group, Inc. (Symbol AIG, $57.38)
CVS Health Corp. (Symbol CVS, $82.31)
Scripps Networks Interactive, Inc. (Symbol SNI, $64.84)
Delphi Automotive, PLC. (Symbol DLPH, $66.76)
Toll Brothers Inc. (Symbol TOL, $27.42)
So these are the kinds of stocks that I would be looking at going through this US presidential election time frame. These stocks are all good quality and are presented at a value price here.
So whether it is President Trump or President Clinton you should still be looking for excellent quality investments to start your 2017 portfolio.
A shout out to those Chicago Cubs for winning their first World Series in a 108 years. See hard work and perseverance do eventually pay off.
Have a great week and keep an eye out for good values.
Freewilly
When I first started buying Value Stocks , I purchased stocks that were trading with current Book values of below 1.0. These are stocks that Warren Buffett would reverently call "Cigar Butts". You find them on the ground, pick them up, and smoke them till the end then drop them. This method does work lots of times, but you can sometimes end up with a stock that is low priced for very good reason and suffer an unwanted loss of capital.
So a better idea is to buy higher quality stocks, that for some reason are temporarily out of favor. So say companies with a PEG Ratio below 1, with quarter over quarter sales gain of 5%, and a a Book Value below 5, and a half decent Return on Equity, over say 7%.
Here is a list of 5 Value stocks that I like that fit these kind of financial parameters:
American International Group, Inc. (Symbol AIG, $57.38)
CVS Health Corp. (Symbol CVS, $82.31)
Toll Brothers Inc. (Symbol TOL, $27.42)
So these are the kinds of stocks that I would be looking at going through this US presidential election time frame. These stocks are all good quality and are presented at a value price here.
So whether it is President Trump or President Clinton you should still be looking for excellent quality investments to start your 2017 portfolio.
 |
| "Who are you voting for? .... Alexander Hamilton. I liked him in that NY Broadway play." |
A shout out to those Chicago Cubs for winning their first World Series in a 108 years. See hard work and perseverance do eventually pay off.
Have a great week and keep an eye out for good values.
Freewilly
No comments:
Post a Comment