February 21, 2013 Comments

I plan to update a couple of the reports this weekend based on earnings reports. I also plan to update the composition of my own portfolio. It has not changed a lot since the last update and I don’t recall any new stocks being added, just additions to existing positions. I see little need to hunger for new picks if the existing ones seem good. Some subscribers have asked for more guidance on what to buy. At the end of the day I provide information and opinion here. Each company has a report. My opinion of the company is not totally captured in just the rating. Subscribers should, ideally, read the report on any stock they are interested in. There are never any guarantees in the investing world. Many investors become comfortable with volatility. If you own shares in good companies they usual recover but once in a while a company can really collapse. And occasionally the overall stock market takes a dive. I don’t pretend to be able to predict those things. I simply try to buy some good stocks at good prices. I then sell some if I need to raise cash for better opportunities or if the overall market is seems too high in relation to earnings and interest rates.

After posting the note on Canadian Tire this morning I went into TD Webroker and the stock was set to open down modestly somewhere under $68. So I placed an order for a small additional amount at $68 which meant I would get the opening price to a maximum of $68. (If it opened and stayed above $68 my order would not be filled). It ended up opening at $67.30. It closed at $68.91 so, with one day down and forever to go, it looks like a good buy so far. I am happy to hold this stock but as mentioned just below I don’t expect any sudden surge in the price. Maybe a little positive move due to the share buy back and that assumes all else is equal like the overall market remains pretty stable.

Bank of America was down 3.2% to $11.42. I still think of this stock as being a good investment but somewhat speculative.

Walmart was up 1.5% to $70.26 after it reported earnings. I mentioned under February 16 that I added to my position on a price dip that day at $69.29. I am comfortable buying or owning this stock at this price.