So Garmin (GRMN) reported excellent with 35% increase in total revenues compared to Q1 of last year, they experienced triple digit growth in North America and Europe as well, not to mention a 5 cent increase in EPS. And the market punished it. HARD. WHY?! Bad outlook and the expecting decrease in margins due to the lowering of their personal navigation device (PND) cost. The market HATES them. And I love them! So I increased my position in them, but unfortunately it was a few days ago so I'm down a little more than 11%. I'm still bullish though, and suggest everyone to take a good hard look at GRMN.
In other news, the oh so wonderful Fed cut sliced the prime rate again, another 0.25%. The market tanked but I'm not worried. We had two wonderful weeks of an upswing. The end of the bear market? Will the Fed keep cutting rates? I can't say, but a famous quote from the Battle of Britain does come to mind:
"Now this is not the end. It is not even the beginning of the end. But it is, perhaps, the end of the beginning." - Winston Churchill
Wednesday, April 30, 2008
Sunday, April 13, 2008
Latest buy...
So I triggered on Canadian National Railway (CNI) last week. So why a railway and why Canadian?
1. Increased pricing can be passed onto the consumers.
2. Higher efficiency compared to diesel/gasoline powered trucks.
3. International hedge against the U.S. economic slowdown.
4. Canada's ports are closer to Asia and Europe.
5. Canadian $ has become more valuable than the U.S. $ in recent years.
6. Railroads are known to be a great recession hedges.
7. Increased energy prices can be passed onto the consumers.
Also, it doesn't hurt that Buffett has been investing heavily in the railroads. It's time for me to follow suit on this latest dip. So far so good!
1. Increased pricing can be passed onto the consumers.
2. Higher efficiency compared to diesel/gasoline powered trucks.
3. International hedge against the U.S. economic slowdown.
4. Canada's ports are closer to Asia and Europe.
5. Canadian $ has become more valuable than the U.S. $ in recent years.
6. Railroads are known to be a great recession hedges.
7. Increased energy prices can be passed onto the consumers.
Also, it doesn't hurt that Buffett has been investing heavily in the railroads. It's time for me to follow suit on this latest dip. So far so good!
Tuesday, April 08, 2008
Monday, April 07, 2008
Slacker
So I've been slacking with my blog posts and I apologize, especially since a lot has happened since my last post. Pessimism has turned to optimism, and I am now on a buying binge. If anyone has tracked my RLP (Real Life Portfolio) profile on CAPS they'd see that I've been kinda nuts. Besides Philip Morris International (PM), which was a split from my Altria (MO) investment, I've opened positions in First Solar (FSLR), Google (GOOG), Atwood Oceanics (ATW), Cree Inc (CREE), and Visa (V).
I also ended my position in National Oilwell Varco (NOV), which has had a really nice run recently (the sector is really hot right now). I figured that my portfolio is a little energy heavy right now, and I'm more confident that ATW will provide much higher returns than NOV. Also, it doesn't hurt that ATW is a Motley Fool Stock Advisor recommendation! I used the NOV sale funds for my second third in OMTR, which has been neglected for some time by Mr. Market.
I don't recommend getting into FSLR and V right now, but CREE, and ATW are still at very enticing prices. PM is a great stock to get into at any price point because of it's long-term prospects and fairly large moat (e.g. Marlboro brand). Yes, it's not for anyone who believes smoking is wrong and cigarette corporations are evil, but in my opinion, everyone has a choice. Kids nowadays are warned not to smoke, but until society says it's uncool, they will still do it.
Finally, I've also entered a small position in KOF, which is Coca Cola's Latin American subsidiary. I firmly believe that Latin America is the next boom (Brazil has already blown up) despite some political turmoil there, and there's no better non-cyclical good than Coke!
I also ended my position in National Oilwell Varco (NOV), which has had a really nice run recently (the sector is really hot right now). I figured that my portfolio is a little energy heavy right now, and I'm more confident that ATW will provide much higher returns than NOV. Also, it doesn't hurt that ATW is a Motley Fool Stock Advisor recommendation! I used the NOV sale funds for my second third in OMTR, which has been neglected for some time by Mr. Market.
I don't recommend getting into FSLR and V right now, but CREE, and ATW are still at very enticing prices. PM is a great stock to get into at any price point because of it's long-term prospects and fairly large moat (e.g. Marlboro brand). Yes, it's not for anyone who believes smoking is wrong and cigarette corporations are evil, but in my opinion, everyone has a choice. Kids nowadays are warned not to smoke, but until society says it's uncool, they will still do it.
Finally, I've also entered a small position in KOF, which is Coca Cola's Latin American subsidiary. I firmly believe that Latin America is the next boom (Brazil has already blown up) despite some political turmoil there, and there's no better non-cyclical good than Coke!
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