Scalper1 News
Summary This week I added shares of Duke, Robert Half, and Eaton Vance to the portfolio. During the week I added additional shares of Skyworks and Seagate to the portfolio. The portfolio is up 10.11% versus the S&P 500 which has dropped 0.91%. Earlier this year I decided that I wanted a portfolio which mimicked the S&P 500 without owning an index fund to do it. From the inception of the portfolio I have always maintained twelve stocks. This portfolio is up 10.11% so far compared to the 0.91% drop in the S&P 500. The portfolio is up right now because of the significant outperformance of Priceline (NASDAQ: PCLN ), Eaton Vance (NYSE: EV ), Robert Half (NYSE: RHI ), Duke (NYSE: DUK ), Altria (NYSE: MO ), and Seagate (NASDAQ: STX ). The intention of this portfolio is for long-term investments (minimum of three months), not trades. I evaluate the portfolio quarterly after earnings season and I only make changeouts if the fundamentals have changed in a company. I try to hold two stocks in each of the following categories: value, dividend growth, growth, and growth & income; and four speculative names. I also try to have at least one stock in each sector. The portfolio was yielding 1.93% prior to this week’s purchases which have now increased the yield to 2.77%. Just the other day I decided to add to my positions in Skyworks (NASDAQ: SWKS ), and Seagate while initiating my positions in Robert Half, Eaton Vance, and Duke. I’d like to give a quick synopsis each of the stocks right now and provide an update for the entire portfolio. Please keep in mind that I do individual homework on these stocks through articles here on SA and you can look up the tickers with their corresponding articles, but you should always do your own homework too. Duke Duke operates as an energy company. The Company operates in three business segments; Regulated Utilities, International Energy and Commercial Power. The stock appears to be fairly valued on next year’s earnings estimates and expensive on earnings expectations growth rates. The company pays a great dividend and has decent financial efficiency ratios for a utility company. I believe that Duke is has been slammed of late but offers a great opportunity with interest rates rising. The stock offers great value to anyone below $77. Skyworks Skyworks Solutions together with its consolidated subsidiaries is an innovator of high reliability analog and mixed signal semiconductors. The stock appears to be inexpensively valued on next year’s earnings estimates and on earnings expectations growth rates while having great earnings growth expectations for the near-and the long-term. The company pays a small dividend but has excellent returns on assets and investment. I believe the stock offers great value as long as it remains below the $90 level. Seagate Seagate Technology is a provider of electronic data storage solutions. Its products are hard disk drives, hard drives or HDDs. It also produces range of electronic data storage products including SSHD, SSD, PCIe cards and SATA controllers. The stock appears to be inexpensively valued on next year’s earnings estimates and fairly valued on earnings expectations growth rates while having great earnings growth expectations for the near-term. The company pays a huge dividend but has great returns on equity and investment. I bought the stock because I strongly believe that it continues to offer value as long as it is below $50. Robert Half Robert Half International provides specialized staffing and risk consulting services through various divisions. The Company operates in North America, South America, Europe, Asia and Australia. The stock appears to be fairly valued on next year’s earnings estimates and on earnings expectations growth rates while having great earnings growth expectations for the near-and the long-term. The company pays a small dividend and has great financial efficiency ratios. The stock has been declining for quite some time but nonetheless, I love Robert Half right now and believe it offers tremendous value as long as the shares remain below $54. Eaton Vance Eaton Vance along with its subsidiaries is engaged in managing investment funds & providing investment management and advisory services to high-net-worth individuals and institutions in the United States, Europe and other international markets. The stock appears to be inexpensively valued on next year’s earnings estimates and expensive on earnings expectations growth rates while having great earnings growth expectations for the near-term. The company pays a good dividend and has a great return on equity. I believe that Eaton Vance is depressed and offers great value to anyone below $37. Now it’s time for an update on the entire portfolio from inception. Company Ticker % Change incl. DIV % of Portfolio Eaton Vance Corp 4.68% 7.44% The Priceline Group Inc. 4.62% 7.23% Biogen Inc. (NASDAQ: BIIB ) 4.40% 13.47% Robert Half International Inc. 3.50% 7.49% Duke Energy Corporation 2.38% 6.59% Gilead Sciences Inc. (NASDAQ: GILD ) 2.17% 8.67% Altria Group Inc. 1.66% 6.39% Seagate Technology Public Limited Company 1.57% 16.05% Alphabet Inc. (NASDAQ: GOOG ) 0.90% 4.76% The Sherwin-Williams Company (NYSE: SHW ) -2.47% 5.71% Skyworks Solutions Inc. -2.60% 10.86% The Boeing Company (NYSE: BA ) -3.03% 5.32% Cash $ 0.00% This is definitely an aggressive portfolio and tends to move with quite a bit of volatility but has the potential for producing great long-term gains. So far this portfolio is beating the overall market this year but the key is to keep tabs on all your stocks regularly as well. Roughly 85% of my holdings are centered in North America because I feel the rest of the world is struggling right now. I have a heavy focus in the technology sector with zero exposure to the energy sector. This is definitely a portfolio filled with large cap names geared towards growth. The majority of the growth is geared towards aggressive growth as well. The P/E for the portfolio previously rested at 16.49 but is now 15.65 with the additional shares added this week. I anticipate this portfolio to produce high long-term returns but with quite a bit of volatility along the way. Disclaimer: This article is in no way a recommendation to buy or sell any stock mentioned. This article is meant to serve as a journal for myself as to the rationale of why I bought/sold this stock when I look back on it in the future. These are only my personal opinions and you should do your own homework. Only you are responsible for what you trade and happy investing! Scalper1 News
Scalper1 News