John's Stock and Mutual Fund Holdings
My Stocks and Why I've Got `Em
(updated June 25, 1998)
I bought it because 3 things convinced me that
Disney would have big profits in the near term: Mulan opened
at theaters, Little Mermaid was re-released on video, and
the new Tommorrowland opens in May. I didn't even know that
Animal Kingdom was opening, but that added fuel to the fire.
This one's doing well, and I'll probably hold it through the
split. My target price is 140 pre split or 45 post split.
Inference Corporation (INFR)
If you went by any of the
general standards for picking stocks, you'd ignore this one
right from the start. Poor earnings growth, poor strength,
lost money in 3 of the last 4 quarters. I got the stock
through the employee stock purchase program (I'm in the
R&D department there). I've held the stock because I have
faith in the products we produce (CBR Express, ZurfRider,
CasePoint, CasePoint Webserver, several others). I think
we've had some problems with the sales and marketing of these
products, though most of the sales organization has been
replaced in the last year, and most recently the CEO was
replaced. I hope this'll make a difference, but if it
doesn't, I'll probably sell off the shares and put the money
into something more productive. My target price for this
year is 12.
- The next 5 stocks are all within a new mixed investment strategy I'm
trying. Basically, I look for stocks with price/book less than 2 and
price/sales less than 1. From those, I go to the Investor's Business Daily
and pick out the ones with the best earnings per share and strength
rankings. Finally, I check out the fundamentals to make sure the
company isn't in big debt or going out of business or something. These
are five of the stocks I've selected with this technique and have bought.
Mail-Well is the largest manufacturer and printer of envelopes in North
America and a leading printer of high-end commercial products, including
advertising literature, high-end catalogs, and annual reports.
Reliance Group Holdings (REL)
Reliance Group is a holding
company for a collection of insurance firms that focus primarily on
Southwest Water Company (SWWC)
Southwest Water Company produces
and supplies water and water-related services to residential, commercial,
and industrial customers in the western and southwestern US.
Standard Pacific (SPF)
Standard Pacific Corporation is a builder of single-family homes throughout
California and Texas. They focus on high-quality homes for move-up buyers
(their average selling price in 1997 was about $307,000). With the housing
shortage in California, this is a particularly good choice.
Spun off from beer maker Anheuser-Busch, Earthgrains makes packaged bakery
products sold under retail brand names that include Colonial, Rainbo,
IronKids, and Grant's Farm. The company also makes buns for fast food
outlets like Burger King and Wendy's.
to view the current stock information on my stocks.
My Mutual Funds and Why I've Got `Em
(updated June 25, 1998)
Fidelity Growth & Income (FGRIX)
This fund has an excellent record, and they recently closed to
new investors, so I snuck in the door before they closed. The
one disadvantage is it's a pretty large fund, so it may be
a bit slow moving (and therefore costly) in the next bear market.
Fidelity Select Computers (FDCPX)
Being employed in the computer industry, I'm constantly reminded
of how quickly the field is growing. Computers are quickly joining
the telephone and the television as standard household devices
(at least in America). Thus I'm extremely bullish on both computer
hardware and software. I think there'll be corrections over time,
but I don't think any sector will outperform computers until such
time as the market is more saturated.
Fidelity Select Health Care
Health Care is one area that most people can't do without. What's
more, they're constantly coming up with new drugs and medical
procedures to cure things that couldn't be cured before (or at
least alleviate their symptoms). This is another field that I
don't see any falloff in demand for in the near future.
Fidelity Advisor Growth Opportunity (FAGOX)
This is the most agressive offering in my current 401(k) plan
at work. The performance has been very good since I've been
in it, but we'll have to see what it does in a bear market.
This was the first mutual fund I bought into, and I've had some
since 1987. Unfortuantely, it's been a somewhat sluggish performer
during that time (even for a utility fund). I'm considering
shifting this money into a better performing utility fund.