Category Archives: Sell Recommendations

Sell Wesco Financial (WSC) at the Market

Posted on August 26, 2010 by | Leave a comment
Almost as abruptly as it was initiated, we are forced to issue a SELL recommendation for Wesco Financial Corp. (WSC). The stock has performed beyond our expectations since the Investment Observation was issued on August 24, 2010. Naturally, the rate of change in WSC couldn’t possibly continue at the same trajectory and for this reason we must issue a sell recommendation.

Warren Buffett has offered to buy the shares that he doesn’t already own of Wesco (WSC) for close to the book value of $352 per share. As we indicated in our Investment Observation, WSC is currently priced at the equivalent level of $244.55 based on the dividend increases in relation to the book value. Buffett is literally stealing the company right under our noses. There just may not be much more upside to this stock other than what the management of Berkshire Hathaway brings to the table. This is no slight to Buffett and Co. However, it would be next to impossible to obtain the same returns in such a short period of time.
WSC was recommended when it was trading at $321.24. As of the close of Thursday August 26, 2010, WSC was quoted at $363 (or $0.35 away from our estimated Dow Theory fair value level). This equals a return of 12.99% in 3 days. Conservatively, on an annualized basis this would equal approximately 1,185% return (we apologize for putting such a ridiculous number in this section but it has been our format and no one has complained about it so far.) Selling this stock now generates a return 259 times the amount of the dividend yield if the stock was held for a whole year. We will not give the run down on how the stock performed compared to treasuries.
This is not the first time that we’ve been ensnared in a recommendation that was later pursued by Warren Buffett. On the record, our May 4, 2009 recommendation of Becton Dickson (BDX) was followed up with an August 14 SEC filings by Buffett indicating that BDX was bought on June 30, 2009. At the time that the news came out, we had issued a research recommendation and a sell recommendation with a gain of 11%.
Another transaction that got caught up in the euphoria of Mr. Buffett was our Wal-Mart analysis in the article titled “Values Biding Time” published on June 18, 2009. It was not long after that article (December 23, 2009) that it was revealed that Buffett had increased his stake in Wal-Mart.  We're certain that the our selection process and the tastes of Warren Buffett are merely coincidental.  However, it is nice to know that we are possibly on the right track with the timing and quality of companies that we select.
We're working on two companies from our watch list that should be added to the Investment Observation List soon.  It is hoped that the next two companies that we profile will be just as profitable and equally as alluring from a value standpoint. 

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Posted in Sell Recommendations, Warren Buffett, Wesco Financial, wsc

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Sell Aqua America (WTR) at the Market

Posted on July 11, 2010 by | 1 comment
Is it possible that your ship can come not once but twice?  We think so.  This is a situation where shareholders of AquaAmerica (WTR) get to understand exactly what Geraldine Weiss, author of Dividend's Don't Lie, means when she says that a stock trades in its own value range. 
In our research recommendation (found here) of WTR, it just so happened that we managed to pick the proverial bottom in the stock's price.  The stock has not fallen below the level indicated in the last year.  However, in our haste to obtain 10% profits, we sold our position in the stock on our sell recommendation of December 15, 2009.  On an annualized basis, we landed a 79.35% gain on our invested capital in 46 days.  Just a note about our view on investing, we want 10% returns in the shortest time possible with the fallback provision being the compounding of dividends if we happen to be wrong in our timing.
In the chart above, you can see our own buy and sell points along with the two most opportune times to exit WTR after our sell recommendation.  With WTR reaching a new high in the stock price and  exhibiting signs of topping out on a technical basis, it may be worth selling this stock.  If you had bought based on our research your total return so far (including dividends) would be 22.77% or an annualized gain of 33.44%. 
We know for a fact that better alternatives exist in the world of Dividend Achievers based on our Watch List and strongly recommend that you capture the sizable gains that have been made thus far.  An opportunity to cash out now is the equivalent of your ship coming in for the second time since May.

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Posted in Aqua America, Sell Recommendations, WTR

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Sell Electronic Arts (ERTS) at the Market

Posted on March 18, 2010 by | Leave a comment
It is now time to recommend that Electronic Arts (ERTS) be sold at the market. The stock has performed moderately since the Speculative Observation was issued on January 11, 2010 as it now trades at $18.51.  Since our Speculative Observation, ERTS has increased 10.69%. In the pursuit of "seeking fair profits" the returns that Electronic Arts (ERTS) has provided within the last 67 days say that it is necessary to consider alternative opportunities. The key to investment success and a key principle of economics is to seek the best alternatives.

From a technical standpoint, Electronic Arts (ERTS) appears to be trying to go above the $18.66 resistance level.  If the stock can break above $18.66 and remain at that level, the stock should make an assault on the $21 price range.  However, with an annualized return on this position of nearly 58%, we are content taking 10% and letting everyone else enjoy the remaining upside prospects.
As we have indicated in the purposes and function of this site, our goal is to:
  • maximize the annual yield of each trade.
  • reduce time between buying and selling of each stock.
  • exceed the annual yield of government guaranteed alternatives in each trade.
Investment and Speculative Observations are intended to be a starting point for investigating a quality company at a reasonable price. It is hoped that after doing the background research you can buy the stock at a lower price. Ideally the stock should be held in a tax deferred account and should not consist of less than 20% of your holdings. Personally, we prefer holding only 2-3 stocks at a time.
Sell recommendations are intended to deal with the short term reality of the market. The tracking of the Sell recommendations are the worst case scenario if you happen to have bought a stock at the time the Speculative Observation was made (please avoid making this mistake.) We aim for mediocrity in our returns, therefore we are happy with 9-12% annual gains. However, since codifying this approach to investing in 2005, we have had annual returns of 20% and above every year since.
It is always recommended that when selling a stock, one should not place stop orders, limit orders or orders after hours. This leaves the seller in the position of being vulnerable to the whims of the market makers. Instead, place your sell orders only as a market order during market hours. Some would complain that a market order during market hours might leave some profits on the table. However, we would rather leave some money on the table rather than have it taken away from us by the trades that are placed by institutions and market makers.
-Touc

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Posted in erts, Sell Recommendations, Speculative Observation

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Sell Cephalon (CEPH) at the Market

Posted on March 2, 2010 by | Leave a comment
It is now time to recommend that Cephalon (CEPH) be sold at the market. The stock has performed moderately since the Speculative Observation was issued on January 4, 2010. However, CEPH has performed well since our Speculative Observation of August 27th and October 8th of 2009. Since our original Observations, CEPH has provided many opportunities to buy the stock low with the better than even prospect of selling high.
Since our October 8th reiteration of CEPH, the stock has risen 31% to the current market price of $70.78. However, if we go by the last observation on January 4, 2010, CEPH has increased 13.41%. In the pursuit of "seeking fair profits" the returns that CEPH has provided within the last 61 days say that it is necessary to consider alternative opportunities. The key to investment success and a key principle of economics is to seek the best alternatives.
CEPH was re-recommended when it closed at $62.42 on January 4, 2010. As of March 2, 2010, CEPH was quoted at $70.78. Again, CEPH has gained 13.41% since the beginning of the year. The annualized return on this position would be close to 80%. Since it is unlikely that the stock can continue to climb unabated, we feel selling now is a reasonable policy.
Those not interested in following through with our sell recommendation can feel comfortable knowing that CEPH is a great long-term holding with a 13.41% downside cushion since our last investment observation. As the price of CEPH rises, it should be noted that the stock faces significant upside resistance at $70 and $80. We are going to continue watching this company to determine if the stock will meet our prior 3 month targets based on the Coppock Curve and other technical indicators.
As we have indicated in the purposes and function of this site, our goal is to:
  • maximize the annual yield of each trade.
  • reduce time between buying and selling of each stock.
  • exceed the annual yield of government guaranteed alternatives in each trade.
Investment observations are intended to be a starting point for investigating a quality company at a reasonable price. It is hoped that after doing the background research you can buy the stock at a lower price. Ideally the stock should be held in a tax deferred account and should not consist of less than 20% of your holdings. Personally, we prefer holding only 2-3 stocks at a time.
Sell recommendations are intended to deal with the short term reality of the market. The tracking of the Sell recommendations are the worst case scenario if you happen to have bought a stock at the time the Speculative Observation was made (please avoid making this mistake.) We aim for mediocrity in our returns, therefore we are happy with 9-12% annual gains. However, since codifying this approach to investing in 2005, we have had annual returns of 20% and above every year since.
It is always recommended that when selling a stock, one should not place stop orders, limit orders or orders after hours. This leaves the seller in the position of being vulnerable to the whims of the market makers. Instead, place your sell orders only as a market order during market hours. Some would complain that a market order during market hours might leave some profits on the table. However, we would rather leave some money on the table rather than have it taken away from us by the trades that are placed by institutions and market makers.
-Touc

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Posted in CEPH, Sell Recommendations, Speculative Observation

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Sell Cardinal Health (CAH) at the Market

Posted on February 23, 2010 by | Comments Off on Sell Cardinal Health (CAH) at the Market
Since our write-up on Cardinal Health (CAH) on September 29, 2009 the stock has appreciated 23%. Purchasing the stock on 9/30/09 for $26.80 and selling it on 2/23/10 for $33 would yield an annualized return of 57%. This exclude two dividend payments.

Let's review the numbers. The table below shows the previous article's fundamentals compared to today's figures.

Date P/B F P/E P/CF Yield
9/29/2009 1.11 12.00 6.00 2.60%
2/23/2010 2.33 13.81 8.70 2.10%

As you can see, the valuation improved quite a bit given that nothing substantially materialized other than the company raising the profit outlook. Looking at the figures above, you can see that the price-to-book (P/B) ratio has more than doubled. This occurred because of the 2nd quarter results. Because of the recent changes, CAH is no longer the bargain we saw back in September 2009 when it was trading as if they didn't have any intangible assets. Remember, I stated that "given that all CAH competitors (ABC, MCK, and OMI) are trading at more than 2.3x book value, CAH is deeply discounted at 1.1." Now that CAH appears to be fully valued, I have to urge investors to search for safer alternatives.
A 23% profit may not seem like much, however it is a big accomplishment given the stock was held for nearly 5 months. Remember, we are only interested in "seeking fair profits". We at New Low Observer, feel that the risk/reward is no longer in our favor and we would rather take 23% in 147 days.
Investment Observations are intended to be a starting point for investigating a quality company at a reasonable price. It is hoped that after doing the background research, you can buy the stock at a lower price. Ideally the stock should be held in a tax deferred account and should not consist of less than 20% of your holdings. Personally, we prefer holding only 2-3 stocks at a time.

Sell recommendations are intended to deal with the short term reality of the market. The tracking of the Sell recommendations are the worst case scenario if you happen to have bought a stock at the time the Investment Observation was made (please avoid making this mistake.) We aim for mediocrity in our returns, therefore we are happy with 9-12% annual gains. However, since codifying this approach to investing in 2005, we have had annual returns of 20% and above every year since.

It is always recommended that when selling a stock, one should not place stop orders, limit orders or orders after hours. This leaves the seller in the position of being vulnerable to the whims of the market makers. Instead, place your sell orders only as a market order during market hours. Some would complain that a market order during market hours might leave some profits on the table. However, we would rather leave some money on the table rather than have it taken away from us by the trades that are placed by institutions and market makers.

- Art

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Posted in CAH, Cardinal Health, Sell Recommendations

Sell Abbott Labs (ABT) at the Market

Posted on February 3, 2010 by | Comments Off on Sell Abbott Labs (ABT) at the Market
It is now time to recommend that Abbott Labs (ABT) be sold at the market. The stock has performed moderately since the stockwatch/investment observation was issued on September 24, 2009. It is highly recommended that anyone who bought the stock based on our insight should re-read the posting. Unfortunately, it was not possible to buy this stock at any price lower than on the recommended date.

ABT's stock price has gone nothing but up since the recommendation. However, in the pursuit of "seeking fair profits" the returns that this stock has provided within the last 133 days say that it is necessary to consider alternative opportunities. The key to investment success and a key principle of economics is to seek the best alternatives.

ABT was recommended when it closed at $46.94 on September 24th. As of February 3, 2010, ABT was quoted at $54.60. Based on yesterday's closing price of $54.44, ABT has gained 16.80% (including reinvested dividends.) The annualized return on this position would be close to 46%. Selling this stock now generates a return of 4.94x greater than the amount of the dividend yield if held for a full year. Additionally, the 16.80% gain exceeds the return on a 30-year treasury purchased on September 24, 2009 by 4.01x (if held to maturity.)

Those not interested in following through with our sell recommendation can feel comfortable knowing that ABT is a great long-term holding with a 16.80% downside cushion since our investment observation. As the price of ABT rises, it should be noted that the stock faces significant upside resistance at $56.50, $57.50 and $60.

As we have indicated in the purposes and function of this site, our goal is to:

  • maximize the annual yield of each trade.
  • reduce time between buying and selling of each stock.
  • exceed the annual yield of government guaranteed alternatives in each trade.
Investment observations are intended to be a starting point for investigating a quality company at a reasonable price. It is hoped that after doing the background research you can buy the stock at a lower price. Ideally the stock should be held in a tax deferred account and should not consist of less than 20% of your holdings. Personally, we prefer holding only 2-3 stocks at a time.

Sell recommendations are intended to deal with the short term reality of the market. The tracking of the Sell recommendations are the worst case scenario if you happen to have bought a stock at the time the Investment Observation was made (please avoid making this mistake.) We aim for mediocrity in our returns, therefore we are happy with 9-12% annual gains. However, since codifying this approach to investing in 2005, we have had annual returns of 20% and above every year since.

It is always recommended that when selling a stock, one should not place stop orders, limit orders or orders after hours. This leaves the seller in the position of being vulnerable to the whims of the market makers. Instead, place your sell orders only as a market order during market hours. Some would complain that a market order during market hours might leave some profits on the table. However, we would rather leave some money on the table rather than have it taken away from us by the trades that are placed by institutions and market makers.

-Touc.

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Posted in ABT, Sell Recommendations

Sell SuperValu (SVU) at the Market

Posted on January 15, 2010 by | Leave a comment
It is now time to recommend that SuperValu (SVU) be sold at the market. The stock has performed well since the investment observation was issued on January 6, 2010. It is highly recommended that anyone who bought the stock based on Art's insight should re-read the posting. Unfortunately, it was not possible to buy this stock at any price lower than on the recommended date.

SVU's stock price has gone nothing but up since the recommendation. However, in the pursuit of "seeking fair profits" the returns that this stock has provided within the last 9 days say that it is necessary to consider alternative opportunities. The key to investment success and a key principle of economics is to seek the best alternatives.

SVU was recommended when it was trading at $12.81. As of January 14, 2010, SVU was quoted at $14.33. In after-hour trading, SVU was up $0.05 to $14.38. Based on the closing price of $14.33, SVU has gained 11.87%. The annualized return on this position would be 481%. Selling this stock now generates a return of 4.75x greater than the amount of the dividend yield if held for a full year. Additionally, the 11.87% gain exceeds the return on a 30-year treasury purchased on January 6, 2010 by 2.53x (if held to maturity.)

Those not interested in following through with our sell recommendation can feel comfortable knowing that SVU is a great long-term holding with an 11.87% downside cushion since our investment observation.

As we have indicated in the purposes and function of this site, our goal is to:

  • maximize the annual yield of each trade.
  • reduce time between buying and selling of each stock.
  • exceed the annual yield of government guaranteed alternatives in each trade.
Investment observations are intended to be a starting point for investigating a quality company at a reasonable price. It is hoped that after doing the background research you can buy the stock at a lower price. Ideally the stock should be held in a tax deferred account and should not consist of less than 20% of your holdings. Personally, we prefer holding only 2-3 stocks at a time.

Sell recommendations are intended to deal with the short term reality of the market. The tracking of the Sell recommendations are the worst case scenario if you happen to have bought a stock at the time the Investment Observation was made (please avoid making this mistake.) We aim for mediocrity in our returns, therefore we are happy with 9-12% annual gains. However, since codifying this approach to investing in 2005, we have had annual returns of 20% and above every year since.

It is always recommended that when selling a stock, one should not place stop orders, limit orders or orders after hours. This leaves the seller in the position of being vulnerable to the whims of the market makers. Instead, place your sell orders only as a market order during market hours. Some would complain that a market order during market hours might leave some profits on the table. However, we would rather leave some money on the table rather than have it taken away from us by the trades that are placed by institutions and market makers. -Touc.

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Posted in Sell Recommendations, Supervalu Inc, SVU

Sell American National Insurance (ANAT) at the market

Posted on December 21, 2009 by | Leave a comment
It is now time to recommend that American National Insurance (ANAT) be sold at the market. The stock has performed below standard since the research recommendation was issued on April 10, 2008. It is highly recommended that anyone who bought the stock based on my research should re-read the posting. ANAT gave many opportunities to be bought well below the research recommendation price of $105. In fact, ANAT fell to as low as $34 by March 9, 2009. The subsequent rise in the price of 248.28% has been utterly amazing. In the pursuit of "seeking fair profits" the returns that this stock has provided within the last 630 days say that it is necessary to consider alternative opportunities.

Again, ANAT was recommended when it was trading at $105. As of December 21, 2009, ANAT was quoted at $117.51. The total return (including dividends) on ANAT since the recommendation date is 18.27%. On an annualized basis, this equals a total return (including dividends) of 10.59%.

As I have indicated in the purposes and function of this site, the goal is to:

  • maximize the annual yield of each trade.
  • reduce time between buying and selling of each stock.
  • exceed the annual yield of government guaranteed alternatives in each trade.

Research recommendations and investment observations are intended to be a starting point for investigating a quality company at a reasonable price. It is hoped that after doing the background research you can buy the stock at a lower price. Ideally the stock should be held in a tax deferred account and should not consist of less than 20% of your holdings. Personally, I prefer holding only 2-3 stocks at a time.

Sell recommendations are intended to deal with the short term reality of the market. The tracking of the Sell recommendations are the worst case scenario if you happen to have bought a stock at the time the research recommendation was made (please avoid making this mistake.) I aim for mediocrity in my returns, therefore I am happy with 9-12% annual gains. However, since codifying my approach to investing in 2005, I have had annual returns of 20% and above every year since.

It is always recommended that when selling a stock, one should not place stop orders, limit orders or orders after hours. This leaves the seller in the position of being vulnerable to the whims of the market makers. Instead, place your sell orders only as a market order during market hours. Some would complain that a market order during market hours might leave some profits on the table. However, I would rather leave some money on the table rather than have it taken away from me by the trades that are placed by institutions and market makers. -Touc

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Posted in American National Insurance, ANAT, Sell Recommendations

Sell Northwestern Natural Gas (NWN) at the Market

Posted on December 21, 2009 by | Leave a comment
It is now time to recommend that Northwestern Natural Gas (NWN) be sold at the market. The stock has performed moderately since the research recommendation was issued on October 3, 2009 (. It is highly recommended that anyone who bought the stock based on my research should re-read the posting. Unfortunately, just as it was not possible to buy my AquaAmerica (WTR) recommendation it was the same for my recommendation of NWN, the price only went up from the date recommended.

NWN's stock price has gone nothing but up since the recommendation. However, in the pursuit of "seeking fair profits" the returns that this stock has provided within the last 80 days say that it is necessary to consider alternative opportunities.

NWN was recommended when it was trading at $40.94. As of December 21, 2009, NWN was quoted at $45.25. This equals a return of 10.53%. Selling this stock now generates a return of 2.6x greater than the amount of the dividend yield. Additionally, the 10.53% gain exceeds the return on a 30-year treasury purchased on October 2, 2009 by 2.63x.

Those not interested in following through with my sell recommendation can feel comfortable knowing that NWN is a great long-term holding with a 10.53% cushion since our research recommendation of October 3, 2009.

As I have indicated in the purposes and function of this site, the goal is to:

  • maximize the annual yield of each trade.
  • reduce time between buying and selling of each stock.
  • exceed the annual yield of government guaranteed alternatives in each trade.

Research recommendations and investment observations are intended to be a starting point for investigating a quality company at a reasonable price. It is hoped that after doing the background research you can buy the stock at a lower price. Ideally the stock should be held in a tax deferred account and should not consist of less than 20% of your holdings. Personally, I prefer holding only 2-3 stocks at a time.

Sell recommendations are intended to deal with the short term reality of the market. The tracking of the Sell recommendations are the worst case scenario if you happen to have bought a stock at the time the research recommendation was made (please avoid making this mistake.) I aim for mediocrity in my returns, therefore I am happy with 9-12% annual gains. However, since codifying my approach to investing in 2005, I have had annual returns of 20% and above every year since.

It is always recommended that when selling a stock, one should not place stop orders, limit orders or orders after hours. This leaves the seller in the position of being vulnerable to the whims of the market makers. Instead, place your sell orders only as a market order during market hours. Some would complain that a market order during market hours might leave some profits on the table. However, I would rather leave some money on the table rather than have it taken away from me by the trades that are placed by institutions and market makers. -Touc

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Posted in Northwest Natural Gas, NWN, Sell Recommendations

Sell AquaAmerica (WTR) at the Market

Posted on December 15, 2009 by | Leave a comment
It is now time to recommend that AquaAmerica (WTR) be sold at the market. The stock has performed moderately since the research recommendation was issued on October 31, 2009. It is highly recommended that anyone who bought the stock based on my research should re-read the posting. Unfortunately, it was not possible to buy this stock at any price lower than the recommended date.

WTR's stock price has gone nothing but up since the recommendation. However, in the pursuit of "seeking fair profits" the returns that this stock has provided within the last 46 days say that it is necessary to consider alternative opportunities.

WTR was recommended when it was trading at $15.64. As of December 15, 2009, WTR was quoted at $17.28. This equals a return of 10%. Selling this stock now generates a return of 2x greater than the amount of the dividend yield. Additionally, the 10% gain exceeds the return on a 30-year treasury purchased on October 30, 2009 by 2.35x (if held to maturity.)

Those not interested in following through with my sell recommendation can feel comfortable knowing that WTR is a great long-term holding with a 10% cushion since our research recommendation of October 31, 2009.

As I have indicated in the purposes and function of this site, the goal is to:

  • maximize the annual yield of each trade.
  • reduce time between buying and selling of each stock.
  • exceed the annual yield of government guaranteed alternatives in each trade.

Research recommendations and investment observations are intended to be a starting point for investigating a quality company at a reasonable price. It is hoped that after doing the background research you can buy the stock at a lower price. Ideally the stock should be held in a tax deferred account and should not consist of less than 20% of your holdings. Personally, I prefer holding only 2-3 stocks at a time.

Sell recommendations are intended to deal with the short term reality of the market. The tracking of the Sell recommendations are the worst case scenario if you happen to have bought a stock at the time the research recommendation was made (please avoid making this mistake.) I aim for mediocrity in my returns, therefore I am happy with 9-12% annual gains. However, since codifying my approach to investing in 2005, I have had annual returns of 20% and above every year since.

It is always recommended that when selling a stock, one should not place stop orders, limit orders or orders after hours. This leaves the seller in the position of being vulnerable to the whims of the market makers. Instead, place your sell orders only as a market order during market hours. Some would complain that a market order during market hours might leave some profits on the table. However, I would rather leave some money on the table rather than have it taken away from me by the trades that are placed by institutions and market makers. Touc.

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Posted in Aqua America, Sell Recommendations, touc, WTR

Air Products & Chemicals (APD): Sell at the Market

Posted on September 10, 2009 by | Comments Off on Air Products & Chemicals (APD): Sell at the Market
It is now time to recommend that Air Products and Chemicals (APD) be sold at the market. The stock has severely underperformed since the research recommendationwas issued on September 29, 2008. It is highly recommended that anyone who bought the stock based on my research should re-read the posting. It is hoped that the stock was researched and purchased well below the initiation price.APD's stock price got crushed right after the research recommendation was issued which is exactly what we want to happen. Despite the massive decline in the stock price, APD continued to raise the dividend. APD is up an astounding 82% from the low in November. In the pursuit of "seeking fair profits" the returns that this stock has provided within the last 345 days say that it is necessary to consider alternative opportunities.

APD from Buy to Sell

APD was recommended when it was trading at $71.43. As of the September 9, 2009 close, APD was quoted at $75.56. This equals a compounded return of 11.76% in almost 12 months. Selling this stock now also generates a return of 3.75x greater than the amount of the dividend yield.As I have indicated in the purposes and function of this site, the goal is to:

  • maximize the annual yield of each trade.
  • reduce time between buying and selling of each stock.
  • exceed the annual yield of government guaranteed alternatives in each trade.

Research recommendations are intended to be a starting point for investigating a quality company at a reasonable price. It is hoped that after doing the background research you can buy the stock at a lower price. Ideally the stock should be held in a tax deferred account and should not consist of less than 20% of your holdings. Personally, I prefer holding only 2-3 stocks at a time.

Sell recommendations are intended to deal with the short term reality of the market. The tracking of the Sell recommendations are the worst case scenario if you happen to have bought a stock at the time the research recommendation was made (please avoid making this mistake.) I aim for mediocrity in my returns, therefore I am happy with 9-12% annual gains. However, since codifying my approach to investing in 2005, I have had annual returns of 14% and above every year since.

It is always recommended that when selling a stock, one should not place stop orders, limit orders or orders after hours. This leaves the seller in the position of being vulnerable to the whims of the market makers. Instead, place your sell orders only as a market order during market hours. Some would complain that a market order during market hours might leave some profits on the table. However, I would rather leave some money on the table rather than have it taken away from me by the trades that are placed by institutions and market makers.

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Posted in Air Products, APD, Sell Recommendations

Walgreen Co. (WAG): Sell at the Market

Posted on August 27, 2009 by | Comments Off on Walgreen Co. (WAG): Sell at the Market
It is now time to recommend that Walgreen Co. (WAG) be sold at the market. The stock has severely underperformed since the research recommendation was issued on September 24, 2008. It is highly recommended that anyone who bought the stock based on my research should re-read the posting. It is hoped that the stock was researched and purchased well below the initiation price.

WAG has been on a steady rise since hitting a technical double bottom on March 9th 2009. At the current rate, WAG could easily breach the $39 level in the next few weeks. WAG is up an astounding 59% from the low in March. In the pursuit of "seeking fair profits" the returns that this stock has provided within the last 338 days say that it is necessary to consider alternative opportunities.

WAG was recommended when it was trading at $31. As of August 27, 2009, WAG was quoted at $33.83. This equals a compounded return of 11.03% in 11 months. Conservatively, this would equal approximately 11.91% return. Selling this stock now also generates a return of 6.23x greater than the amount of the dividend yield if the stock was held for that extra month.

As I have indicated in the purposes and function of this site, the goal is to:

  • maximize the annual yield of each trade.
  • reduce time between buying and selling of each stock.
  • exceed the annual yield of government guaranteed alternatives in each trade.


Sell recommendations are intended to deal with the short term reality of the market. The tracking of the Sell recommendations are the worst case scenario if you happen to have bought a stock at the time the research recommendation was made (please avoid making this mistake.) I aim for mediocrity in my returns, therefore I am happy with 9-12% annual gains. However, since codifying my approach to investing in 2005, I have had annual returns of 14% and above every year since.

It is always recommended that when selling a stock, one should not place stop orders, limit orders or orders after hours. This leaves the seller in the position of being vulnerable to the whims of the market makers. Instead, place your sell orders only as a market order during market hours. Some would complain that a market order during market hours might leave some profits on the table. However, I would rather leave some money on the table rather than have it taken away from me by the trades that are placed by institutions and market makers. Touc.


Please revisit Dividend Inc. for editing and revisions to this post.

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Posted in Sell Recommendations, WAG, Walgreen

Sell Bard Corp. (BCR) at the Market

Posted on August 26, 2009 by | Comments Off on Sell Bard Corp. (BCR) at the Market
It is now time to recommend that Bard Corp (BCR) be sold at the market. The stock has performed moderately since the research recommendation was issued on April 23, 2009. It is highly recommended that anyone who bought the stock based on my research should re-read the posting. It is hoped that the stock was researched and purchased well below the initiation price.

BCR has formed a powerful accumulation base which could indicate that the stock is headed much higher. BCR is among many of the medical device manufacturers that are being underpriced due to the debate about healthcare reform. In the pursuit of "seeking fair profits" the returns that this stock has provided within the last 126 days say that it is necessary to consider alternative opportunities.

BCR was recommended when it was trading at $71.28. As of August 26, 2009, BCR was quoted at $78.31. This equals a compounded return of 10.11% in a little over 4 months. Conservatively, this would equal approximately 29% return. Selling this stock now also generates a return of 10.64x greater than the amount of the dividend yield if the stock was held for a whole year.

As I have indicated in the purposes and function of this site, the goal is to:

  • maximize the annual yield of each trade.
  • reduce time between buying and selling of each stock.
  • exceed the annual yield of government guaranteed alternatives in each trade.

Research recommendations are intended to be a starting point for investigating a quality company at a reasonable price. It is hoped that after doing the background research you can buy the stock at a lower price. Ideally the stock should be held in a tax deferred account and should not consist of less than 20% of your holdings. Personally, I prefer holding only 2-3 stocks at a time.

Sell recommendations are intended to deal with the short term reality of the market. The tracking of the Sell recommendations are the worst case scenario if you happen to have bought a stock at the time the research recommendation was made (please avoid making this mistake.) I aim for mediocrity in my returns, therefore I am happy with 9-12% annual gains. However, since codifying my approach to investing in 2005, I have had annual returns of 14% and above every year since.

It is always recommended that when selling a stock, one should not place an order after hours or when the market is closed. This leaves the seller in the position of being vulnerable to the whims of the market makers. Instead, place your sell orders only as a market order during market hours. Some would complain that a market order during market hours might leave some profits on the table. However, I would rather leave some money on the table rather than have it taken away from me by the trades that are placed by institutions and market makers. Touc.


Please revisit Dividend Inc. for editing and revisions to this post.

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Posted in BCR, Sell Recommendations

Sell Sysco (SYY) at the Market

Posted on August 26, 2009 by | Comments Off on Sell Sysco (SYY) at the Market
It is now time to recommend that Sysco (SYY) be sold at the market. The stock has underperformed since the research recommendation was issued on December 17, 2008. It is highly recommended that anyone who bought the stock based on my research should re-read the posting. It is hoped that the stock was researched and purchased well below the initiation price.

SYY has formed an upside down head and shoulders pattern which could indicate that the stock is headed much higher. SYY is the ultimate hedge against inflation and it may go as high as my first target price of $27.58. In the pursuit of "seeking fair profits" the returns that this stock has provided within the last 253 days say that it is necessary to consider alternative opportunities.

SYY was recommended when it was trading at $23.60. As of August 26, 2009, SYY was quoted at $25.34. This equals a compounded return of 10.85% in a little over 8 months. Conservatively, on an annualized basis this would equal approximately 15.65% return. Selling this stock now also generates a return 2.59x greater than the amount of the dividend yield if the stock was held for a whole year.

As I have indicated in the purposes and function of this site, the goal is to:

  • maximize the annual yield of each trade.
  • reduce time between buying and selling of each stock.
  • exceed the annual yield of government guaranteed alternatives in each trade.

Research recommendations are intended to be a starting point for investigating a quality company at a reasonable price. It is hoped that after doing the background research you can buy the stock at a lower price. Ideally the stock should be held in a tax deferred account and should not consist of less than 20% of your holdings. Personally, I prefer holding only 2-3 stocks at a time.

Sell recommendations are intended to deal with the short term reality of the market. The tracking of the Sell recommendations are the worst case scenario if you happen to have bought a stock at the time the research recommendation was made (please avoid making this mistake.) I aim for mediocrity in my returns, therefore I am happy with 9-12% annual gains. However, since codifying my approach to investing in 2005, I have had annual returns of 14% and above every year since.

It is always recommended that when selling a stock, one should not place an order after hours or when the market is closed. This leaves the seller in the position of being vulnerable to the whims of the market makers. Instead, place your sell orders only as a market order during market hours. Some would complain that a market order during market hours might leave some profits on the table. However, I would rather leave some money on the table rather than have it taken away from me by the trades that are placed by institutions and market makers. Touc.


Please revisit Dividend Inc. for editing and revisions to this post.

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Posted in Sell Recommendations, SYY

Sell Bank of Hawaii (BOH) at the Market

Posted on August 6, 2009 by | Comments Off on Sell Bank of Hawaii (BOH) at the Market
It is now time to recommend that Bank of Hawaii (BOH) be sold at the market. The stock has performed modestly since the research recommendation was issued on January 12, 2009. It is highly recommended that anyone who bought the stock based on my research should re-read the posting. The stock took a huge dive in early March, it is hoped that shares of BOH were bought somewhere below the recommendation price.

From the current level, BOH is likely to continue higher as the current deflationary spiral ends and an inflationary environment begins. If you believe that inflation is coming down the road then the Japanese economy has typically performed better during inflation. Growth in the Japanese economy has typically meant growth in the Hawaiian economy. Additionally, BOH has held up very well in the banking crisis that just past and is poised to reach the $45 level, especially because we just got a Dow Theory cyclical bull market signal (within a larger secular bear market.) In the pursuit of "seeking fair profits" the returns that this stock has provided within the last 207 days say that it is worthwhile considering alternative opportunities.
BOH was recommended when it was trading at $37.76. As of August 6, 2009, BOH was quoted at $40.98. This equals a total return (dividends plus appreciation) of 11.36% in a little over 7 months. Conservatively, on an annualized basis this would equal approximately 19.47% return. Selling this stock now also generates a return 4 times greater than the amount of the dividend yield if the stock was held for a whole year.

It is always recommended that when selling a stock, one should not place an order after hours or when the market is closed. This leaves the seller in the position of being vulnerable to the whims of the market makers. Instead, place your sell orders only as a market order during market hours. Some would complain that a market order during market hours might leave some profits on the table. However, I would rather leave some money on the table rather than have it taken away from me by the trades that are placed by institutions and market makers. Touc.


Please revisit Dividend Inc. for editing and revisions to this post.

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Posted in Bank of Hawaii, Sell Recommendations