The apparel sector is suffering, but not everybody is skinny dipping

August 7, 2014

As Warren Buffett used to say, “Only when the tide goes out do you discover who’s been swimming naked.” That adage applies perfectly to the apparel sector right now. Although the industry has had a terrible year, one of its major players is still financially strong with incredible competitive advantages, and a solid global presence. […]

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Picking up a bargain in June

July 3, 2014

In June, shares of Bed Bath & Beyond (BBBY), one of the most efficiently run companies around, dropped by 5.7%. Year to Date, its shares have dropped 28.53%. This is one of those very rare opportunities to invest in a great company selling at a very good price. Price to sales is just 1.049 and […]

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Apple is back but questions remain

June 4, 2014

On September 21, 2012, Apple reached $700 per share for the first time, only to go back down to $390 six months later. The company has had a fantastic run since 2010, but its current price of $628 is still under the $700 of those glory days in 2012. Apple invests huge amounts of money […]

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JC Penny (JCP) still volatile, but on track to beat the S&P 500 in 2014

May 12, 2014

In my February letter to investors, I explained why I was increasing my position in JC Penny (JCP). Since that post, the stock has continued to be very volatile in 2014 with double-digit gains and drops depending on the day. This is always the case when companies are having trouble, and in the short term, […]

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My JC Penny (JCP) and Ecopetrol (EC) holdings are paying off

April 1, 2014

In my February letter to investors, I explained why I was a believer in the JC Penny (JCP) rebound. I cited some cases throughout history where struggling companies have rebounded, making millions for smart value investors. Warren Buffett did this in the seventies with Geico. By 1974, the company was not fairing well. The government […]

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Increasing my position in JC Penny

April 1, 2014

In February, JCPenny (JCP) had a stellar month, up 23%. While this stock is extremely volatile right now and not paying dividends (two points of concern for me), I think JCPenny is on the right track for recovery, and that the stock may soar later this year or in 2015. This is an investment I […]

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How The Economy Machine Works by Ray Dalio [Video]

February 11, 2014
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Focusing on dividends and buybacks in 2014

February 6, 2014

Just as the Super Bowl had an awful start last Sunday, so did the stock market in January after the largest annual jump in 16 years (29.6%).  This is a year to be conservative and focus on established companies paying large dividends and implementing wide buybacks programs.  Monetary policies will most likely tighten this year […]

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S&P 500 best return in 16 years

January 9, 2014

The return of the S&P 500 in 2013 was a whopping 29.6%. This is something we haven’t seen in the stock market since 1997 when the S&P 500 delivered 31.01%. This is good news for investors, but a reminder that we all should be cautious because we are still far from being out of the […]

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A good year for the stock market

December 10, 2013

The Dividend Paying Large Caps portfolio was up 3.63% in November as compared with the 2.8% gain for the benchmark S&P 500 Index (SXP). The portfolio outperformed against the market in November, due to the following positions: Sprint (S) +24.67% The stock increase was due to three factors: Recent announcement that Sprint will leverage its […]

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