2/5/12-On 2/1/12, our Low Price to Book Value asset, KTCC, purchased on 3/11/11, was sold for a net gain of 95.88%. Info on KTCC's cost basis and performance from 3/11/11 through 2/1/12 has been added to the Low P/Bk closed positions spreadsheet, and KTCC has been deleted from the record of Low P/Bk open positions.
On 2/3/12, another of our Low Price to Book Value assets, FVE, purchased on 9/11/11, was sold for a net gain of 52.64%. Info on FVE's cost basis and performance from 9/11/11 through 2/3/12 has also been added to the Low P/Bk closed positions spreadsheet, and FVE has been deleted from the record of Low P/Bk open positions.
My current top-five low price to book value stocks are: FLXS; HDNG; JST; NPTN and SCX.
My new favorite from among them is Hardinge, Inc. (HDNG) (recent price $10.94). It meets Benjamin Graham's bargain stock safety and value criteria.
Hardinge, Inc. will be added to our nest egg at its market price in early trading on Monday, 2/6/12.
2/29/12-On 2/16/12, our Low Price to Book Value asset, VII, purchased on 10/2/09, was sold for a net loss of 42.95%. VII had been held over two years, and there appeared to be other low price to book value assets with better prospects. Info on VII's cost basis and performance from 10/2/09 through 2/16/12 has been added to the Low P/Bk closed positions spreadsheet, and VII has been deleted from the record of Low P/Bk open positions. With this trade, the average closed position performance of our Low Price to Book Value portfolio has fallen to an annualized 28.56% (after commissions), not counting dividends, which have been running between 1-2% a year.
On 2/21/12, another Selective Six Percent Plus (SSPP) portfolio asset, AZN, was purchased, bringing that total portfolio up to ten holdings: AZN, MDP, RVT, SSL, STM, TEI, TICC, UMC, UVE, and VOD. This portfolio was begun on 8/22/11. The portfolio assets have gradually been added since. Though the buy criteria simply calls for a minimum forward dividend estimate of 5.6% (rounds to 6%), on average the ten assets have had dividends of greater than 7% at the time of purchase. Through the close of trading yesterday, 2/28/12, the portfolio as a whole is up 15.77% after commissions, but not counting the additional return from dividends. Once I find another good candidate for the SSPP portfolio, I intend to buy it but sell UVE which has turned out to be the weakest SSPP performer (down a little more than one percent so far, not counting its yield).
My current top-five low price to book value stocks are: BSET; HDNG; PLFE; SCX; and SYA.
My new favorite from among them is Presidential Life Corp. (PLFE) (recent price $11.35). It meets Benjamin Graham's bargain stock safety and value criteria.
Presidential Life Corp. has been added to our nest egg at its market price ($11.35) in early trading today, Wednesday, 2/29/12.
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This diary is intended for personal interest and general information only. You are advised to do your own research (as well as to consult highly compensated professionals) before spending money on anything.
I know of no reason anyone should take my financial musings seriously. At best I am a dedicated amateur providing a bit of investment-related insight and entertainment, at worst an amusing diversion.
My wife, Fran, and I may at times own shares of some of the assets mentioned here. But neither of us receive any benefit from reference to them, unless you count the mutual misery when we get it wrong, or the opportunity to gloat when we get it right.