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Saturday, June 18, 2011
Musings about purchases
Walgreens is at $44.67 up $1.52 from my purchase price. Things I have learned in the year since I started purchasing individual stocks. I bought AAPL during this past Christmas and New Year. Apple gets a lot of attention from the media. I bought apple probably at an average price of $340. $348 if you include the fee to purchase. Now it is at $320. AAPL is my biggest loser. I heard some say that the stock is undervalued and should go to $500. Again, lots of attention paid to Apple. I am keeping the stock in hopes that it may resurge. But, it could easily trend south. Is Steve Jobs not coming back? I just read an article in Fortune about the company environment. Wow, no mercy for the weak. Reminds me of my days at AK Steel. I will never buy stock in that company. Another dog I have is Boise Inc. trading under ticker symbol BZ. I purchased based on the numbers only, not knowing much about the company which I think makes paper products. Lesson learned here: Smaller, less well known companies are also dangerous. In another case I purchased Generac, a generator manufacturer. I had an opportunity to use their product and found it powerful for its size (kind of like a Honda generator) and cost effective (less expensive than Honda). And I am able to compare it to a number of other portable generators on the market. Generac trading under symbol GNRC made it through this most recent six week downturn without much of a hiccup. I want to do some investigation on the company that makes the Makita product. Over a year ago I purchased a used drill set from a friend. And I use them both every day. In my opinion, these drills blow away any DeWalt product I owned. They now sell at only $216 at Home Depot. I almost want to buy another set because I know they are a great value. Those are the kinds of companies I want to invest in.
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