Walgreen (NASDAQ: WBA ) is a selection for the real-money Inflation-Protected Income Growth portfolio. In this brief video, portfolio manager Chuck Saletta offers up the one reason he's considering selling the stock despite its substantial gain since he bought those shares a little more than a year ago.
And Here's a Pick to Buy and Hold
There's a huge difference between a good stock and a stock that can make you rich. The Motley Fool's chief investment officer has selected his No. 1 stock for 2014, and it’s one of those stocks that could make you rich. You can find out which stock it is in the special free report "The Motley Fool's Top Stock for 2014." Just click here to access the report and find out the name of this under-the-radar company.
Walgreen's meteoric stock-price increase means the company has rocketed past a reasonable fair-value estimate, though its balance sheet, dividends, and prospects remain strong. As a result, if its stock price passes $72 per share before Walgreen's next earnings announcement, he'll consider selling. Otherwise, he plans to hold through the earnings announcement and re-evaluate to see whether it drives changes to that fair-value estimate.
To follow the iPIG portfolio as buy and sell decisions are made, watch Chuck's article feed by clicking here. To join The Motley Fool's free discussion board dedicated to the iPIG portfolio, simply click here.