These Tech Stocks Will Make Me Rich
By
Tim Beyers
November 21, 2008
|
Welcome to week 15 of my stock-picking throwdown with Mr. Market. Let's get right to the numbers:
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Company
|
Starting Price*
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Recent Price***
|
Total Return
|
|
Akamai (Nasdaq: AKAM)
|
$22.23
|
$9.29
|
(58.2%)
|
|
Harris & Harris
|
$6.22
|
$3.10
|
(50.2%)
|
|
IBM (NYSE: IBM)
|
$129.05
|
$71.74
|
(44.4%)
|
|
Oracle (Nasdaq: ORCL)
|
$22.75
|
$15.40
|
(32.3%)
|
|
Taiwan Semiconductor
|
$10.34
|
$5.85
|
(43.4%)
|
|
AVERAGE RETURN
|
--
|
--
|
(45.70%)
|
|
S&P 500 SPDR (AMEX: SPY)
|
$126.28**
|
$75.45
|
(40.25%)
|
|
DIFFERENCE
|
--
|
--
|
(5.45%)
|
Source: Yahoo! Finance.
*Tracking began on Aug. 7, 2008.
**Adjusted for dividends and other returns of capital.
***Yahoo! Finance at close of Nov. 20, 2008.
Anyone else feel like they just went 10 rounds with Muhammad Ali? Forget Detroit. My portfolio, down 15% in a week, needs a bailout, posthaste. I also lost ground to Mr. Market.
Bargain-hunting isn't as easy as it seems, either. Microsoft (Nasdaq: MSFT) looks cheap, but it could be a spectacular value trap. Cisco, too -- if you're Rick Munarriz. Here are his three reasons to throw this networker away.
But not all tech news is bad news. Hewlett-Packard (NYSE: HPQ) beat back the bear attack with a better-than-expected earnings report. So did cloud-computing upstart salesforce.com (NYSE: CRM). Nibbling at low-priced tech stocks like these now should lead to a feast of wealth later.
Consider history. David Gardner produced a decade of 20% returns by buying and holding the likes of Amazon.com and eBay in the real-money Rule Breaker portfolio. Tom Gardner's "simpleton portfolio" was also a market-beater. With these five tech stocks, I believe that I will achieve similar success.
Checkup time!
Now, let's move on to the rest of today's update:
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New data from researcher iSuppli suggests that Taiwan Semiconductor and its chipmaking peers are in for a very tough 2009.
- The state of Georgia awarded IBM an $873 million consulting and services contract.
-
Akamai cut approximately 110 jobs, while Amazon announced a competitive, if lightweight, CDN service called CloudFront.
There's your checkup. See you back here next week for more tech stock talk.
Get your clicks with more techie Foolishness:
- Why the iPhone is poised to keep winning.
- Obama's candidacy was built on tech. Why can't his presidency be, too?
- No matter what he says today, Mr. Softy is going to learn to yodel. Bet on it.
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