Recs

15

These Tech Stocks Will Make Me Rich

Welcome to week 18 of my stock-picking throwdown with Mr. Market. Let's get right to the numbers:

Company

Starting Price*

Recent Price

Total Return

Akamai (Nasdaq: AKAM  )

$22.23

$14.10

(36.6%)

Harris & Harris

$6.22

$3.84

(38.3%)

IBM (NYSE: IBM  )

$129.05

$80.58

(37.6%)

Oracle

$22.75

$16.46

(27.6%)

Taiwan Semiconductor (NYSE: TSM  )

$10.34

$7.30

(29.4%)

AVERAGE RETURN

--

--

(33.90%)

S&P 500 SPDR (AMEX: SPY  )

$126.28**

$87.94

(30.36%)

DIFFERENCE

--

--

(3.54%)

Source: Yahoo! Finance.
* Tracking began on Aug. 7, 2008.
** Adjusted for dividends and other returns of capital.

Maybe Mr. Market isn't as fast as he seemed a week ago. Turbulence caused by a dead-on-arrival bailout of General Motors, Chrysler, and -- to a lesser extent -- Ford created opportunity for my well-positioned growers. As a group, they outperformed the S&P by close to three percentage points this week. I'll take it.

Now isn't the time to get greedy, or cocky. Too many tech stocks are still suffering. Yahoo! (Nasdaq: YHOO  ) , for example, made history with a pink-slip parade. Seagate (NYSE: STX  ) reduced guidance and told employees it would shutter some facilities during the holidays to trim costs. And netbooks have proven so popular that they're cannibalizing laptop sales. How do you think Michael Dell feels about that?

So while I'm cautious, I'm also mindful of history. David Gardner produced a decade of 20% returns by buying and holding the likes of Amazon.com and eBay (Nasdaq: EBAY  ) in the real-money Rule Breaker portfolio. Tom Gardner's "simpleton portfolio" was also a market-beater. I believe that, with these five tech stocks, I will achieve similar success.

Checkup time!
Now, let's move on to the rest of today's update:

There's your check-up. See you back here next week for more tech stock talk.

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Amazon and eBay are Stock Advisor selections. Akamai and Harris & Harris are Rule Breakers recommendations.  eBay is a Motley Fool Inside Value recommendation. Try either of these Foolish services free for 30 days. There's no obligation to subscribe.

Fool contributor Tim Beyers is getting killed in CAPS right now. Thankfully, his real portfolio is doing better. Tim owned shares of Akamai, Harris & Harris, IBM, Nokia, Oracle, and Taiwan Semiconductor at the time of publication. See Tim's portfolio holdings and a collection of his writings. Or connect with him on Twitter as @milehighfool. The Motley Fool is also on Twitter as @TheMotleyFool. Its disclosure policy is tech-tastic.


Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

  • Report this Comment On December 12, 2008, at 5:43 PM, Patricia013 wrote:

    Another one dazzled by Ebay's past yet seemingly unaware of this past year and the turmoil that has been inside that business. I'm tired of saying it...so, go ahead and buy Ebay and I'll come back next year to say "I told you so"!!! Some people have to learn thru hard knocks.

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Related Tickers

2/14/2012 4:00 PM
STX $26.60 Up +0.55 +2.11%
Seagate Technology CAPS Rating: ***
TSM $14.18 Up +0.07 +0.50%
Taiwan Semiconduct… CAPS Rating: ****
YHOO $15.37 Down -0.76 -4.68%
Yahoo! CAPS Rating: **
SPY $135.19 Down -0.17 -0.13%
S&P Depository Rec… CAPS Rating: No stars
AKAM $38.48 Down -0.09 -0.23%
Akamai Technologie… CAPS Rating: ****
EBAY $32.96 Down -0.20 -0.60%
eBay CAPS Rating: ***
IBM $192.22 Down -0.40 -0.21%
International Busi… CAPS Rating: ****

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