Boring Portfolio Report
Monday, February 26, 1996
(FOOL GLOBAL WIRE)
by Greg Markus (MF Boring)
The Borefolio declined less than most market averages today only because a large chunk of its assets are still stuffed in the cookie jar. That's not very satisfying for the long run, however, and I very much intend to reduce further our cash reserves this week.
In that regard, I note that a stock on the Boring "watch" list is scheduled to report fourth quarter earnings tomorrow. United Waste Systems (UWST) made 33 cents per share in the corresponding quarter a year ago, and analysts are expecting 45 cents this time around. That would constitute a 36% gain for UWST--not too trashy.
I decided not to run in front of the of the garbage truck and will instead wait until after the news release to make a decision about whether or not to add UWST to the Borefolio. Fact is, I've heard some folks caution that all the cold weather last December could nip into UWST's earnings a bit, so I'll just wait and see.
I did try to reach the company a couple of times today, to try to get in on the conference call, but no one answered. I dunno, maybe they were still out on their rounds. In any event, I'll try again tomorrow morning.
As for our current holdings, Green Tree Financial picked up $5/8, to close at a bid of $32. Potash lost $5/8, to close at $75 5/8. And Texas Industries was unchanged, at $61 1/2.
That left it up to our two tech holdings, Lam Research and Kulicke & Soffa to carry the day. Unfortunately, this morning Tom Kurlak at Merrill Lynch issued yet another caution about margin pressures on semiconductors (especially memory chips) due to anticipated increases in production capacity. Of course all that additional capacity is good news, not bad, for chip-equipment suppliers like LRCX and KLIC. Nevertheless, these stocks declined, with $1 1/4 being shorn from Lam (to $44 3/4) and KLIC clipped by $3/4 (to $22).
GNT + 5/8 KLIC - 3/4 LRCX -1 1/4 POT - 5/8 TXI ---
Day Month Year History BORING -0.42% 1.02% 0.51% 0.51% S&P 500 -1.31% 2.27% 4.64% 4.64% NASDAQ -0.42% 5.02% 6.93% 6.93% Rec'd # Security In At Now Change 1/29/96 100 Texas Indus 54.52 61.50 12.79% 2/2/96 200 Green Tree 30.39 32.00 5.31% 2/9/96 100 Potash Corp 76.27 75.63 -0.85% 2/23/96 100 Lam Researc 48.02 44.75 -6.81% 1/29/96 200 Kulicke & S 23.89 22.00 -7.90% Rec'd # Security Cost Value Change 1/29/96 100 Texas Indus 5449.99 6150.00 $700.01 2/2/96 200 Green Tree 6077.49 6400.00 $322.51 2/9/96 100 Potash Corp 7627.49 7562.50 -$64.99 2/23/96 100 Lam Researc 4802.49 4475.00 -$327.49 1/29/96 200 Kulicke & S 4774.99 4400.00 -$374.99 CASH $21267.55 TOTAL $50255.05