Boring Portfolio Report
Monday, August 25, 1997
by Greg Markus (TMF
Boring)
ANN ARBOR, Mich. (August 25, 1997) -- Benchmark stock indices closed mixed following a day of directionless, snoozy trading on Monday. The Dow and S&P 500 fell 0.36% and 0.37%, respectively, while the Nasdaq picked up 3 points (+0.18%) to close above 1600.
The day was fairly snoozy and mixed for the Boring Portfolio, as well. Four stocks rose and five fell as the Borefolio shed 0.22%.
The current issue of Barron's features a number of items of interest to Fools. Most notably, "The Electronic Investor" column reviews Internet chat room and message board sites, including a certain one that "immediately comes to mind because it popularized the format in the mid-1990s." The Fool on AOL rates three-stars (out of four) for its comprehensive stock folders and hosted online chats, while the newer site on the Web gets two-and-a-half stars.
The review was written before FoolAudio was launched on the Web, though. If you haven't tried FoolAudio yet, I recommend it highly. Heck, listening to the gang of Fools at HQ discuss stocks twice each weekday has gotta be worth another half-star, at least!
An article by Andrew Bary in the same issue of Barron's describes a new study by Morgan Stanley that affirms the utility of the Fool's favorite rule of thumb for valuing growth stocks: the ratio of p/e to growth rate, or PEG. Based on over a decade's worth of data, the lower the PEG, the better the stock's compounded annualized return.
The article closes by noting that despite the market's relatively high current valuation, there are still many stocks with attractive PEGs. Borefolio holdings TIDEWATER (NYSE: TDW) and CISCO SYSTEMS (Nasdaq: CSCO) are singled out for mention, as is a "quite controversial" Foolfolio holding, IOMEGA (NYSE: IOM).
One could mention that it was Barron's that largely manufactured the "controversy" surrounding Iomega, but we're feeling magnanimous toward the ancien regime of investor information today -- particularly since both Tidewater and Cisco rose nicely.
Monday's other two Borefolio winners were GREEN TREE FINANCIAL (NYSE: GNT) and BORDERS GROUP (NYSE: BGP), each up a "teenth." Green Tree
accomplished that despite a bond market that was heading the other way. The
long bond fell 8 ticks, sending the yield up to 6.67%.
Drip Portfolio-- Defending
Intel, the first buy.
Fool Message
Boards -- Speak your mind!
Evening News
-- All the news,
early.
Daily Double -- Grupo Radio Centro.
Daily Trouble -- Value
in this butchered stock?
The Fool Portfolio
-- Fool Port tied with Boring.
Fool Four -- 23% annualized.
(c) Copyright 1997, The Motley Fool. All rights reserved.
This material is for personal use only. Republication and redissemination,
including posting to news groups, is expressly prohibited without the prior
written consent of The Motley Fool.
Stock Change Bid ATLS - 5/8 27.38 BGP + 1/16 23.88 CSL - 3/16 42.50 CSCO +1 3/8 78.13 GNT + 1/16 44.06 ORCL -1 1/4 39.56 OXHP - 1/8 76.50 PMSI - 1/4 11.00 TDW +1 51.31
Day Month Year History
BORING -0.22% -1.78% 21.29% 39.57%
S&P: -0.37% -3.58% 24.22% 48.03%
NASDAQ: +0.18% 0.49% 24.05% 53.86%
Rec'd # Security In At Now Change
2/28/96 400 Borders Gr 11.26 23.88 112.10%
8/13/96 200 Carlisle C 26.32 42.50 61.44%
5/24/96 100 Oxford Hea 48.02 76.50 59.29%
2/2/96 200 Green Tree 30.39 44.06 45.00%
6/26/96 100 Cisco Syst 53.90 78.13 44.94%
11/21/96 150 Oracle Cor 32.43 39.56 21.98%
3/5/97 150 Atlas Air 23.06 27.38 18.72%
12/23/96 100 Tidewater 46.52 51.31 10.29%
3/8/96 400 Prime Medi 10.07 11.00 9.25%
Rec'd # Security In At Value Change
2/28/96 400 Borders Gr 4502.49 9550.00 $5047.51
8/13/96 200 Carlisle C 5264.99 8500.00 $3235.01
5/24/96 100 Oxford Hea 4802.49 7650.00 $2847.51
2/2/96 200 Green Tree 6077.49 8812.50 $2735.01
6/26/96 100 Cisco Syst 5389.99 7812.50 $2422.51
11/21/96 150 Oracle Cor 4864.99 5934.38 $1069.39
3/5/97 150 Atlas Air 3458.74 4106.25 $647.51
12/23/96 100 Tidewater 4652.49 5131.25 $478.76
3/8/96 400 Prime Medi 4027.49 4400.00 $372.51
CASH $7890.00
TOTAL $69786.88
