Boring Portfolio

Boring Portfolio Report
Thursday, February 19, 1998
by Mark Weaver (MWEAV@aol.com)


St. Louis, MO (Feb. 19, 1998) -- The clouds haven't lifted in the Midwest but the sun did shine on the Borefolio today. The Bore Port ended its recent losing streak with a 0.38% rise today. This was sweetened somewhat by a 0.37% decline in our nemesis, the S&P 500. The star of the day was the Nasdaq Composite which was up 0.66% on strength in technology issues following the robust earnings report coming from Dell Computer (Nasdaq: DELL).

On the economic front, the report on jobless claims came in with an unexpected drop. The five week average of jobless claims is at its lowest point since late last summer. These figures point to continued strength in the economy. Good economic news is not necessarily good news for stocks in the perverse (but understandable) logic of the stock market.

For the day, three of our stocks were up, two were down and one was unchanged. Once again all moves were limited to less than a point.

Andrew Corporation (Nasdaq: ANDW) was the big gainer, up $13/16 on no news. We will be celebrating the one month anniversary of Andrew's entrance into the portfolio tomorrow. Up to this point Andrew has gained a bit more than 8% since our purchase... many happy returns!

Joining Andrew in the plus column is FelCor Suites Hotels (NYSE: FCH), which hasn't moved much since announcing the purchase of an additional Doubletree Guest Suites hotel earlier this week. In last week's column I called for such a move and I am happy to see it. Hotel acquisitions are the growth engine for FelCor and it is nice to see the engine running.

Cisco Systems (Nasdaq: CSCO) did not join its technology brethren with an advance today, in fact it was off $1/16. I penned a piece on Cisco for The Daily Double today. It may be difficult to believe, but Cisco has doubled off of its "buying opportunity" lows last spring. In that report I point out that Greg Markus was one voice calling the stock undervalued at that point.

In the Daily Double report I mention that Cisco has room to grow by acquisition and, just to prove my point, Cisco announced the acquisition of Wheelgroup yesterday. Wheelgroup has developed sensors for security on networks and these products will add to Cisco's capability in the network security area. Cisco expects to take a charge of $0.08-0.13 against earnings to account for this transaction.

I noticed blooms on the Witch Hazel in my front yard today. That is the earliest sign of the end of winter in these parts and it can't come soon enough for me. I used to think I liked a good gray day but this endless monotony of clouds and drizzle needs to come to an end.

At least the Borefolio provided a bit of light today.

FoolWatch -- It's what's going on at the Fool today.


TODAY'S NUMBERS
Stock  Change    Bid 
 ANDW  +  13/16 28.19 
 CGO   -  5/8   28.56 
 BGP   +  3/8   32.56 
 CSL     ---    47.06 
 CSCO  -  1/16  65.38 
 FCH   +  1/8   35.25 
 
                   Day   Month    Year  History 
         BORING   +0.38%   2.71%  -0.82%  24.80% 
         S&P:     -0.37%   4.90%   5.96%  65.42% 
         NASDAQ:  +0.66%   6.65%   9.97%  65.91% 
  
     Rec'd   #  Security     In At       Now    Change 
   2/28/96  400 Borders Gr    11.26     32.56   189.28% 
   6/26/96  150 Cisco Syst    35.93     65.38    81.93% 
   8/13/96  200 Carlisle C    26.32     47.06    78.78% 
    3/5/97  150 Atlas Air     23.06     28.56    23.87% 
   1/21/98  200 Andrew Cor    26.09     28.19     8.04% 
   11/6/97  200 FelCor Sui    37.59     35.25    -6.23% 
  
     Rec'd   #  Security     In At     Value    Change 
   2/28/96  400 Borders Gr  4502.49  13025.00  $8522.51 
   6/26/96  150 Cisco Syst  5389.99   9806.25  $4416.26 
   8/13/96  200 Carlisle C  5264.99   9412.50  $4147.51 
    3/5/97  150 Atlas Air   3458.74   4284.38   $825.64 
   1/21/98  200 Andrew Cor  5218.00   5637.50   $419.50 
  
   11/6/97  200 FelCor Sui  7518.00   7050.00  -$468.00 
  
                              CASH  $13182.97 
                             TOTAL  $62398.60