Rotten Day for our Buy List

I always try to upfront about the performance of our Buy List. There are a lot of sketchy characters on the Internet, so I want to be as transparant as possible. Fortunately, we’ve done well over the years so there’s been a lot of celebrating. But there are bad days, too, and today was one.

For the day, our Buy List dropped 0.34% while the S&P 500 gained 0.51%. Ouch, that stings. The good news is that we’re still ahead of the index for the year.

The culprits are easy to spot. Ford fell by 4.64% and Harris lost 4.39%. Our Buy List is very well-diversified so we can often shake off one stock having a bad day, but two weaklings is tough. Outside Ford and Harris, we were only modestly behind the S&P 500 today.

What’s more important to me is that I thought both earnings reports were quite good. I like Ford a lot. While Harris’ lower guidance was troubling, the shares are still going for less than 10 times forward earnings. I expect both stocks to rebound soon.

Today’s lesson: Not every day is a winner for us, but we’re still focused on the long-term.

Posted by on January 29th, 2013 at 4:53 pm

The information in this blog post represents my own opinions and does not contain a recommendation for any particular security or investment. I or my affiliates may hold positions or other interests in securities mentioned in the Blog, please see my Disclaimer page for my full disclaimer.