Any Stockpickers out there?

Talk your book 2.0:

So, I have some cash on the sidelines that I want to deploy soon’ish. I just went through my current holdings and updated my potential shopping list for the next month or so.

First pass - undervalued, but no visible headaches looming (like BMY* or MMM**), growth intact - gives me about 28 potential buys*** and 7 potential sells.****

Second pass - taking into account personal preferences like acceptable dividend for my needs, existing open cash secured puts, etc - boils it down to these shortlists:

  • Buys: BK, CVS, ES, OZK, STT
  • Buys, but excluded for personal risk management (my positions are full): BTI, CMCSA, GWO, IMB, LNC, MAIN*****, MTB, NFG, O, UNM, VICI

This is just screening through current and (for the sells including) past holdings.

I might update the shopping list after screening through my full watchlist if I get to it during this Easter break.

Anyway, point is that the the market is reaching new highs, but I feel I can still deploy cash in some corners of the market that seem undervalued.******

FastGraphs for my shortlist if you are interested:

  • Bank of New York Mellon (BK)


    +: Nice growth expectations, acceptable dividend yield, nice credit rating, no debt (?!?).
    -: Only just fairly valued, average growth since the GFC.

  • CVS Health (CVS)


    +: Clearly undervalued, ok dividend yield (but good dividend growth again), good credit rating.
    Also, look at that steadily growing earnings chart - what a beauty!
    -: Didn’t they just do another acquisition? I’ll need to look into that.

  • Eversource Energy (ES)
    Mentioned before, see above.

  • Bank OZK (OZK)


    +: Dividend growth, severly undervalued, acceptable dividend.
    -: Regional bank. Seems solid to me, but dragged down from debt duration fiasko which might or might not be justified.

  • State Street (STT)


    +: Nice expected growth, undervalued, nice dividend, nice dividend growth.
    -: Flat stock price for about a decade (or longer, if you include the GFC).

Good luck and good night!


* BMY: Negative growth over the next couple of years, otherwise fine.
** MMM: Unresolved lawsuits, otherwise fine.
*** Buy longlist: ADM, BK, BTI, CVS, ES, GPK, GPN, GWO, IMB, JNJ, LNC, MAIN, MET, MTB, NFG, O, OC, OZK, SJM, STT, SWKS, T, TD, UGI, UNM, VICI, VZ, WAL.
(includes full positions of mine that I won’t add to or only hesitantly add to)
**** Sell longlist: GD, IBM, IRM, LOW, PG, SO, WSM.
***** I keep DRIPping into MAIN despite having a full position, but I don’t won’t to increase my position outside DRIP.
****** Famous last words, I know.

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