 |
| Neubert's Top 15 Positions for August 2008 |
|
| Written by David Neubert | |
| Tuesday, 05 August 2008 | |
 Photo: trekkyandy, Creative Commons, Flickr I haven't done this since March so be forewarned that there are a lot of changes. My portfolio has been ravaged by the meltdown of the financial sector, with special emphasis on Lehman (LEH). I also spent time buying the XLF on the way down and even at the bottom. My cost puts me about even on that trade. Much of my losses (but not all) in the financial sector have be offset by Big Oil and consumer non-durables companies. 1. General Electric (GE - $29.07): I think people will look back on the current price of GE and kick themselves for not recognizing the bargain of a lifetime in this company with so much diversification and exporting power in the face of a weak dollar. My average cost is about 10% above the current price at $32 - so clearly my average basis isn't at the super bargain price. 
Photo: TheTruthAboutMortg, Creative Commons, Flickr 2. Lehman Brothers (LEH - $19.97): I acquired this stock as part of my compensation while working at Lehman Brothers. I still have a lot of respect for the top management there. They are scrappy and will find a way out of this. Dick Fuld thinks of Lehman as his firm and has shown a loyalty to those who own the shares (many of them employees). I am betting he will confound the shorts and dig the firm out of this hole. 3. Berkshire Hathaway (BRK.A - $115,400) (BTK.B - $3840) Warren Buffett manages a conglomerate of companies dominated by insurance. I'm glad to see this company down a bit, but at a trailing P/E of 15, it still trades rich for an insurance company. 4. Usiminas (USNZY - $39.60) I sold a little bit of this Brazilian Steel company in June at above 50 when the mania for Brazil was at a maximum. I like the dividend and I like having exposure to this steel maker with access to one of the world's largest iron ore producers. 5. Conoco Phillips (COP - $79.35) Big Oil companies have dropped a bunch, more than is justified given the recent oil price drop. They never went up enough either. For those who remind me that Big Oil is not a socially responsible investment, I say I'd rather have influence as a shareholder than run away and let them get away with whatever they want. Also, the stocks are just so darn cheap. 6. Vanguard Pacific ETF (VPL - $58.60) I'm not good at analyzing Asian stocks on an individual basis, but I know that the region is really cheap and not suffering a recession like the U.S. 7. Chevron (CVX - $82.89) Same Big Oil commentary as Conoco Phillips above. 8. Financial Sector ETF (XLF - $22.46) Been buying this all the way down from $27 to $18. I think it is a much better way to play the extreme pessimism and shorting in the financial sector. 9. Amgen (AMGN - $63.19) Recent good news from the FDA on new drugs has propelled this unloved and unnoticed company back into the limelight. It's a long-term holding of mine but I did let a few shares go around $62.50. 10. Proctor and Gamble (PG - $67.98) P&G was crushed down with the rest of the market. I was able to pick up shares at around $61 and, more importantly, at a P/E ratio below 20. A rarity for this growing, quality brand powerhouse. 11. 3M (MMM - $71.82) Another one of my long term holds. The dividend yield and low P/E have made 3M a deep value stock. 12. BP Prudhoe Bay Royalty Trust (BPT - $79.96) Yes, this trust gets royalties from pumping oil out of Alaska. I'm not happy about benefiting from a big pipeline in the middle of the Alaskan tundra but the huge capital gain I have means it's not worth selling at this point. 13. Microsoft (MSFT - $26.18) Earnings growth from ongoing growth in Office and Windows. Disappointment with the adoption of Vista is holding investors back from buying it for now. But they will have to when the stock starts to rise and they realize how underweighted they are. 14. Occidental Petroleum (OXY - $74.94) Big Oil - yadda yadda. 15. Chubb (CB - $49.11) Super cheap, high quality insurance company. At a trailing P/E of 7.5 and an increasing book value, I'm not worried about Chubb, even if a couple hurricanes hit. AMGN 
BPT 
BRK.A 
Big Oil 
CB 
COP 
CVX 
GE 
LEH 
MMM 
MSFT 
Neubert Top Holdings History 
Neubert Trades 
OXY 
PG 
Stocks 
USNZ 
VPL 
Comments
(1)
...
written by Mark , August 22, 2008 Tag it:           | |
| Last Updated ( Sunday, 10 August 2008 ) | |
| < Prev | Next > |
|---|
| Company Profiles |
| Individual Profiles |
| Movie Reviews |
| Culture-Celebrity |
| Opinions |
| Staff Recommendations |
| Resources |
 ThePanelist Latest Postings Alternative Energy Christian Investing Climate Women Neubert's Trades Social Culture Technology |
 |
Copyright © 2006 - 2008 ThePanelist.com.
Subscribe to this comment's feed
Is this a risky move for an amateur investor to try to buy in before this kind of event and cash out if it goes through?
Thanks,
Mark