Stock Movers

Hello everyone!  Today I am going to take a look at some stocks with you that have been moving in the market.  The DOW is now approaching 18,000 again and we have many stocks that have been on the rebound and others that have still not found their footing.

First I want to take a look at stock that is in the dumps and can't find a way out and continues to make bad and ridiculous choices and decisions.  That stock is International Business Machines (IBM).  They have taken a 16% nose dive since October 2014.  They can't seem to find a way to keep pace with their competitors and then made the ridiculous decision a few days ago to reinstate bonuses for their top level executives!  They are losing money hand over fist and are reinstating bonuses for their top level executives?  Tell me who is greedy here?  I don't think it is very difficult to answer this question and they seem to have taken an attitude of we don't care if our company makes money or not, but we sure as hell want to make sure our pockets are lined.  My suggestion, stay clear of (IBM) and find a better place to put your money.  This company is way out of the loop and has been struggling for quite a while to compete with their competitors.  If you currently own the stock I have to suggest HOLD and take your dividends and hang on for a very bumpy ride.

Now lets talk about the God of Pizza, Papa John's (PZZA).  I had my finger on the buy button when they split in December 2013 and now I could shoot myself that I didn't.  Yet I did recommend here in my Blog a couple of times for you to invest.  If you took advantage of the recommendation I gave you, you should thank me a hundred times over.  If you got in on the 2:1 split and hung on for the ride you are now killing it with over a 50% increase since the split.  Now I feel like a fool for not taking my own advise and practicing what I preached to you.  I am not big into putting restaurant or food companies into my portfolio.  But with this kind of performance and knowing the long history of this company knowing how to make money I still must recommend it as a BUY if you are looking for a good food based company for your portfolio.

Another big mover is Apple (AAPL).  I preached and gave you multiple advise in my Blog to take the 7:1 split back in June 2014.  This one I did practice what I preached to you and bought prior to the split.  Apple is up 50% since the split.  I hope your portfolio took a good turn upward with this one.  Apple just knows how to make money.  It continues to know what the consumer wants and is looking for.  It has fresh and innovative ideas on the table that they are working on all the time.  This is not a stagnate company.  They pay a nice dividend.  I can't help but to still recommend it as a BUY!

I continue to advise that this is NOT the time to be investing in crude oil based companies like Exxon, Royal Dutch Shell or ConocoPhillips etc..  But don't stay away from this one, Ashland (ASH).  You may best know Ashland for it's Valvoline line of car oils and products.  But what I like about Ashland is that it does not have all its eggs in one basket.  It is very diverse with many product lines that are not oil and crude based.  Thus it can better absorb the current oil crisis of crude being today at $51.66 per barrel.  Ashland is currently up 19% since October 2014.  Ashland pays a nice dividend and I like its charts and summaries.  I would recommend this one as a BUY.

What about Microsoft (MSFT)?  I have the same question.  Microsoft seems to be in reset mode or something.  They are having changes at some top executive levels and really have not given the consumer anything great and wonderful in a while to help them boost profits and growth.  Still at that Microsoft is only $8.00 off its 52 week high.  But what bothers me is I see nothing great and wonderful on the horizon for Microsoft or their consumers.  I think you will be seeing much the same out of Microsoft for a while until that find the magic product in the achieves of their development room.  With Michael Gough as the newly instated vice president of design lets hope he has some bright ideas and can get the batteries recharged.  I recommend with a 7% decrease in the value of the stock to either SELL or HOLD.  If you sell there are lots more places you can make that 7% decrease back very easily and quickly.  If you feel you need to hold, sit back and collect your dividends and be prepared for a long wait to see anything exciting.

Here is a good stock we must talk about and that is Minnesota Mining and Manufacturing (MMM).  This stock continues to preform well and has been at or near its 52 week high for a month or so.  In the past three months 3M has been up over 20%.  This company has had lots personal significance to me and my family.  They are a good company of which their innovations and designs for new consumer products is never ending, making them a leader in their sector.  They are a Wells Fargo advised and recommend stock as well as mine.  Jim Cramer gave them a good plug today due to their presence in the European market and predicts good things for them and shareholders in the future.  3M is not just your Post-It Note company, they are very involved with products in healthcare, healthcare delivery systems, renewable energy components, office supplies, housewares supplies, and the list goes on and on.  If you are looking for a solid place to invest your money with a solid company and that pays a nice dividend, the I have to recommend (MMM) as a STRONG BUY.

Here is a stock I have not talked much about before and that is Air Products and Chemicals (APD).  This stock has been having a good run and good growth for quite a while now.  Pays a nice dividend and is up over 22% since October 2014.  This chemical company is very diverse and far and beyond out preformed the DOW.  They just reported a strong first quarter and it looks like they are going to continue their march up the ladder.  They pay a nice dividend and is a Wells Fargo recommended and approved stock pick.  Jim Cramer also recently gave it a good plug as a BUY BUY BUY...and that does not mean goodbye see you later.  I agree with this one.  (APD) is definitely a BUY for your portfolio.

Are you an F150 kind of guy?  Then lets talk about Ford (F).  Ford stock has risen 15% in the past three months.  And what I like about Ford is what I am seeing for the future.  It's global presence in the market is expanding in China and Europe and they have just completed construction on a new factory in Spain.  The gas consumption of their vehicles is increasingly going down, which is good for the consumer and production is up over 14% while recently raising salaries for hundreds of workers.  Ford is worth a little attention to your portfolio and I recommend it as a BUY in moderation.

Jim Cramer gave a plug today as a BUY for General Motors (GM).  Jim Cramer is my go to guru but on this one I am afraid I am going to have to disagree.  If you are looking for an auto maker to add to your portfolio I would much rather you look towards Ford or Fiat Chrysler.  But I caution that all automotive stocks have significantly under performed compared to the DOW and such holdings should be in moderation.  General Motors has found itself for the past couple of years plagued with problems.  I think this is just the tip of the iceberg.  After their bailout by the Government they wanted to get out from under this debt so badly that they began using what seems to be inferior, cheaper, and less reliable products in their vehicle lines which down the road failed, caused significant death and injury, they elected to hide, be dishonest, ignore the facts and put profits ahead of the safety of their consumers.  They have found themselves in and facing more lawsuits, have lost consumer confidence and have done little to remedy the issues and problems except with throwing money towards lawsuits to keep the noise down, made some apologies, and threw a few short term Band-Aids on the problems of which they have been faced.  Sorry, I cannot get on board with recommending this stock at this time.  They have too many problems and issues to fix and their growth charts are horrifying.  Stay away.  If you own General Motors I suggest this as a STRONG SELL!  You have a lot better money making opportunities than this one out there.

No I will not forget you Mutual Fund holders.  They too are a very significant and important part of any portfolio.  So I am going to start with a Mutual Fund I have been advising ever since I started my Blog over a year ago.  Lets talk about T. Rowe Price Health Sciences (PRHSX).  If you took my advice I know you are thanking me now.  Talk about hot hot hot if you bought bought bought!  This mutual fund is currently up Year To Date, that's since January 1, 2015 4.31%.  If you failed to take my advise and pass on this mutual fund, in 2014 you missed a 31.94% total return.  In 2013 you missed out on a 51.40% total return.  Can't make that in a passbook savings or CD for sure.  Okay guys, let me make this very simple for you.  As long as there are people there will be sick people needing all kinds of healthcare.  This is a mutual fund you want to be in.  This fund has a Morning Star Rating of 5 Stars.  I would be hard pressed to give you a better recommendation on a mutual fund than I can give you on this one.  STRONG BUY!

Good MidCap Fund I am going to point you in the direction in is Principle MidCap A (PEMGX).  This is another fund with a Morning Star Rating of 5 Stars.  MidCap funds should be included in any balanced portfolio.  Year to Date this fund is down 2.22%, but do not let that fool you.  We have a long way to go before the end of the year and the market will have an average to slightly about average growth year.  For 2014 this fund increased 12.33% in Total Returns.  This fund has a good and steady growth history.  Personally, this is one of the few funds I have found within the Principle Financial Group of mutual funds that I like and feel comfortable to recommend.  I have to say this one is definitely a BUY.

We all love Large Cap Mutual Funds, especially when the market is bullish.  They are mainly composed of the big name companies we know and recognize.  So for a good Large Cap fund I am going to point you in the direction of Oakmark (OAKMX).  The manager of this fund Kevin Grant has been in place for 14 years managing this fund and seems to have a very good track record.  I personally do not tend to invest in mutual funds unless the manager has been in place for at least 5 years.  Year to Date this fund is down 4.43%, but again we have a long way to go before the end of the year.  In 2014 this fund brought in a Total Return of 11.51% and last year was not a really good year by any means for anyone and was average at best.  Oakmark is a solid Morning Star Rating of 4 Stars.  I can give this one a recommend BUY.

Lets look at a balanced fund Putman Dynamic Asset (PAEAX).  It is a MUST HAVE in everyone's portfolio to have a Balanced Mutual Fund or two.  I like at least two.  American Funds have some really good ones too that your financial advisor can advise you about.  But lets talk Putman.  Morning Star Rating of 3 Stars.  Mr. Kutin the fund manager has only been in place for three years, but three very successful years.  I like the balance of this fund and Kutin has thus far proven to be a good manager of the fund.  This is the kind of base fund that everyone needs to have in their portfolio regardless of with what company so long as it is a good performer.  You have a base of stocks and bonds both in these types of accounts which helps make them less volatile.  I would recommend this fund and other good performers like it as a good place to start building your base in your portfolio. BUY.

I hope you have enjoyed this review of many various individual stocks and mutual funds and that you may have gotten some good ideas, suggestions and information.

Gus S.


Disclaimer: Make sure to review any information found on this blog site with your personal financial advisor before making any decisions. I am providing general information and not financial advise. I am not a licensed stockbroker or financial advisor.