Martin Sumichrast helps weigh in on a real estate story on CNBC.com which came out today. Read the article at http://www.cnbc.com/id/32329465.
In my February 1, 2010, Street.com article, I talked about eight stocks. Some have done better and some worse, AFTER doing a lot better. My mantra, “Buy and Hold is a thing of the past,” could not have been more evident, as some of my picks ran up, only to come careening back down. So from now on, I will be including Good-till-cancelled (GTC) sell price limit orders on all stock picks. With that, here is my update:
Pulte Homes (PHM) — This major homebuilder was $10.20 in February. I told you to sell it down to $10. I predicted you could buy it back cheaper in the near future. It did spike up in the summer to $13.45, but has since retreated. It is for sale today at around $8.00. I am tempted to jump back in, but for now, hold it if you still own it. If you do not own it, put in a buy limit order around $7.50. Either way, put in a GTC sell ticket at $13.
Huaneng Power (HNP) — This Chinese energy company was making my China picks look bad. I first recommend it at $29.34, then it promptly sank to $22.14. I told you not to panic and to stick with it. The China market is staging a comeback and so is HNP. It is now at $25.21. Hold on and you will make money. Put in a GTC sell order at $36.70. If you don’t own it, buy some under $25.
General Electric (GE) — This was one of my very first picks two years ago when it was at $11.62. In February, it hit $16.40. I told you to hold it. I ran up to $19.70, before pulling all the way back to $14.26. It is now at $16.28. I predict we will see $20 by next spring. Do not put a GTC on this one as it will be a long time hold.
Bank of America (BAC) — I picked it at $16.50 and it plunged to $12.63 by February. It has had a wild ride ever since. It ran up to $19.36 over the summer, but now, with the mortgage mess, it is back under its February price level at $11.98. I hate to drop back and punt, so for now, I say hold on for another 6 months and let’s see what happens. Put in a GTC sell at $20, in case we get a run.
JP Morgan (JPM) — I picked this stock at $38.50 in February. I was right and it ran straight up to $48.20. Now it is back down to $37.80. Hold on to it, though, because it will be back over $45 by next spring, or maybe sooner. If it gets any lower, it may be time to buy some more. Like GE, no GTC orders. I love Jamie Dimon and if anyone can maneuver a bank through these muddy waters, it is him.
TheStreet.com just published my updated portfolio picks. Recalibration for 2010 is in this article! Read it at
I’ve been out and about in the media the last couple of weeks. New articles for you to read!
The first, on TheStreet.com, talks about the recalibration of my stock picks. Buy, hold and sell opinions: http://www.thestreet.com/story/10572521/1/time-to-recalibrate-sp-500-slayer-portfolio.html
The second is an inclusion in an article I was interviewed for regarding foreclosure and bankruptcy: http://www.totalbankruptcy.com/blog/panel-american-households-facing-poor-long-term-financial-health
One of the greatest salesman that I have ever known likes to say, “if they want steak, don’t give them lobster.” Anyone who has ever sold anything knows the truth behind this saying. It doesn’t matter what you have to sell, if the buyer doesn’t want it, forget it, they aren’t buying.
Barrack Obama is selling. He’s selling hard. He’s making more speeches, more interviews than any President I can recall. He is articulate when he needs to be and folksy when it’s appropriate. He’s a rock star who is giving his fans and constituency what they want…more Barrack. Can you blame him? I don’t.
Check out this month’s article I wrote for TheStreet.com at http://www.thestreet.com/story/10486535/1/bury-buy-and-hold-and-take-the-reins.html
Just wanted you all to see my latest article, posted on TheStreet.com at http://www.thestreet.com/story/10462822/1/opinion-protect-your-money-buy-some-real-estate.html