One of the reasons that I go through the process of writing The Ongoing Concerns recap each year is that usually one stock "pops" as something that is deserving of an additional allocation.
For 2014, that stock is Apple (AAPL)...even though it was already my largest holding.
This might be a theme throughout the year: if some is good, more is better. i.e. I'm not going to try to be too cute with new investment ideas.
Without further ado...
Apple (AAPL)
Positives:
The greatest consumer electronics company in the history of the world.
Good margins (22% profit, 29% operating).
Good ROA (16%) and ROE (31%).
+$24B cash-minus-debt.
Massive $31B free cash flow lead to extremely well-funded 2.2% dividend yield.
An absurdly low 14 P/E, 11 forward P/E.
Negatives:
Huge market cap ($489B).
Weak revenue growth (4%), negative earnings growth (-9%).
Low insider ownership (0.04%).
Here's my current portfolio (growth, dividend, and speculative). As always, I believe in all of these stocks - until I sell them.
Apple (AAPL) 10.81%
Google (GOOG) 7.86%
Tesla Motors (TSLA) 7.64%
Baidu (BIDU) 6.96%
Amazon (AMZN) 4.61%
3D Systems (DDD) 4.12%
Ace Limited (ACE) 3.26%
Southern Copper (SCCO) 3.13%
Qihoo 360 (QIHU) 3.06%
Blackstone (BX) 2.77%
Under Armour (UA) 2.66%
Stratasys (SSYS) 2.65%
Intuitive Surgical (ISRG) 2.33%
Twitter (TWTR) 2.27%
American Software (AMSWA) 2.14%
Nike (NKE) 2.06%
Vodafone (VOD) 1.75%
Wynn Resorts (WYNN) 1.57%
DuPont (DD) 1.50%
Las Vegas Sands (LVS) 1.49%
Kinder Morgan Energy Partners (KMP) 1.47%
Apache (APA) 1.46%
Intel (INTC) 1.40%
McDonald's (MCD) 1.39%
Prospect Capital (PSEC) 1.38%
American Express (AXP) 1.23%
Starbucks (SBUX) 1.13%
Ansys (ANSS) 1.11%
ConocoPhillips (COP) 1.07%
Computer Programs and Systems (CPSI) 1.05%
Hershey (HSY) 1.05%
Wells Fargo (WFC) 1.02%
BlackRock (BLK) 0.97%
Cisco (CSCO) 0.92%
Coca-Cola (KO) 0.92%
Canadian National Railway (CNI) 0.91%
Microsoft (MSFT) 0.90%
Salesforce.com (CRM) 0.87%
International Business Machines (IBM) 0.86%
ExOne (XONE) 0.86%
The Distressed (BEBE, GSOL, LZB, MSI, TMUS) 0.82%
F5 Networks (FFIV) 0.82%
China Mobile (CHL) 0.81%
Whole Foods Market (WFM) 0.74%
