This month's choice is a repeat of sorts. I bought EMC waaaaaaaaay back in June 2001 for $29.50/share, bought more in May 2002 for $7.50(!)/share, and sold in January 2006 for $13.45. Kind of a mixed bag there, and I couldn't give you a reason why I bought or sold EMC previously.
Today, it is a natural fit with current holdings Google, Amazon, Microsoft, F5 Networks, Cisco, IBM, and Salesforce.com as core representatives of the cloud/"internet of everything". Without further ado...
EMC (EMC)
Positives:
Solid revenue (11%) and earnings (18%) growth.
Cheap 21 P/E, 13 forward P/E.
Well-funded 1.5% dividend yield.
Negatives:
Lukewarm return on assets (7%) and equity (13%).
Low insider ownership (0.2%).
Here's my current portfolio (growth, dividend, and speculative). As always, I believe in all of these stocks - until I sell them.
Tesla Motors (TSLA) 10.74%
Apple (AAPL) 10.27%
Google (GOOG/GOOGL) 7.56%
Baidu (BIDU) 5.70%
Amazon (AMZN) 3.70%
Southern Copper (SCCO) 3.40%
Under Armour (UA) 3.20%
Ace Limited (ACE) 3.17%
Qihoo 360 (QIHU) 3.09%
Intuitive Surgical (ISRG) 2.96%
3D Systems (DDD) 2.84%
Stratasys (SSYS) 2.70%
Blackstone (BX) 2.64%
American Software (AMSWA) 2.06%
Nike (NKE) 1.93%
Wynn Resorts (WYNN) 1.61%
Twitter (TWTR) 1.58%
DuPont (DD) 1.56%
EMC (EMC) 1.49%
Intel (INTC) 1.46%
Apache (APA) 1.41%
McDonald's (MCD) 1.41%
Kinder Morgan Energy Partners (KMP) 1.40%
Las Vegas Sands (LVS) 1.39%
Prospect Capital (PSEC) 1.31%
American Express (AXP) 1.18%
Hershey (HSY) 1.08%
Wells Fargo (WFC) 1.07%
ConocoPhillips (COP) 1.06%
Starbucks (SBUX) 1.03%
Computer Programs and Systems (CPSI) 1.02%
Microsoft (MSFT) 0.99%
F5 Networks (FFIV) 0.97%
Ansys (ANSS) 0.96%
Cisco (CSCO) 0.94%
Canadian National Railway (CNI) 0.93%
BlackRock (BLK) 0.91%
Lululemon Athletica (LULU) 0.88%
Coca-Cola (KO) 0.88%
International Business Machines (IBM) 0.88%
Salesforce.com (CRM) 0.83%
iRobot (IRBT) 0.79%
The Distressed (BEBE, GSOL, LZB, MSI, TMUS) 0.76%
China Mobile (CHL) 0.74%
Whole Foods Market (WFM) 0.70%
ExOne (XONE) 0.40%
