Saturday, January 26, 2013

Insert a joke about cramming money in a bunny.

Members present: Brian, Bickford, Danak (see also, natural peanut butter)
We continue our stock valuation exercise. Up today:

Proctor & Gamble

A gander at http://www.freestockvalueranker.com/ calculated PG as overvalued, so we took a look at some of the other "personal products" stocks and came upon Energizer Holdings Inc. (ENR), which sells batteries, razors, etc. Brian found an article about institutional investors selling consumer goods stocks that are near their fifty-two week high. The article mentions how some hedge funds sold off 30 million shares of ENR back in September, where the price was $81, and it has gone up to $90 or since then--so it is always a gamble, right? However, the real question is how this applies to a small investment group like ours.

If we go with the valuation from freestockvalueranker, and we see around 9% growth, this could mean ENR is a good investment, even if we only have six or so shares. Then we took a slightly deeper look at some of the recent news articles for Energizer, and things look okay. Bickford mentioned that the dividend for ENR is a new development. This might mean that they are trying to get more investment, which might be a sign of worry. The conclusion for now is that ENR might be something to keep an eye on.

Next week we should check up on the two food companies we mentioned a few weeks ago.

There's also still:

  • Cvs/Walgreens
  • Boston Beer Company 
  • Craft Brewers Alliance

Profit!

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