Several months ago I posted about some of the great companies that I was buying as the entire stock market was tanking.
I purchased 15 companies over at Fristrade. As of today, nine of them have lost money, five of them have made money…but my account is sitting at almost EXACTLY the $15,000 that I started with…so I’m flat overall. That is ok, as I am generally investing for the next 4-6 years. I did this in late 2002, andby 2007 my original $10,000 investment in stocks had quadrupled. I liquidated around the time when the Dow Hit 13,000. (I originally had thought I’d made a horrible decision as the Dow continued to climb past 14,000…but I stuck to my guns and did not get hammered in this market.)
So like I said, I tested the waters with $15,000 about 6 months ago. My best RETURN was a 1 week trade on National City stock. I bought in at $1.80 per share, and about a week later sold for over $3.00 a share.
BUT MY BEST INVESTMENT HAS TO BE AMERICAN EAGLE OUTFITTERS INC. (AEO)
American Eagle is up 41.14% since I purchased it. Same store sales are down at AEO, but not terrible. I was a teenager once, I remember saving all my money to buy clothes. (We really seem to care about clothing here in America, don’t we) The company has next to zero debt, and almost $500 Million cash on its balance sheet. It is also highly profitable. I think as the economy softens, they do better than companies like Abercrombie & Finch…because the products is similar in style, very similar, but at a considerable value. That has been a winning combination for my portfolio!
2nd best investment…APPLE COMPUTER STOCK…UP 17.54%
Again, I’m not offering specific investment advice, just letting you know what I’m up to. Please seek professional advice when making any type of investment. For informational purposes only! Amen.