Tuesday, October 14, 2008


As I mentioned in an earlier post today, it is time for this old, slow fat man to gingerly tip toe back into tech stocks.  I am going to this gradually, spacing out my purchases over weeks, maybe months, buying small odd lots in several names. I started this process shortly before the close today by buying 50 shares of Intel at 15.87.  I fully expect these securities to fall  in price but I have no idea by how much and when or when they will stop falling and start going up again.  I do know that the current buy for Intel is about 6 bucks under my last sale earlier this year and the dividend yield is close to 3.5% at this price.  Intel has also fallen near its 2002 low and it was at or around 15.87 in November 1996. Cash is plentiful on the balance sheet and the company makes a product needed by the world.  I am hardly a tech expert, but I do have comfort in buying this kind of name at the current level.  I will read some more reports tonight and include in that list Cisco which I have not owned in a very long time. My tendency is to buy what is being trashed if it makes sense to me.   

In these blogs, I am acting as an unpaid financial journalist and an occasional ornery political commentator. This is not a recommendation to buy or to sell.  Trade at your own risk.  Consult with your financial advisor prior to making any purchase or sale. I will try to identify my sales too but it may take a few minutes after I implement them to create a blog explaining my reasons.  The sale may before or after the blog.  Before buying or selling any stock, even one recommended by a trusted financial advisor,  please research it and make up your own mind which is what I always try to do.  Research would include reading reports, reviewing financial records, earnings estimates, sec filings and prior earnings releases and news.  In this blog, I am merely describing my reasons for purchasing  or selling securities, and the potential pitfalls that I identified prior to purchase or the reasons for a sale.  The securities mentioned in this and all blogs written by me may not be suitable for others based on their unique financial position and risk profile.

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