Terrible news out of Dallas overnight – I feel like the country is falling apart:
Would not know by the stock market though – pushing towards all-time highs after a good jobs report:
- MarketWatch – U.S. stock futures extend gains after strong jobs report
Given the current valuations – and folks reaching for yield, it comes as no surprise that there are no picks from my Dividend Millionaire screen again this week. The fact that people are using Dividend Stocks as Bond substitutes is scary – but no surprise given the lunacy in the bond market:
Running the alternative 5 Star Stock screen:
| Ticker | Price | Fair Value | Margin of Safety | Yield % |
| BBBY | $43.39 | $64.00 | $20.61 | 0.3% |
| WSM | $51.61 | $76.00 | $24.39 | 2.8% |
| GILD | $85.47 | $124.00 | $38.53 | 2.1% |
| BIIB | $247.27 | $356.00 | $108.73 | 0.0% |
| AMGN | $156.59 | $194.00 | $37.41 | 2.3% |
Click on the links to research further.
So why have I not pulled the trigger on a Williams-Sonoma trade? I might, but need a very large Margin of Safety for a retail stock – WSM traded under $5 during the great recession – so at $51,61 – I have some concerns.
Results are based on the following screen:
- Morningstar Rating = Five Stars
- Financial Health Grade >= B
- Cash Return % >= 5
- Stock Industry not = Asset Management
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