The 5 data points were price-to-sales (P/S), price-to-book (P/B), price-to-cash flow (P/CF), dividend yield and return-on-equity (ROE). I did look at other things but these were the subject of my initial focus.
This years picks are less exotic than years past with the exception of #10 -- the stock option. The theme this year is back to basics: energy, water, food, communications, household needs, and the immediate cash to buy them (note: the following links become active as the stories are posted over the end of year week).
- #1 Berkshire Hathaway
- #2 Grubb & Ellis
- #3 EZCORP
- #4 Home Depot
- #5 Williams Company
- #6 General Electric
- #7 Archer Daniels Midland
- #8 Raytheon Company
- #9 Brasil Telecom
- #10 E-Trade 'Naked Put'
In each of the posts I outline my thoughts on the stock pick, the specific relevant data and the closing price on December 28, 2009 which I will use as the starting point for tracking each quarterly review.
Using the closing prices from Monday December 28, 2009 I will also track the Standard & Poors 500 Index (1,127.78 close), the Dow Jones Industrial Average (10,547.08 close), and the NASDAQ (2,291.08 close), using them as the stalking horses.
Happy, Healthy, and Prosperous New Year!
Disclosure: Among the positions discussed in this post I own shares of BRK.B, GBE, EZPW, WMB, GE, RTN and ETFC options.