Review of Enterprising Value Portfolio

This portfolio is made up of the 15 enterprising stocks that are trading at the greatest discount to their intrinsic value.  The first week of each month we will review the list, and make any trades necessary to get the portfolio to match the list.  Every week we examine the portfolio’s performance against the S&P 500 and Dow Jones Industrial Average, and reinvest any dividends.  The list of enterprising stocks is made by following modernized Benjamin Graham strategies, and intrinsic value is calculated by a formula based on Graham’s overall philosophy of calculating value with a margin of safety.

We have decided to provide our list of Enterprising Value companies on a weekly basis.  The portfolio will continue to be rebalanced once a month, but the actual list will be provided weekly.

Here is this week’s list of Enterprising Value companies:

 

TOA TECHNICAL OLYMPIC
BMHC BUILDING MATERIALS
WON WESTWOOD ONE INC
HBP HUTTIG BUILDING
WGOV WOODWARD GOVERNOR CO
REM REMGRO LIMITED
HOV HOVNANIAN ENTERPRISE
ITW ILLINOIS TOOL WORKS
TUES TUESDAY MORNING CORP
TNC TENNANT COMPANY
BHS BROOKFIELD HOMES
NX QUANEX CORPORATION
CTX CENTEX CORPORATION
PCU SOUTHERN COPPER CORP
PCAR PACCAR INC.

There were a number of transactions this week as we rebalanced the portfolio.  We sold Avis Budget Group (CAR) for $7382.63 at a gain of about 13.5%, Cost Plus Inc (CPWM) for $7346.00 at a gain of about 12.75%, Dollar General (DG) for $7292.75 at a gain of about 2.75%, Interpool Inc (IPX) for $7844.00 at a gain of about 20%, John B. Sanfilippo & Sons Inc (JBSS) for $6794.60 at a loss of about 14%, Stein Mart (SMRT) for $9190.00 at a gain of about 41%, and Startek (SRT) for $8196.56 at a gain of about 9%.

We purchased Building Materials Holding Corp (BMHC) for $7529.55, Woodward Governor Co (WGOV) for $7439.80, Illinois Tool Works (ITW) for $7603.60, Tennant Co (TNC) for $7534.00, Quanex Corp (NX) for $7484.95, Southern Copper Corp (PCU) for $7550.50, and Paccar Inc (PCAR) for $7361.25.

The portfolio outperformed both the DJIA and S&P 500 indexes this week, and has significantly outperformed them both overall.

The snapshot:

Ticker

Total Cost

Current Value

% Gain/Loss

BHS $6,533.00 $8,335.25 27.59%
BMHC $7,529.55 $7,519.55 -0.13%
CTX $6,436.00 $7,195.50 11.80%
HBP $6,507.60 $7,558.70 16.15%
HOV $6,440.00 $7,470.00 15.99%
ITW $7,603.60 $7,593.60 -0.13%
NX $7,484.95 $7,474.95 -0.13%
PCAR $7,361.25 $7,351.25 -0.14%
PCU $7,550.50 $7,540.50 -0.13%
REM $6,385.65 $6,375.65 -0.16%
TNC $7,534.00 $7,524.00 -0.13%
TOA $6,496.00 $5,968.50 -8.12%
TUES $6,519.45 $7,569.95 16.11%
WGOV $7,439.80 $7,429.80 -0.13%
WON $6,517.60 $6,601.10 1.28%
CASH   $2,961.99  
Realized   $7,300.94  
       
Total $100,000.00 $112,470.29 12.47%

Performance:

 

Last Week

This week

Change

Overall

S&P 1339.15 1353.22 1.05% 6.40%
Dow 11718.45 11866.69 1.27% 6.67%
Portfolio 110539.90 112470.29 1.75% 12.47%

Neither of us holds a position in any of these stocks.  Please review our disclaimer and Our Methods.


Posted

in

by

Tags: