|
Richard Franklin
Company Portland, OR (NCAA Football)
|
August 16, 2006 Do you invest in this rising market, or sell into the new highs. A difficult question to answer, but another way to look at the question is; how much money are you willing to risk in this market? Your answer depends on what you should be doing. But for us, it appears some stocks are ripe for a sharp downfall, including Wells Fargo (WF) because of their heavy investment in the mortgage business. We do like General Electric (GE), Textron (TXT) and Altria (MO) because of the dividend payment, and low P/E (you have to adjust the extraordinary expense for TXT). You can also use the Barron's guide to help you, and they currently like Yahoo (YHOO), Cisco (CSCO) and Apple Computer (AAPL) among others. If you have the stomach for risk (there is the losing money phrase again) they also recommend Dell (DELL) You can also invest in higher yielding stocks as recommended by Kipplingers (more next week). Investing in stocks involves risk, and you should be prepared to understand those risks, including losing your principle investment, prior to investing in any financial investments, including, stocks, bonds and other types of investments.
Recommended sites: You are the
|