Share Portfolio 2020

[Donkey Oaty]

Got to be careful with those value traps though that lure you in with a big dividend yield, then erode it with destruction of the share price as they are basically liquidating the company in a sunset industry.

The magic sauce is the companies that are still growing and just started paying dividends and will grow the dividend yield and share price over time like Apple. It’s only a 0.5% dividend yield now. But if you bought the stock 10 years ago it’s a 5% yield on your original purchase price.

Is oil and gas a sunset industry? I still think that there is a technology gap which means we will need it for 30 - 40 years yet. The sentiment is all negative around it at the moment but that could change if people can't afford to heat their homes in winter.

 

[oil barron]

Is oil and gas a sunset industry? I still think that there is a technology gap which means we will need it for 30 - 40 years yet. The sentiment is all negative around it at the moment but that could change if people can't afford to heat their homes in winter.

That’s the million dollar question. If everyone knew the answer there would be no market. Personally I prefer the Chevron and Exxon strategy over Shell and BP at the moment. Exxon has been my Best Buy over the last 2 years. Doubled in share price while paying out 9% on my purchase price.

 

[Donkey Oaty]

That’s the million dollar question. If everyone knew the answer there would be no market. Personally I prefer the Chevron and Exxon strategy over Shell and BP at the moment. Exxon has been my Best Buy over the last 2 years. Doubled in share price while paying out 9% on my purchase price.

BP and Shell have been pillars of family portfolios for years. I also have Tullow...

 

[oil barron]

BP and Shell have been pillars of family portfolios for years. I also have Tullow...

BP have it in their business plan to reduce production by 30% over the next 5 years. I’m struggling to see a reason to hold them. For their over paid offshore wind leases?

 

[Clive]

Dont forget in all this the dividends, some just keep rolling in whatever the "weather".. once you have a good investment in some you dont have to be always monitoring and dont have all the costs of chopping and changing which shares you have.

nothing is often very exciting for dividends - remember you need at least 6% ROI today to just stand still and beat inflation

Don't do a lot of chapping and changing really probably only mess about with 20% in that way, the majority of what I have are in really solid stuff like Unilever, Google, apple etc

 

[Clive]

BP have it in their business plan to reduce production by 30% over the next 5 years. I’m struggling to see a reason to hold them. For their over paid offshore wind leases?

don't invest in "old tech" IMO and any of the oil / gas companies are old tech now. Similar for any retailer or bank involved in the high street and most car / aerospace manufacturers - these industries have had their day and are dead pretty much over the next 10 -20years ........ there are exceptions but they are rare not the norm

 

[Still Farming]

don't invest in "old tech" IMO and any of the oil / gas companies are old tech now. Similar for any retailer or bank involved in the high street and most car / aerospace manufacturers - these industries have had their day and are dead pretty much over the next 10 -20years ........ there are exceptions but they are rare not the norm

Until they "reincarnate " into a new sort after product or company possibly?

 

[Clive]

Sea Ltd (SE NYSE). are a very interesting (high risk) company at the moment

credible competitor to Amazon in Aisa with big global growth ambition - will we really all tolerate a situation where Amazon has almost 100% market share ultimately ? or will we demand a competitor ?

Risky but interesting

 

[Clive]

Until they "reincarnate " into a new sort after product or company possibly?

an expensive and painful (for investors) process ! - just find and invest in the start ups and growing companies that they will ultimately have to buy to catch up when reinventing themselves

Data is the new gold / oil - I will invest in any company that has ability in that area

 

[Still Farming]

an expensive and painful (for investors) process ! - just find and invest in the start ups and growing companies that they will ultimately have to buy to catch up when reinventing themselves

Data is the new gold / oil - I will invest in any company that has ability in that area

Pros and cons as new companies don't have money or existing infrastructure to carry themselves possibly unlike huge well know firms.

 

[Oilseed]

New companies are not having to pay pensions to old employees.

 

[Chris F]

New companies are not having to pay pensions to old employees.

No but they do pay pensions to every employee - just direct to employees. Old system was basically a ponzi scheme.

 

[Clive]

Pros and cons as new companies don't have money or existing infrastructure to carry themselves possibly unlike huge well know firms.

just different levels of risk

Higher risk = higher (potential) rewards or loss

 

[oil barron]

don't invest in "old tech" IMO and any of the oil / gas companies are old tech now. Similar for any retailer or bank involved in the high street and most car / aerospace manufacturers - these industries have had their day and are dead pretty much over the next 10 -20years ........ there are exceptions but they are rare not the norm

I generally agree. Growth is king when buying stocks. But there are some very rich valuations around.
Let’s play a little game. I will take Exxon and Ford. You pick your two Tech picks and let’s see who has the best return in 22.

 

[Lincsman]

I generally agree. Growth is king when buying stocks. But there are some very rich valuations around.
Let’s play a little game. I will take Exxon and Ford. You pick your two Tech picks and let’s see who has the best return in 22.

Can Ford go much higher after a rally of 65% in 6 months?

 

[oil barron]

Can Ford go much higher after a rally of 65% in 6 months?

I think it still has some legs.

 

[Fake it ‘til you make it]

in a gold rush its the guys selling the shovels that make all the money

Is that why you are a zero till consultant?

 

[MrNoo]

I generally agree. Growth is king when buying stocks. But there are some very rich valuations around.
Let’s play a little game. I will take Exxon and Ford. You pick your two Tech picks and let’s see who has the best return in 22.

Reckon tech is cheap just now as all fallen out of bed, certainly crypto cheap after fallout from BTC nosedive, bought a load more on this dip, see how it compares over the year.

 

[oil barron]

Reckon tech is cheap just now as all fallen out of bed, certainly crypto cheap after fallout from BTC nosedive, bought a load more on this dip, see how it compares over the year.

A lot of it looks cheap on the 1 year. Then zoom out to the 5 year and I would say it has more to fall. Especially the high multiple with little or no earnings. Nvidia has lost 10% already this year but is still at an 80P/E. Whereas in 2019 it traded at a 50P/E with a lot more growth ahead of it.

I’m not sure what will happen to Bitcoin if they don’t get Kazakhstan under control. 1/5th of the worlds Bitcoin transactions are processed there.

 

[TelesnaAg]

Glencore shares are up 20 ish % worried i had got it wrong as they were down for ages after i bought them. AJ Bell global growth fund has been steady away all year at 6-8% return. Crypto looks way too scary for a beginner like myself!

I been working me a** of to get that 20% to happen for ya

Ant...