As of Friday's closing stock price, T is trading at about 23% discount to its fair value of $40 as determined by a P/E of 15 multiplied by its 2017 earnings estimates.
On the downside, historically T has never traded below a P/E of 11 since last recession. Therefore, the P/E of 11 becomes our worst case support for this stock and translates into a risk of additional 9% downside from Friday's stock price.
Sunday, October 15, 2017
Saturday, October 14, 2017
On October 11, AT&T (stock ticker T) warned on Q3 results, which caused its share price to decline by about 6%. Such a big one day price decline is no less than a correction and could possibly be a great opportunity to buy shares in one of the largest and well known blue chip telecom companies while earning a very juicy 5.5% dividend yield.
Tuesday, October 10, 2017
I like to track my investments in a visually fun and appealing manner instead of just plain boring spreadsheets. Don't get me wrong, I like spreadsheets, but creating visualizations of my investments is more fun and it keeps me motivated and engaged while providing useful data about my investments.
|Mr. ATM's rendering of actual stock buy transaction performance|
Tuesday, October 3, 2017
The "Heat Map", which I've implemented as part of my stock watchlist system, identifies stocks that are cheap or expensive based on their 52-week trading range. I call it a Heat Map because stocks with lots of red indicate stocks that are likely expensive or in high demand vs. green bar which indicates stocks that are not so hot, but are trading cheap.