Below are my trades done for the period 5/12/2014 through 6/20/2014.
I continue to peel off shares from stocks that have gains and/or generate a current dividend yield at/or below their several year historical rate and/or I can move proceeds to a better sector and achieve a higher dividend yield. As an example I sold a small chunk of Atmos Energy Corporation (ATO), now yielding 2.9%. My original buy in 5/2010 at $27.32 yielded 5.3%. This utility is up almost 100% during this period.
The big move was building up my Medical REIT holdings through the purchase of American Realty Capital Healthcare Trust, Inc. (NasdaqGS: HCT) and Physicians Realty Trust (DOC). These two companies complement my current holdings in Medical Properties Trust Inc. (MPW). HCT was bought in all the accounts (Taxable, ROTH and IRA), with DOC added to ROTH. A few days after my Buys in HCT, Ventas Inc.(VTR) announced the acquisition of HCT (Ventas to Buy ARC Healthcare for $2.6B) representing a gain of 14% from my initial purchase. I sold 50% of my Excel Trust, Inc. (NYSE: EXL) a So. CA REIT Mall operator where the div yield was approaching 5% and w/ the medical REITs I could achieve a 6.3% yield and felt it was in a sector that provided better long term growth prospects (ie Obama Care - growth in health care spending).
I started an equal weighting in Crestwood Midstream Partners LP (NYSE: CMLP) in my MLP basket as I expect more consolidation in these Midstream companies either from acquisition and/or merger. This past month saw at least three huge deals (one I own w/ WMB/WPZ acquires Access Midstream) reflecting new monies looking for undervalued (producing) assets.
The other theme is identifying undervalued small caps w/ extraordinary growth prospects (ie GARP candidate stocks), planting the seeds so if/when that growth is achieved, higher EPS resulting in lower PE and possible forward PE expansion. A few on my list include: Aurcana Corporation (OTC Markets: AUNFF), Bolt Technology Corp. (NasdaqGS: BOLT),Energy Recovery, Inc. (NasdaqGS: ERII) and Goldfield Corp. (NYSE MKT: GV) and Neptune Technologies & Bioresources, Inc. (NasdaqCM: NEPT). All are relatively small positions at 1% or less of portfolio and depending on ongoing company prospects, I add shares and/or peel off high cost shares building my position(s).
Two new preferreds were added to my Preferred basket, replacing a a position that had shopping mall exposure w/ NTGNP (OTC Markets: NTGNP 7.5% ) - National General Holdings Corp. (Property & Casualty Insurance) and LEGACY RESVS LP (OTC Markets: LRPSP 8%) LGCY a mid cap Oil&Gas company.
Buys
Aurcana Corporation (OTC Markets: AUNFF)
Bolt Technology Corp. (NasdaqGS: BOLT)
Crestwood Midstream Partners LP (NYSE: CMLP)
Energy Recovery, Inc. (NasdaqGS: ERII)
Goldfield Corp. (NYSE MKT: GV)
Phibro Animal Health Corporation (NasdaqGM: PAHC)
American Realty Capital Healthcare Trust, Inc. (NasdaqGS: HCT)
Physicians Realty Trust (DOC) -NYSE
LEGACY RESVS LP (OTC Markets: LRPSP) - Legacy Reserves, L.P., 8.00% Series B Fixed/Float Cumul
NTGNP (OTC Markets: NTGNP) - National General Holdings Corp., 7.50% Non-Cumulative Preferred
Sells
Achaogen, Inc. (NasdaqGM: AKAO) - Peeled off some high priced share
Atmos Energy Corporation (NYSE: ATO) - Peeled off 20% shares bought in 2010 for over 93% gain.
Boardwalk Pipeline Partners, LP (NYSE: BWP) - closed out position booked small loss
EnerCare Inc. (CSUWF) -Other OTC - peeled off high priced shares
Excel Trust, Inc. (NYSE: EXL) - sold 50% of position for 20% gain.
Industrial Services of America, Inc. (NasdaqCM: IDSA) - peeled off 35% for over 150% gain
Intrepid Potash, Inc. (NYSE: IPI) - closed out position for 55% gain
Neptune Technologies & Bio, Inc. (NasdaqCM: NEPT) - Sold high priced shares for 8% gain
Swift Energy Co. (NYSE: SFY) - sold 20% high priced shares for 7% gain
Samson Oil & Gas Limited (NYSE MKT: SSN) peeled off 30% high priced shares booked loss
Tortoise Power and Energy Infra (NYSE: TPZ) - peeled off 50% shares booked a 35% gain.
EXCO Resources Inc. (NYSE: XCO) - sold 70% of position, booked 15% gain
Yara International ASA (OTC Markets: YARIY) - sold 20% holding, booked 16% gain
I am looking at my Graham No. candidate watch list to see if any possible value Buys show up. I still want to avoid EU exposure but will explore possible slow growth cyclical candidate stocks. Two companies that look interesting are: TAL International Group, Inc. (NYSE: TAL) and Kronos Worldwide, Inc. (NYSE: KRO). I have owned both previously prior to 2010 and on any significant sell off, both could get into my value buy range.
Finally, I am looking to deploy new funds into the AG sector based on the fact that world wide demand for food continues (especially from China) and has been reflected in the U.S. CPI too. This includes fertilizer companies, specialty machine manufactures, tree & pulp growers and/or anything that may be impacted by the increase in China's demand for new sources of protein (pork, chicken & beef). I started a small position in Phibro Animal Health Corporation (NasdaqGM: PAHC) recently mentioned here and is one of these GARP candidate companies w/ a forward PE of 13. So far, it's the best pure play for this food theme I have found w/ an affordable PE. CORN is another possible play as this is the main commodity that goes into feed but there are probably better ways to invest in the value chain like harvesters/equipment, mills, specialty shippers etc.
EKS |
