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Scott Wachsler
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I manage Wax Ink.net, a baseline equity research company comprised of individual investors not licensed or registered with any government agency. I have been all cap value investor and independent equity researcher for the past 30 years, and believe that patience is the key to successful... More
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Wax Ink
  • Performance - Week Ending 08/23/2013 0 comments
    Aug 24, 2013 9:43 AM | about stocks: TWIN, X, TA, UTX, AAL, WFT, ARCB, AIR, DAR, MXWL, CLF, GE

    Taper. To reduce gradually.

    Some weeks ago, one of the Fed Governors made a comment that it may be time to end the government's purchase of bonds.

    The markets went nuts. "Investors", for want of a better term, went bananas, selling everything they could sell.

    These "investors" then all headed for the basement, pulled pillows over their heads and waited for the sky to fall.

    The sky didn't fall because the Fed Chairman stepped up and said that he wasn't sure he agreed with the statement that it was time for the Fed to bow out of the economy.

    Order was restored. The "investors" returned to their perches and once again began to invest.

    I noted when that happened the tapering had just begun. Had the markets not reacted so dramatically when the first utterance was made, the Fed would already be well into its tapering activities.

    My point is if you as individual investors have not taken the time to buy great stocks at discounted prices, once tapering officially starts you may not be happy with your investing prowess.

    On the flip side, those of you that didn't pay any attention to the "investors" and bought great companies at great prices, tapering is going to hurt some, but over the longer-term you will see that you have chosen wisely.

    Hi. My name is Wax, and I am an individual investor, a working class investor, just trying to do the best I can in a world that was never intended for investors like me.

    Throughout the course of the week, I post a Daily Alert, which is my review of an individual equity. It is intended to help the reader decide if that particular equity is worth their time to research.

    The other thing I do, is let the world watch as I manage the The Wax Ink Portfolio.

    Perhaps watching me make the mistakes I make will help other working class investors avoid the investing pitfalls that seem to find me.

    Enjoy your weekend

    Wax

    Markets
    The Wax Ink Portfolio was up 1.8% for the week. By comparison the Dow was down 0.5%, the Nasdaq was up 1.5%, the S&P 500 was up 0.5%, the Russell 2000 was up1.4, and the Volatility Index, commonly known as the VIX, was down 2.7%.

    Year to date, the Wax Ink portfolio is up 20.2%, the Dow is up 14.5%, the Nasdaq is up 21.1%, the S&P 500 is up 16.6%, the Russell 2000 is up 22.2%, and the VIX is down 8.3%.

    Breakdown
    The portfolio breakdown remains unchanged with roughly 70% of the portfolio in equities, 30% of the portfolio in cash, and 0% of the portfolio in bonds.

    Research
    I finished baseline equity reviews on the following companies during the course of the week. My rating follows the ticker symbol.

    Twin Disc Incorporated (Nasdaq: TWIN) - Positive Investment Interest

    United States Steel Corporation (NYSE: X) - Positive Investment Interest

    TravelCenters of America, LLC (NYSE: TA) - Positive Investment Interest

    United Technologies Corporation (NYSE: UTX) - Negative Investment Interest

    US Airways Group, Inc. (NYSE: LCC) - Negative Investment Interest

    Weatherford International Ltd. (NYSE: WFT) - Negative Investment Interest

    Holdings
    This week's moving on up stocks were trucking company Arkansas Best Corporation (Nasdaq: ABFS), up 8%, commercial and military aircraft repair company AAR Corporation (NYSE: AIR), up 6%, and restaurant grease and chicken parts collector ,Darling International, Inc. (NYSE: DAR), up 6%.

    This week's floaters in the bunch bowl were ultra capacitor maker Maxwell Technologies, Inc. (Nasdaq: MXWL), down 2%, iron ore company Cliffs Natural Resources, Inc. (NYSE: CLF), down 2%, and major freaking big company General Electric (NYSE: GE), down 1%.

    Not Performing
    The top portfolio puke and sputters remain communications equipment company Tellabs, Inc., down 57% since being added to the portfolio, garage door and telephone headset maker Griffon Corporation, down 34% since being added to the portfolio, and iron ore company Cliffs Natural Resources, Inc., down 33% since being added to the portfolio.

    Copyright © 2013 Wax Ink

    Wax Ink is a baseline equity research company not licensed or registered with any government agency

    Disclosure: I am long ABFS, AIR, DAR, MXWL, CLF, GE.

    Themes: Investing Ideas Stocks: TWIN, X, TA, UTX, AAL, WFT, ARCB, AIR, DAR, MXWL, CLF, GE
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