Omakase

Monday, February 06, 2006

Morningstar.com - Buy J&J and Avoid the Winner's Curse

Pretty convincing argument that JNJ is unervalued and an attractive investment. I've been DRiPing JNJ for about 4 years, so I'm real familiar with the numbers behind this (but needed the article to point this out to me :( )

Tough choice, though, trying to decide whether this is a buy and hold or buy and sell after a nice run. I suspect that the Guidant situation will be on everyone's mind and supress JNJ stock until Boston Scientific finally closes the Guidant deal (since JNJ could still legally make another bid.) This would suggest perhaps another 6 months - perhaps with a slight upward drift, but really a whole year necessary for full appreciation.

I'm going to buy tomorrow for my IRA - meaning that I won't be bothered by the tax implications of selling before holding the stock a full year.
Morningstar.com - Buy J&J and Avoid the Winner's Curse
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With my new friends on the Great Wall of China

With my new friends on the Great Wall of China
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"I do not choose to be a common man. It is my right to be uncommon -- if I can. I seek opportunity -- not security. I do not wish to be a kept citizen, humbled and dulled by having the state look after me. I wish to take the calculated risk; to dream and to build, to fail and to succeed. I refuse to barter incentive for a dole, I prefer the challenges of life to the guaranteed existence; the thrill of fulfillment to the stale calm of utopia. I will not trade freedom for beneficence, nor my dignity for a handout. I will never cower before any master, nor bend to any threat. It is my heritage to stand erect, proud, and unafraid, to think and act for myself, to enjoy the benefit of my creations, and to face the world boldly and say, "this I have done." All this is what it means to be an American." -- Anonymous