Newsletter2019-04-26T13:45:55-04:00

Intel’s 2nd Quarter

Intel’s (INTC) 2nd quarter came in at $.51, well above street estimate of $.43. Gross margins exceeded expectations at 67.2% versus 64%e. We are encouraged by management’s increase in guidance for the 3rd quarter despite the fact that inventories grew 12% quarter to quarter. Company [...]

July 14th, 2010|

2nd Quarter and Year-to-Date Performance

Since the beginning of the year we have been talking about having a bumpy stock market this year. Year to date, the S&P 500 is down 7.6% In the second quarter, we hit a pretty hard bump with the S&P 500 down 11.9%. The combination [...]

July 13th, 2010|

Media Appearance

For all of you across the country, Catherine Avery of CAIM, LLC will be featured tomorrow, July 1st, on the 5:30 pm and 7:30 pm newscasts on News 12 CT, Channel 12, 12 on the Money. Tune in to hear more about Baby Boomers and [...]

July 1st, 2010|

Where’s the Faith?

It's not in the equity markets, that's for sure. Yesterday's lack of confidence drove the 10 year bond yields to 2.96%. It's hard to believe that anyone would lend the debt laden government money for that price. 22 names in our portfolio yield 3% or [...]

June 30th, 2010|

Gaining More Confidence on the Economy

In an April blog, we talked about how we liked the industrial stocks, and in particular, Illinois Tool Works (ITW). Yesterday, management came out with some positive comments for their May results. They are guiding the low end of street estimates upward ($.74 to $.80) [...]

June 16th, 2010|

Missed Opportunity in the Equity Markets?

Not according to Jeremy Siegel. Professor Siegel spoke to financial advisers at Pershing LLC's national conference in Florida and delivered the following message: "The S&P 500, now at just under 1,100, would have to rise to 1,500 - a roughly 35% increase - to return [...]

June 14th, 2010|

Picking the “Best” Dividend Paying Stocks

Even in this volatile market, we believe dividend stocks are a far better option than government bonds, which have very little option to keep inflation at bay. Even during the onset of recession, as many as 300 of the 500 companies listed in the S&P [...]

June 11th, 2010|

Stocks for Today and Tomorrow

Jimmy Lee, vice chairman of JP Morgan Chase, made an appearance on CNBC yesterday. He listed the following negative attributes for companies: According to Lee, there are three basic principles that typically get companies into trouble: 1. Too much debt 2. Too little liquidity 3. [...]

June 9th, 2010|

Bulk Up on Dividends

Boomers should buy dividend paying stocks to stay ahead of inflation. As stock prices rise over time, compared to a bond, high quality dividend paying stocks also have the ability to increase dividends (yield) over time, versus a bond which has a fixed interest rate [...]

May 21st, 2010|

Baby Boomer Investing 101

The CAIM Mock Portfolio Taste Test. We recently completed our first ever recommended mock portfolio for baby boomers. Our survey reveals that our value oriented portfolio is cheaper and less risky than a traditional “growth” portfolio, and pays dividends, which are compounded as stock prices [...]

May 19th, 2010|

Barron’s Article by Michael Santoli

Barron’s article by Michael Santoli, this weekend further, supports our thesis that cash rich, dividend paying stocks should be the investment of choice for baby boomers and any individual who wants to achieve positive long term equity returns with low volatility. The article states that [...]

May 17th, 2010|

Reaching for Yield

As we mentioned last Friday we viewed the correction in the market as a buying opportunity. One of the hardest hit sectors in the correction were the consumer discretionary stocks. As a result, we established a position in Genuine Parts Co. (GPC). Why we like [...]

May 13th, 2010|

Experiencing Some Turbulence

The best way to describe yesterday’s market is to liken it to hitting a major air pocket when flying. As we all know, they are not fun and they certainly can shake your sense of security. Market continues its slide this morning, even on the [...]

May 7th, 2010|

Putting Things in Perspective

Barron’s this weekend had a great article about JNJ. JNJ is one of our top 5 holdings. As the article says, this stock may not have been as “peppy” as the rest of the market, but there are several standouts about this high quality company: [...]

May 3rd, 2010|

Not Done Yet

Today we applaud IBM for raising its dividend 18%. Stock sold off last week on what some would say was mixed results. 1st quarter numbers came in $.04 above consensus at $1.97 while revenues were flat year over year. We continue to like the stock [...]

April 28th, 2010|

53 Years of Shareholder Loyalty

Emerson Electric Co. (EMR) Here’s a company that has increased its dividend for 53 consecutive years. With $2.07 in free cash flow, we expect this trend to continue. Company reports on 5/4, $.54e versus $.53. This will be the first quarter of positive year over [...]

April 22nd, 2010|

Blowout Quarter for ITW

1. On 4/20, ITW reported 1st qtr eps of .58 versus a $.21 in 2009 (from continuing operations). Consensus was looking for $.57. 2. Most importantly, revenues were up 14.6% from last year’s quarter. I was impressed to see that North America’s base revenues were [...]

April 21st, 2010|

Autos in the Driver’s Seat

Tyco Electronics Ltd. (TEL) Expected to report 1Q on 4/28, $.52 versus $.14 in 2009. This company is a great proxy for the overall economy as they manufacture many goods from consumer to industrial. On a fundamental basis: 1. Strong cash flow of $2.21/sh. 2. [...]

April 20th, 2010|

On the Right Track

Coca Cola (KO) We have previously blogged about and want to reiterate the following: Stock has a 3% dividend yield (50% higher than the S&P!), over $1.00 in free cash flow/sh and only 17% debt to total cap! 1. Company focus on improving product mix [...]

April 19th, 2010|