Blue Harbinger Weekly

Post-Election Dow 30: Ranking the Best and Worst

Following the results of the US elections on November 8th, there have been some clear market winners and losers. In this third installment of “Ranking the Best and Worst” (the previous two covered Big Dividend BDCs and Big Dividend REITs), we rank the post-election performance of the thirty Dow Jones stocks, offer explanations for those that have diverged, and conclude with our views on the top Dow Jones stocks worth considering.

Post-Election Investment Opportunities

Following Tuesday’s election results, the market reacted significantly. The “Blue Chip” Dow Jones Industrials Average had its best week in 5-years (+5.4%) as investors bought industrials and banks assuming they’ll benefit from more spending, less regulations, and increased inflation under Trump. In this week’s Weekly, we provide some age-old “boring” yet sage advice on how to prepare for the next market shock, as well as three specific investment ideas that we consider attractive right now.

Our Two Favorite Big-Dividend BDCs

This week’s Weekly covers our two favorite big-dividend Business Development Companies (BDCs). They yield 13% and 10%, respectively. And we own both of them in our Blue Harbinger Income Equity portfolio. They’ve both sold off modestly over the last two months as higher yielding equities in general have sold off, thereby creating a more attractive entry point for long-term income-hungry investors.

Five Attractive Long-Term Opportunities

This week’s Weekly highlights five attractive long-term investment opportunities. Specifically, we review market sector ETFs, geographic regions, and individual stocks, and then point out five that are flashing buy signals. As Ben Graham says, the market is a voting machine in the short-term, but a weighing machine in the long-term.

Upcoming Dividend Payments: Blue Harbinger Income Equity

Just a quick note (and some data) on the upcoming dividend payments in the Blue Harbinger Income Equity Strategy. Keep in mind, the current yield on this strategy is impressive at 4.5%. However it's the total return (dividends plus price appreciation) that we believe makes this strategy so attractive (it's already up over 21% since its launch in January, and it's beating the S&P 500 handily)...

Year-to-Date Heat Map and Outlook

This week’s Weekly reviews our detailed heat map displaying what has been working and what has NOT been working so far this year. Specifically, we look at the best and worst by sector, style, the Dow Jones stocks, and many more. We believe there is a tendency for mean reversion in the market whereby what has been working best may not deliver the best returns going forward, and vice-versa. For example, small cap value, real estate and several of the worst performing stocks in the Dow may be poised for future outperformance.

When to Let Your Winners Run!

This chart shows the returns on the 10 stocks and 3 ETFs we purchased in our Income Equity strategy on January 8th of this year (the names are reserved for members-only). The only other trades we've done this year in the Income Equity strategy were on May 6th when we purchased 6 additional stocks which have also performed very well. This week’s Weekly provides our view on when to take profits versus when to let your winners run!

Smart Contributions & Distributions, Plus An Attractive Dividend Growth Stock

Investors generally go through multiple phases during their investment life cycle, including the contribution phase and the distribution phase. This week’s Blue Harbinger Weekly reviews a couple smart strategies for each of these two important investment phases. And we also provide an update on an attractive dividend growth stock that is flashing a buy signal right now (and yes, we own it).

Beware the Bear: How Much Cash Should You Hold?

Friday’s big 2.5% decline in the S&P 500 has left many investors nervous. After all, it wasn’t that long ago that the market sold off 10% to start 2016. And investors still remember late 2007 to early 2009 when stocks lost more than 50% of their value. In this week’s Weekly we discuss the merits of “moving to cash” in order to avoid the risk. We also review this week’s new investment idea, a big dividend mortgage REIT that benefits from more market turmoil.

Building an Income Portfolio Part 3: The Blue Harbinger Income Equity Portfolio

These are the stocks we actually own in our Income Equity Portfolio. The portfolio is best for income-focused investors, and it has been constructed in accordance with the caveats we have described in parts one and two of this article (as well as a lot of other considerations too). The following table shows the number of holdings in the strategy along with their weights and dividend yields (the names and tickers are reserved for members only). This report also provides a brief August performance review and future outlook for all Blue Harbinger holdings across all three strategies (Income Equity, Disciplined Growth, and Smart Beta).

New Purchase and Portfolio Update

We made a new purchase in our Disciplined Growth strategy on Friday, and this week’s Weekly provides more details on the purchase. We also provide an updated holdings list with all of the details for the Disciplined Growth strategy. This week’s members-only new investment idea is the stock we purchased. We reported on this stock last week too, so this week’s “part 2” includes more details on why we believe it’s an exceptional investment opportunity right now.

Top 3 "Dividend Aristocrats" Worth Considering

This week’s Weekly is a continuation of our free report titled "5 Dividend Aristocrats Worth Considering," but in this member-only version we have included the Top 3. We currently own two of the Top 3 stocks on the list. Also, one of the stocks is this week’s members-only new investment idea (it’s an attractive big-dividend Industrial company that’s gotten even more attractive this month and this last week following some very interesting news).

Our Top 2 Big-Yield Fertilizers, and More

This week’s Blue Harbinger Weekly is a continuation of our public report titled “Top 6 Big-Yield Fertilizers Worth Considering” except in this members-only version we disclose and review the Top 2. In addition, we provide a brief update on our utility stock holding, news regarding its upcoming merger, and our expected double digit return over the next 9 months (or sooner).

Our 28 Favorite Stocks: July Performance Review & Outlook

In this week’s Blue Harbinger Weekly, we provide a brief performance review and outlook for each of the 28 holdings across our Blue Harbinger strategies. We also provide access to a members-only report on our “Top 3 Covered Call Stocks.” Lastly, you’ll notice we’ve updated performance though the end of July, and all three Blue Harbinger strategies continue to significantly outperform.

Two Attractive Buying Opportunities

This week’s Weekly reviews two attractive opportunities. First, a very profitable, dividend paying, consumer goods company that was down big on Friday after the market overreacted to disappointing earnings. Second, an undervalued energy-related company that we own in our Income Equity strategy. It pays a big growing dividend, and it announces earnings this upcoming week.

Big Yield Roadmap: The Ones We Actually Own

This week’s Weekly is a continuation of our public report titled Big Yield Roadmap. However, in this members-only version we provide specific details on stocks we actually own in each of the big dividend categories (so far, we haven’t mentioned any of these stocks publicly). We also provide information on additional big-dividend stocks that are on our members-only watch list. Lastly, this week’s new investment idea is a deep dive into one of the healthcare REITs we have been considering.

Why this Nice Dividend, Engineering Company, Could Rise 70%

Did you make the same investment mistake as so many others? As the S&P 500 sits just a feather below its all-time high, did you miss the rally because you got scared and sold your stocks as soon as the Brexit news hit two weeks ago? This week’s Weekly provides a brief reminder on the importance of sticking to your long-term strategy. And we also review our latest new investment idea: a profitable, high-margin, growing, industrial engineering company that pays a big dividend and trades at a very attractive price.