As part of my blogging, I have been trying on most weekends to spend some time examining past stock selections to see how they turned out. This evaluation depends on an assumed "by and hold" strategy which assumes simply purchasing equal dollar amounts of each stock picked and then holding it indefinitely. However, in practice, I recommend and utilize a disciplined portfolio management system that would of course affect the performance not necessarily in a negative fashion. This system requires me to sell my losing stocks quickly and completely and sell my appreciating stocks partially and slowly at targeted appreciation levels. The difference in the two strategies should also be considered when reading the review each weekend.
On December 21, 2005, I made the only selection of the week, picking Western Digital (WDC) for Stock Picks Bob's Advice at a price of $18.43. WDC closed at $18.40, down $(.03) since the original post representing a loss of (.2)% since posting. I do not own any shares nor do I have any options on this stock.
In light of the latest quarter results, and the strong Morningstar.com report ,
WESTERN DIGITAL (WDC) IS RATED A BUY
On April 26, 2007, Western Digital (WDC) reported 3rd quarter 2007 results . For the quarter ended March 30, 2007, revenue came in at $1.4 billion, a 25% increase in revenue from the prior year which was $1.1 billion. Net income for the quarter was $121 million, or $.53/share, up from $102 million or $.45/share last year. The company beat expectations of $.47/share according to Reuters Estimates.
$18.6 (05/14/07)
