SPGP - Limit Buying Bonanza: 5 Blue Chips I Just Bought And 2 I Sold

2024-06-14 07:00:00 ET

Summary

• On Monday, June 10, I bought shares of five blue chips and sold two.
• British American Tobacco's fundamentals remain strong, with expected sales growth and potential for an upgrade in credit rating by 2027.
• I snapped up 100 more shares of NVDA at fair value because post-earnings sales forecasts for next year have doubled. And there's up to 100% FCF beat potential next year.
• Brookfield Asset Management is 10% undervalued. It's the king of fundraising and global infrastructure in a world that needs to spend $6 trillion per year on infrastructure.
• RSST and RSSY are return-stacking ETFs that combine the S&P with trend-following and yield futures, respectively.

Limit Buying Bonanza: 5 Blue-Chips I Just Bought And Two I Sold

Here's a summary of the limits that I filled the morning of Monday, June 10, since my readers seem most interested in what I'm doing with my own hard-earned money.

British American Tobacco ( BTI )

• 10% Yielding British American Tobacco Is Delivering Stealth 18% Annual Returns ( SA )

Trade Summary

• Shares purchased: 400 (then 200 more in a 2nd limit)
• Price: $31.25 (9.5% yield) ($30.64) (9.7% yield)
• Shares I Now Own: 6,066.4674
• Cost Basis: $30.08 (9.9% yield)

British American was a "fat finger" slip when I was entering the limit orders. I meant to set it at a lower price, but I'm still thrilled to have another 400 shares.

That's another $100 monthly dividend income (average), and BTI's fundamentals remain completely intact.

Sales are expected to rebound, set new records in 2025, and grow 3.5% annually through 2028.

That's above the 1% to 3% annual sales growth guidance management provided and reiterated at its June 5 trading update ....

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