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Investing My Money Marathon: The Best + Worst of My Portfolio | Black Market Exchange

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Entry #5

 It’s time to get down to the nitty gritty. This week I’ve decided to share five of my top performing stocks as well as worst five performers since I bought a bulk of my portfolio last fall. Below you will find the following data: company name, ticker symbol, percent gain or loss, as well as a few other facts about the companies and my personal viewpoints on them.

 Top Performers

 1. Realty Income (NYSE: O) +34.61%

 Realty Income is an equity REIT that buys commercial real estate and leases the properties out to large corporations. It is professionally known The Monthly Dividend Company and informally known as “Big O.” Realty Income has been around since 1969 and has publicly traded on the New York Stock Exchange since 1994.

 It’s currently priced at a 52-Week High, is almost 80% less volatile than the S&P 500, and currently has a P/E of 60 with an EPS around $1. Since it’s a REIT, by law it has to pay out at least 90% of its taxable income to shareholders in the form of a dividend which currently is paid out monthly around $0.20 per share boasting a dividend yield of well above 3%.

 Not only have I made 34% in capital appreciation, but also an extra $27.42 in dividends which I have enrolled in a DRIP. It’s a dividend contender since it’s paid a dividend every year for the past 23 years without ever missing a payment. In two years it will become a dividend champion. I love “Big O” because it allows me to invest in real estate and become a passive landlord to companies like Walgreens (NASDAQ: WBA), FedEx (NYSE: FDX), AMC Theaters (NYSE: AMC), and Wal-Mart (NYSE:WMT).

 2. Johnson & Johnson (NYSE: JNJ) +24.41%

 Johnson & Johnson is healthcare company specializing in manufacturing and widely known for brands such as the Johnson’s Baby, Neutrogena, Band-Aid, and Tylenol. J&J has been around since 1886 and publicly traded on the New York Stock Exchange since 1944.

 It’s currently priced at a 52-Week High, is just over 20% less volatile than the S&P 500, and currently has a P/E of 21 with an EPS around $5.50.

 Not only have I made 24% in capital appreciation, but also an extra $34.58 in dividends which I have enrolled in a DRIP. It’s a dividend champion since it’s paid a dividend every year for the past 54 years without ever missing a payment. I have a young daughter and my wife and I use J&J products all the time so owning it is only right.

 3. Facebook (NASDAQ: FB) +23.45%

 Facebook is a social networking service that originally started for college students to connect with others at their campus and has exponentially grown the #1 social connection platform. Facebook has been around since 2004 and publicly traded on the NASDAQ Exchange since 2012.

 It’s currently priced at $5 below its 52-Week High, is just about 14% less volatile than the S&P 500, and currently has a P/E of 71 with an EPS just above $1.60.

 I have made 23% in capital appreciation, but no profit from dividends since the company does not issue a dividend. Facebook first came on the scene my first year in college so I’ve been familiar with it since the beginning. I’ve seen it grow over time and watch it truly become a utility no different than electric, gas, and water. People simply cannot go without Facebook.

 4. ExxonMobil (NYSE: XOM) +22.59%

 ExxonMobil is a global oil and gas company that has been around since 1870 under the John D. Rockefeller Standard Oil brand, but transitioned into ExxonMobil after a merger between Exxon and Mobil in 1999. It has publicly traded on the New York Stock Exchange since 1978.

 It’s currently priced near its 52-Week High, is 10% less volatile than the S&P 500, and currently has a P/E of 29 with an EPS around $3.

 Not only have I made 23% in capital appreciation, but also an extra $42.11 in dividends which I have enrolled in a DRIP. It’s a dividend champion since it’s paid a dividend every year for the past 34 years without ever missing a payment. I see ExxonMobil’s on almost every corner and it’s based here in Dallas.

 5. AT&T (NYSE: T) +22.01%

 AT&T is a telecommunications company that is a leader in wireless communications just after Verizon (NYSE: VZ). Initially founded in 1885, but didn’t become the AT&T we see today until 1995. It has publicly traded on the New York Stock Exchange since 1984.

 It’s currently priced at a 52-Week High, is about 65% less volatile than the S&P 500, and currently has a P/E of 17 with an EPS of $2.36.

 Not only have I made 22% in capital appreciation, but also an extra $23.04 in dividends which I have enrolled in a DRIP. It’s a dividend champion since it’s paid a dividend every year for the past 32 years without ever missing a payment. AT&T is based here in Dallas plus my wife and I have AT&T wireless service and DirecTV.

 Bottom Performers

 1. Netflix (NASDAQ: NFLX) -17.22%

 Netflix is a streaming service platform allowing users to watch television shows and movies when they want and how they want. The company was founded in 1997 and publicly traded on the NASDAQ Exchange since 2002.

 It’s currently priced not too far from its 52-Week Low, is just as volatile as the S&P 500, and currently has a P/E of 323 with an EPS of $0.29.

 I’ve lost about 17% of my investment (including commission fee) and haven’t received any dividends as Netflix does not pay a dividend at this time. My family and I love catching up on old shows and movies, which makes Netflix a great company as a consumer. Its user growth is finally starting to taper a bit and the costs of its original content is eating into its profits. This is a long term hold, but may consider selling and getting back in later as it gets closer to my 25% tolerance cap.

 2. Express Scripts (NASDAQ: ESRX) – 15.22%

 Express Scripts is a pharmacy benefits management (PBM) organization with options like home delivery, drugs review services, formulary management, and other services. The company was founded in 1986 and publicly traded on the NASDAQ Exchange since 1994.

 It’s currently priced almost in the middle of its 52-Week Low and High, is 14% less volatile than the S&P 500, and currently has a P/E of 20 with an EPS of $3.80.

 I’ve lost about 15% of my investment (including commission fee) and haven’t received any dividends as Express Scripts does not pay a dividend at this time. I used to have Express Scripts which has a partnership with Walgreens, but currently have CVS Caremark prescription insurance. This is a long term hold as I expect this company to be bought out being that it’s the last sole PBM in the industry.

 3. Target (NYSE: TGT) -13.90%

 Target is the second largest discount retail store after Wal-Mart in the United States. The company was founded in 1902 as Goodfellow Dry Goods becoming Target in 1962. It has publicly traded on the New York Stock Exchange since 1967.

 It’s currently priced at its 52-Week Low, is 48% less volatile than the S&P 500, and currently has a P/E around 12 with an EPS almost at $5.50.

 I’ve lost about 17% of my investment (including commission fee), but I have made $25.26 in dividends which I have enrolled in a DRIP. I used to shop at Wal-Mart a lot (and still do), but my wife is an avid fan of Target, especially with their 5% savings when using their REDCard. As Wal-Mart is closing some stores a losing a little footing, the only other company that I fear in regards to Target is Amazon (NYSE: AMZN), but the competitive advantage and brand equity are pretty solid.

 4. Nike (NYSE: NKE) -12.85%

 Nike is a world leader in footwear and athletic apparel. The company was founded in 1964 and publicly traded on the New York Stock Exchange since 1980.

 It’s currently priced almost in the middle of its 52-Week Low and High, is 50% less volatile than the S&P 500, and currently has a P/E of 25 with an EPS of $0.64.

 I’ve lost about 13% of my investment (including commission fee), but I have made $6.20 in dividends which I have enrolled in a DRIP. Nike is a strong brand, period. Adidas is nowhere to be seen leaving Under Armour the closest competition. Stephen Curry is the back-to-back MVP, but those Curry 2’s won’t hold a candle to Nike’s lineup of LeBron James, Kevin Durant, and Kyrie Irving’s sneakers.

 5. Delta Airlines (NYSE: DAL) -12.68%

 Delta Air Lines is a leader in transportation sector, specifically the airline industry, along with American Airlines (NASDAQ: AAL) and Southwest Airlines (NYSE: LUV). The company was founded in 1924 as a crop dusting company and publicly traded on the New York Stock Exchange since 2007.

 It’s currently priced almost in the middle of its 52-Week Low and High, is 11% more volatile than the S&P 500, and currently has a P/E around 7 and an EPS almost at $6.

 I’ve lost about 13% of my investment (including commission fee), but I have made $6.09 in dividends which I have enrolled in a DRIP. My wife and I typically fly Southwest Airlines and occasionally American Airlines. I added Delta just for some more diversification within the airline industry and many of my friends fly Delta because of their loyalty program. I may consider switching out for more Southwest, but will hold for now.

 Investor Takeaway: Nothing much here besides buy what you know.

 Eric Patrick | Pharmacist turned investor is the CEO and Founder of Black Market Exchange | Twitter:@HipHopStockDoc Instagram: @eric_bmex

 Disclosure: This editorial is by no means a solicitation to buy or sell any of the above-mentioned securities. It is merely a means for educational purposes. All investors are subject to their own research and due diligence. This post may contain affiliate links. See disclosure policy.http://www.thebmex.com/#!My-Money-Marathon-The-Best-Worst-of-My-Portfolio/mhqg1/575dd0090cf245cf71a7db8b

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