A reader left a comment on my last post, the credit crisis of 2008, "How about a post like " this is what I wish I could buy now". I'm always a sucker for requests like this because I like thinking about which companies I should buy when the market is down hard, also I enjoy when readers make this blog interactive. Considering the S&P 500 index is up 10% over the last 30 hours, this post becomes "this is what I wish I had bought"
Husky Energy (HSE)
Towards the start of the week I thought Canadian oil and gas firm, Husky looked pretty good at around $40. The stock was yielding 5% and oil is likely not going to $60/barrel for a sustained period. Since Monday though, the stock is up over 16%.
General Electric (GE)
What a week for GE! Overall this was the stock I was most attentive to through the past panic-filled week. GE traded as low as $22.16, where it yielded 5.6%. I already have a large position in GE, so I would have been hesitant to add to my position too much anyway. GE is now up 21% off of that low.
Sun Life and Manulife Financial (SLF & MFC)
Both of these insurance/financial firms traded down really low and were interesting to watch. I still really like insurance as an area to invest in, even after AIG's fall.
Let's face it this week was out of control and valuations got ridiculous. Most stocks that I watch on a regular basis were really put on sale. There were exceptions though as several stocks including the following did not get my attention during the last week: Clorox, Procter&Gamble, UPS, J&J, Automatic Data, Pepsico, Colgate, Reitmans, and IGM.
Lots of volatility usually means long term investors can take advantage of some bargains. All of these companies pay growing dividends, so if you can buy them on sale you can enjoy a nice high starting point for a growing pay out on your investment.