What is 1 stock you would continue to hold even if it got cut in half tomorrow?
What's the 1 stock/company you would continue to own (and possibly buy more of) even if the bottom fell out from under it tomorrow? This assumes nothing dramatically changed about the company's core value proposition.
Best Answer
152 points
happyfeet answered 2 years ago …
I would have to agree with EthanR and Oldman growth and income plus value for long term holding.I own GE but don t own MO for personnal reasons only.I must admit that my only stock to own , through thick and thin, is RBS (royal bank of scotland).At today s price it is way oversold , a nice dividend and one of the best ,if not the best, CEO (Fred Goodwin) in the financial sector.It can be bought on the london stock exchange or the NYX (ADR).
I own a lot of shares of RBS and intend on buying more every time it goes down around 10%.Now it s time for you, with all the ideas you are getting,to do your homework.
Good luck with your research and future acquisitions.
Happyfeet
Answers
2830 points
Oldman answered 2 years ago …
This isn't really a difficult one - for me personally - since a lot of the stocks that pay dividends at high levels have been cut in half, particularly those with "Stapled" units (part bond, part dividend). And it's happened before, and I didn't sell, and sometimes bought more...but in fairness to the younger set:
-- General Electric (GE) is one stock I'd hold down to $15.00. (which is below 50 % of its $34.00 current price). At least it produces something besides paper money.
By the way, some of my "holdings", such as ARCC, CSE. MCGC, CRZ, & WIN, FRP, OTT,CNSL, IWA , etc. still pay their dividends ... but instead of 5 -7 % they now yield 10 - 15 %. I don't intend to "realize" a loss unless they stop paying dividends. These're all in sheltered accounts, so their's no tax advantage to selling at a loss. The RLEC's (Rural, local electric and wireline companies) have all been beaten down ... but they still collect their line charges from the "rural" settings.
4087 points
EthanR answered 2 years ago …
I believe that company is Altria (MO), for the simple reason that year in and year out, they continue to sell their product (tobacco) in mass quantities and at higher prices. At one time the bottom did fall out for them. In March, 2000, the stock fell to less than $10 a share. Lawsuits were rampant, technology stocks were king, and people were afraid to own this stock. But in the eight years since then it has come back, and today it sells for $77 a share. This is a 670% profit in eight years, not including dividends! Even at this lofty level, the dividend yield is still over 4%.
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991 points
rvilmur answered 2 years ago …
I would continue to hold my RPTN, Raptor Networks Technologies, because it has the chance to become the next CISCO Networks. They have a switching product and an applied for set of Patents that will be the next great paradigm in network switching. It is based on GIGABit Ethernet and much faster than current switching nodes. It also costs less. It also has the feature of being a distributed switching architecture that makes it nearly immune to denial of service attacks. The company has passed all federal government testing and has been approved for purchase by all government agencies.
Richard Vilmur
508 points
John answered 2 years ago …
Ill give you two:
Microsoft & Apple
Self Explanatory, Microsoft runs the tech industry, Apple's innovation is like no other!
379 points
dustbusterz answered 2 years ago …
well john i like your answer to this question, however, Apple is riding high right now because of its innovative new i Pod , but the question is , will they and can they keep coming up with ideas to keep people interested. this is a fast paced environment they are in and ideas need to keep rolling out fast and furious otherwise, they could fall as quickly as they rose.
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