With the market trembling at it’s knees lately, I figured placing more focus on my weekly portfolio holdings would be a smart addition for the many avid StocksHaven dot com investors and readers alike. Going further, I will have continuous portfolio updates and my current ROI (Return on Investment) for every time I make changes to my holdings. So far I have amassed 23% in the past 3 months, with a target goal of 35% per year. Yes it may seem like an unreasonable standard, but trust me, I will achieve it.
150 shares, and an entire portfolio dedicated to Research in Motion, why?
It’s quite simple really… This stock is every investor’s dream – Top tier management, increasing global expansions, top of the industry R&D (Research and Development)… all while being severely underpriced @ $100 a share
Now if you missed it, I wrote an article on RIM previously — Blackberry Thunder and Bold about to be released, how will they affect rimm?
So what makes me throw all of my eggs in one basket despite preaching not to do so? Easy… there is no better bargain out there on the market.
Taking a look at the financials, it is easy and quick to note what makes this such a solid and well managed company:
| Income Statement | Quarterly (May ’08) |
Annual (2008) |
Annual (2007) |
| Total Revenue | 2,242.57 | 6,009.40 | 3,037.10 |
| Gross Profit | 1,137.36 | 3,080.58 | 1,657.80 |
| Operating Income | 646.44 | 1,731.16 | 806.83 |
| Net Income | 482.51 | 1,293.87 | 631.57 |
| Balance Sheet | |||
| Total Current Assets | 3,631.41 | 3,477.35 | 1,919.27 |
| Total Assets | 5,863.34 | 5,511.19 | 3,088.95 |
| Total Current Liabilities | 1,334.29 | 1,474.43 | 546.58 |
| Total Liabilities | 1,426.98 | 1,577.62 | 605.45 |
| Total Equity | 4,436.35 | 3,933.57 | 2,483.50 |
| Cash Flow | |||
| Net Income/Starting Line | 482.51 | 1,293.87 | 631.57 |
| Cash from Operating Activities | 5.52 | 1,576.76 | 735.67 |
| Cash from Investing Activities | -233.21 | -1,153.94 | -364.58 |
| Cash from Financing Activities | 25.65 | 80.40 | -153.66 |
| Net Change in Cash | -200.18 | 507.25 | 217.60 |
Note how there are increases within the last quarter in almost every category: Total Revenue, Gross Profit, Operating Income, Net Income, Total Current Assets, Total Assets, and Cash Flow.
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Financials aside, lets take a look at the price.
This baby hasn’t been available at such a cheap bargain since the start of ’08, back when it was first publicizing the Blackberry 8800 and 8300 Curve.
Now, if you’re not satisfied with the main course meal just yet, let me top it all off with some fine cuisine desert fresh out of the oven:
- Mad Money Lighting Round: Stick With Research in Motion
- RIM Paces Tech Advance
- RIM Launches New Blackberry Flip Pohone
- RIM Captures more than half of the smartphone market vs. (a decline of only 17.5% for the iPhone)
- Canaccord reiterates their PT of $185 on RIM
- Microsoft, Research In Motion Strike Search Deal
What will your next phone be?
Wow 23% is a great return, especially in this market. If you get to 35% that is even better. RIMM does look like a great play.
Take the bad with the good and move on with tomorrow
Thats my mentality.
[...] 23% return over last 3 months! Now all in with RIMM? [...]
I’ve got RIMM STILL trading at a significant M.O.S., even at $105 and a relatively high P/E ratio. Growth expectations are that strong.
This blog is really nice and informative. We are pleased to know this blog is really helping people.
[...] Portfolio Update 10/9/08 – All in With RIM [...]