Just One Man's Opinion - 17 July 2005

by JMac

HEY dude! Where's my money? - Cisco is sitting on a mountain of cash, but still refuses to pay a dividend. What's up with that?

VALUE PORTFOLIOS -

A value investor looks to buy stocks that are selling at a discount to their intrinsic worth with a view towards holding them until the market recognises that worth and then sells at a profit (as oppossed to the growth and income investor). The following are stocks which are priced below what I consider their "fair market value". The first number is their close on July 15, 2005, the second is their fair value (FV), as I see them:

Boston Scientic - $27.45, FV - $40.00 (dominates the stent market)

Golden West Financial - $66.00, FV - $90.00

Goldman Sachs - $106.00, FV - $119.00

Microsoft - $26.00, FV - $33.00

National City - $35.75, FV - $44.00

QUALCOMM - $35.50, FV - $45.00