These are my predictions. I make them just like any other person with some sense of what is happening in the market. Just to say, if you take this advice and profit. Congrats. Just know that I am not responsible for the headaches that putting any money in this market will cause. Also, I am recommending some banks. There is still a lot of selling happening right now so fully expect those stocks to go down in the near term.
BAC - Bank of America will turn in a terrible quarter on 1/20/09. I think it may be worse than expected. I think the stock will bottom at $8.45. I think by the end of the year, it will be back up to about $20. I own some. If I sold it, I would have lost a bunch....
JPM - JP Morgan. This is probably one of the better banking stocks out there. They purchased Bearns Sterns and Washington Mutual for pitance. I have a credit card with them and every dealing has been a good one. AKA I like the way they do business. It currently trades around $25. I think the day that BAC trades at $8.45 JPM trades under $20. I wouldn't be surprise if it hits $50 in 2010. I bought at $27 and thought I had a good deal.
WFC- Another good bank. With the TARP, failure is off of the table for these banks that I mention, which means risk drops significantly. A person may not make money now. But in 5 years, I think a person will be swimming in dividends.
BP - My favorite oil stock because they pay a nice dividend and have made some nice investments in alternative energies. It also gives one exposure to Britian.
DOW - I think the Dow will be above 10,000 by the end of the year. I don't see it dropping lower than about 8300 now. I think the lowered volatility that we are seeing is a great thing and proof that we are stabilizing.
The last post was too long so I am done.
1 comment:
You should try to sell your thoughts to Wall Street. I'm not saying that your opinions have any more or less validity than any random schmuck rambling about where the market will go (see Citi analyst rant from 3 days ago), but at least if you sold your opinion you would be able to put even more money where your mouth is. And that's what it's really all about - becoming more wealthy than the next guy. I think things are a little worse than a "recession". This may be the beginning of the demise of the U.S. as the world economic leader. I've always been a pesemist, though. If you lose your shirt don't take it too hard. It happens to everyone, eventually. Oh - and good morning! :-)
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