Investing 102

[GregWeld]

Way back in the thread was some discussion regarding Exxon - Chevron - Conoco Phillips....

I bought Conoco after doing some research...


This is just some 'news' that could be of interest

ConocoPhillips (COP) won the approval from its board of directors to split its refinery arm, Phillips 66, in a move to further accelerate the value of both entities.

In July last year, the third biggest U.S. integrated oil company, following ExxonMobil Corporation (XOM) and Chevron Corporation (CVX), planned to separate its upstream oil and gas exploration and production unit from its downstream refining division into two stand-alone, publicly traded corporations. The move is expected to create the largest refining company in the U.S. (with a capacity of 2.4 million barrels per day) and the largest exploration and production (E&P) player based on oil and gas reserves.

Following the closure of market on April 30, 2012, the groups – with headquarters in Houston − will be alienated through a tax-free distribution of Phillips 66 shares to ConocoPhillips common stock holders. The shareholders of the E&P arm will receive one share of Phillips 66 common stock for every two shares of ConocoPhillips stock held at the close of business on April 16. The refinery unit will trade on the New York Stock Exchange under the symbol PSX. Prior to the distribution, Phillips 66 shares will trade under the symbol PSX WI in a "when-issued" public market.

[toy71camaro]

Good news, for you.

I ended up going with Chevron... down 4.5% now, but they'll turn around.

My curiosity sits at why you chose conoco out of the group? What did you see "different" than the others?


alternatively.. would news like this "spark" a purchase? since you are knowing its going to split in the near short term?

[GregWeld]

Originally Posted by toy71camaro

Good news, for you.

I ended up going with Chevron... down 4.5% now, but they'll turn around.

My curiosity sits at why you chose conoco out of the group? What did you see "different" than the others?


alternatively.. would news like this "spark" a purchase? since you are knowing its going to split in the near short term?

COP has a better dividend than CVX or XOM.... has better 3 year total return... and a very good 5 year TR.... and they have the split going for them.

The other two did NOT have that.

[GregWeld]

I missed your other question and think that it is the most relevent to Investing 102

You asked would a split event like this spark buying interest? Meaning - would the announcement of a split in a stock or some other big news event cause me to buy a stock?

I buy on the fundamentals ONLY.... and if there's a split... or a buyout... or some other "news" then it's just a freebie. Usually -- if I already own the stock and have for at least a year and one day (LTCG's) I will SELL half of the holding if I see a big run up. I can always buy back in.

The fundamentals of COP looked better in comparison to CVX and XOM...

[toy71camaro]

Gotcha. That makes sense.

Nice pick.

For whatever reason, when i was doing my comparisons for which of the oil stocks i would buy, that one didnt even get on my list. doh.

So, that brings me to another question... Since most "investing 102" people dont know the "entire market" we are looking to get in, where is a good place to find this info?

If i recall, i just went to schwab and looked at one of the pages (likely, for CVX) and it showed similar companies or something like that. In which I wrote down/researched XOM, BP and RDSA (and of course, CVX). I ended up with CVX due to hits mediocre dividend (compared to the other 3, it was the 3rd on the scale), but its overall higher returns in the 1/3/5/10 year marks.

So somewhere along the line, I "missed" the "competitors" to research.

[Bow Tie 67]

One place this thread has turned me onto is Seeking Alpha. I'm inundated with emails on prospects as well as articles on my current positions. But I do take everything with a grain of salt, and love reading the comments on the articles. Lots, if not to much info, but it gives me ideas and positions I can research and get a feel for. Then I can make a more informed decision based on facts and if I feel comfortable with that position.

[toy71camaro]

Originally Posted by Bow Tie 67

One place this thread has turned me onto is Seeking Alpha. I'm inundated with emails on prospects as well as articles on my current positions. But I do take everything with a grain of salt, and love reading the comments on the articles. Lots, if not to much info, but it gives me ideas and positions I can research and get a feel for. Then I can make a more informed decision based on facts and if I feel comfortable with that position.

Same here...

I setup my "roth" portfolio on there, as its easier to track the days ups/downs. I also setup a "watch" list. Where anytime i hear someone talking about a good "dividend" company, i toss it on there, for future review.

[GregWeld]

Originally Posted by Bow Tie 67

One place this thread has turned me onto is Seeking Alpha. I'm inundated with emails on prospects as well as articles on my current positions. But I do take everything with a grain of salt, and love reading the comments on the articles. Lots, if not to much info, but it gives me ideas and positions I can research and get a feel for. Then I can make a more informed decision based on facts and if I feel comfortable with that position.

You can go into Seeking Alpha and select what emails you receive.... I only get the Dividend Investor stuff....