3 Stocks I Really Want for Christmas
Matthew is a member of The Motley Fool Blog Network -- entries represent the personal opinion of the blogger and are not formally edited.
Every year I get asked the same question this time of year, and every year I struggle to come up with an answer. Odds are you’ve already got your list but for me, I have no idea what I want for Christmas. For whatever reason my family has an ample supply of gift givers but none of us knows what gift we’d like in return. We’ll even tease each other by withholding a gift idea until the other tells us something off their mythical list.
Sure there are things I want, but the price points are usually more than I’d spend on myself, let alone expect someone to give me as a gift. I’m sure there might have been a bargain on Black Friday but who wants to bother with those crowds. It’s gotten to the point where I just ask for money in hopes that I can wait for a post-Christmas deal and get it myself.
Speaking of post-Christmas sales items, there are three stocks that I’d love to see go on sale after the holidays when my portfolio is flush with cash from all those special and early dividend checks. They’re a bit too pricey now but I’m thinking that Washington might not be in the holiday spirit this year and let us get dangerously close to that fiscal cliff. That’s why I’m making my list and checking it twice hoping that a post-Christmas stock sale will find my portfolio ready to buy.
No More Shopping?!
Topping my wish list this year is 3D Systems (NYSE: DDD). The company recently went on sale after some articles were published which called into question that company’s accounting practices. Those were quickly debunked and the stock has more than recovered. As my luck would have it I missed the sale because I was enjoying my last few days of vacation.
3D has an immense market opportunity ahead of them but the stock isn’t exactly cheap. I’ve owned shares before but was called out after writing a covered call that was then 20% above the current strike price. While I can’t complain about the nice gain, there’s the potential for a lot more as their technology is adopted across more industries. One reason why I like 3D over their competitor Stratasys (NASDAQ: SSYS) is their push into the consumer market with the Cube. This product really has unfathomable potential as it could one day eliminate your need to go out shopping at all for certain items. That’s why all I want for Christmas is to see 3D’s stock price closer to the $35 so I can go on a shopping spree.
My Money Tree
The next stock’s not quite so revolutionary but I’ve always wanted a money tree and Plum Creek (NYSE: PCL) is as close as I’ll ever get. The timber REIT is the largest private land owner in the country and they pay a dividend near 4%. I like their exposure to the upside of the housing market as well as that generous dividend. Plum Creek is another company where the covered call took my shares at where I’d consider them fair value. Like 3D Systems all I want for Christmas is to see shares closer to $35 so I can plant that dividend generating money tree back in my portfolio.
An Apple a Day
Those vacations seem to always come back and bite you. I’d been hoping to take another bite out of Apple (NASDAQ: AAPL) but was waiting for a decent pullback to do so. We got one, but alas I was too busy relaxing to notice. I have a sneaking suspicion that the company’s going to have a banner holiday season but I have more in common with Ebenezer Scrooge as I am a bit of a cheapskate. That’s why all I really want for Christmas is to buy more shares of Apple closer to their recent $525 low if not closer to the $500 that the latest iPad is setting consumers back this holiday season.
I’m unlikely to get any of my Christmas wishes this year but my list is ready and I’ve checked it more than twice just in case. Do you have a favorite stock you’d love to see marked down after the holidays? If so share it and the price in the comment box below.
latimerburned owns shares of Apple and has the following options: Apple. The Motley Fool owns shares of Apple, 3D Systems, and Stratasys and has the following options: short JAN 2014 $55.00 calls on 3D Systems and short JAN 2014 $30.00 puts on 3D Systems. Motley Fool newsletter services recommend Apple, 3D Systems, and Stratasys. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. Is this post wrong? Click here. Think you can do better? Join us and write your own!