Tools to Investing

As a follow up on last posting..... Tests to apply when considering the purchase of a stock.

1. Revenue & Earnings: You want to watch out for companies whose revenues are growing while profits are shrinking -- a very negative trend. The same observation applies when revenues are on the decline but net profit margin is declining more rapidly, also a big negative.

Fundamental Tests

I recently reviewed an article in an investment periodical I receive. The article was the four tests or indicators that every stock investor should use:

1. 5 years of revenues and earnings.
2. P/E ratio.
3. Dividends
4. Debt Ratio Trend

More on each later.

Finding More Time

I find myself gradually unwinding from some volunteer positions I have had for years and years. I am hopeful by doing so new opportunities will arise which will rejuvenate my enthusiasm for community involvement.

Budgets

Hard to know who to believe anymore in politics when it comes to budgets. But I personally feel Paul Ryan is the most capable and trustworthy elected official when it comes to fiscal soundness. It is time we all help eliminate the debt crisis, even if we have to pay higher taxes.

Time to Read

I have never read the book "Atlas Shrugged", but maybe it is time I do.

Go Brewers

I will be attending the Brewer opener in Milwaukee today. I think I have missed 2 openers in the last 36 years. The roof on Miller Park sure makes it more enjoyable that it has normally been. Thank you former Senator George Peatak for your vote making this possible!

Vote

I have always felt two of our most, if not the most, important rights are the right to a trial by jury and the right to vote. Be sure to exercise your right to vote next Tuesday, April 5. Much is at stake.

Financial Blogs

This is a long link but one you might find informative. It gets you to 25 financial blogs with various financial topics of importance. Here it is:

http://www.time/com/time/specials/packages/completelist/0.29569.2057116.00.html. Good luck.

Antics

Yesterday some of the anti-Walker protestors barged into the lobby of the M&I office on the Square with drums, signs and loud speakers. They were there demonstrating against M&I who they felt was a financial supporter of Walker. They were ignorant of the fact that corporations cannot contribute to individuals running for political office. Just another example of the mass miscommunication of information going on down on the Square.

VOTE

I was #6 to vote this a.m. at my polling place. The first nine voters were all men.

Beautiful day. Enjoy it and get out and vote.

Special Win!

One has to wonder what the impact of the Packer win will have on the state's economy. It seems to me the more positive frame of mind we are in, the more willing we are to make spending decisions. And consumer spending drives the economy. Well, anyway, just wondering.

Wow!!

Was that a storm to remember? Even by Upper Peninsula standards, that was a powerful storm! How could one not feel sorry for that UW student who was pictured in this a.m.'s "Wisconsin State Journal" trying to shovel his car out of a snow bank with a ice scraper! Oh, the power of Mother Nature!

This & That

With all the hype about the Super Bowl, the upcoming storm and Egypt, one wonders what else can be important right now.

Scary 2011 Economy

Much of the restrained economy over the last few years might be due to the rise in the savings rate. Going forward, some predict consumer spending will be around 2%. While it's not an exciting outlook, the U.S. economy will grow faster that the Congressional Budget Office anticipates it will grow.

In the meantime, a few risks in the outlook. China is trying to reign in growth; the social security system goes into a deficit in 2014; sovereign debt issues in Europe.

A Great Day

It's a great day in Packerland! Euphoria reigns!

State of the State

Come Monday, this State of Wisconsin will either be in euphoria or deep depression!!!! Go Pack!

More 2010 Highlites

Historical happenings in 2010 included the devastating earthquake in Haiti that killed 230,000 people; the BP oil spill caused the largest environmental disaster in history; Wikileaks dumped thousands of pages of classified material on the internet; 33 miners are saved in Chile after being stuck a record 69 days below the earth; a Pablo Picasso painting was sold for $106 mm, setting a new world record; the Tea Party movement hosted their first convention; the Boy Scouts of America celebrated 100Ys; Don't Ask, Don't Tell was repealed and signed into law.

2010 Again

The year 2010 was interesting and many things happened. It wasn't as crazy as 2008 when the credit crisis began, nor 2009, when the regulatory crackdown followed. It was, however, certainly full of surprises, twists and turns.

In banking and the financial markets, the crisis rounded the corner on its 2nd year and brought a flight to gold bullion.

In the invention area, the iPad might have been the coolest!

More highlights later.

Rose Bowl

Had a good time in California despite the outcome of the Rose Bowl. A lot of criticism is flying around about bad decisions, etc. I have learned that sports is a matter of if, if, if, if.

2011

I am leaving for Pasadena tomorrow a.m. I'm going out on the limb and predicting a lopsided victory for Bucky.

Happy New Year to all. I kind of feel 2011 will be a transition year for our economy; moving from deep recession to gradual recovery.