SDxCentral
Join Log In
SD-WAN 5G Edge 1 IoT SDN NFV Containers Cloud Security AI Data Center Storage APM/NPM Open Source

Log In to SDxCentral

Log in with your email? Forgot your password?
  • Newsletters
  • eBriefs
  • Podcasts
  • Webinars
  • Videos
  • Directory
  • White Papers
  • Resources
  • Use Cases
  • Support

Join SDxCentral and get information tailored to your particular interests everyday.

Join
Sponsored:
Dell EMC Citrix Riverbed

Rayno Portfolio Update: Up 19% YTD

rayno-report-mobile-market-infrastructure-network-virtualization-5
Scott Raynovich
Scott RaynovichMarch 22, 2015
9:40 am MT

Long-time readers of The Rayno Report know that we have a tradition of creating a “model portfolio” for investing every year, in which we pick 12 growing and profitable companies with inexpensive valuations. This year, the portfolio is off to a roaring start, with a 19% return, year-to-date (YTD). In contrast, the S&P 500 Index is up only 2.7%.

This year’s crop of stocks includes many fast growers in areas such as mobile technology, healthcare, and electronics. Our leading picks for the year include pharmaceutical producer Lannett Company Inc. (NYSE: LCI), up 58%; Avago Technologies (Nasdaq: AVGO), a mobile chip play, which is up 34% YTD; and Skyworks Solutions (Nasdaq: SWKS), up 40% YTD. Skyworks is a holdover from last year’s portfolio, in which it gained 160%. Other notable peformers so far this year include Methode Electronics (Nasdaq: MEI), up 25%; and Spirit AeroSystems (NYSE: SPR), up 22%.

This puts us off to a great start, and I’m hoping we can follow up on last year’s market-beating return of 17.5%. For a recap of how I pick these stocks — which do not necessarily include only technology stocks — we outlined the methodology when we published this year’s picks at the beginning of the year.

With the markets close to hitting new “all-time highs” there is chatter of another bubble and comparisons to 2000. I don’t think such a comparison is valid, as the landscape is completely different, and none of these stocks have the sky-high P/E valuations that were characteristic of bubbles. Many of them still remain reasonable relative to their valuations. For example, Skyworks has PEG of .96, and AVGO is trading at PEG of .52.

I’ll provide a full analysis of the performace of the portfolio in a couple weeks at the end of Q1. For now, here’s a look at what’s happened so far:

Avago Tech. AVGO 12 $1,599.48 98.49 $407.60 34.20%
Gilead Sciences GILD 12 $1,227.48 96.79 $56.00 4.78%
Lannett Inc. LCI 28 $1,919.96 42.96 $707.08 58.30%
Level 3 Comm. LVLT 25 $1,385.00 48.57 $160.75 13.13%
Methode Electronics MEI 33 $1,503.81 36.11 $302.18 25.15%
Phillips 66 PSX 18 $1,419.48 67.92 $186.92 15.17%
Silicon Motion Tech. SIMO 45 $1,246.95 26.44 $47.15 3.93%
Skyworks Solutions SWKS 17 $1,734.85 72.12 $498.81 40.36%
Spirit Aerosystems SPR 29 $1,508.29 42.38 $269.27 21.73%
Tata Motors TTM 28 $1,313.20 43.07 $97.24 8.00%
Time Warner TWX 15 $1,318.35 83.24 $59.75 4.75%
United Rentals URI 14 $1,243.90 92.25 ($57.60) (4.43%)
Total $17,420.75 $2,735.15 18.62%
SDxCentral Daily News

Join your Peers! Subscribe to SDxCentral's Newsletter

Article Tags:

Mobile

Scott Raynovich

About Scott Raynovich

Raynovich is the VP of Research and Analysis at SDxCentral Previously, he was Chief Analyst and Publisher of The Rayno Report (www.raynoreport.com), which was acquired by SDxCentral in October of 2015. Considered an expert on networking and service-provider technology, he has been covering these areas as an editor, analyst, and publisher for 25 years. He was the Editor in Chief and Editorial Director for Light Reading for a decade, where he started the Heavy Reading Insider research service. Prior to joining Light Reading, Raynovich was Investment Editor at Red Herring, where he started the New York Bureau and helped build the original Redherring.com Website. He has won several industry awards, including an Editor & Publisher award for Best Business Blog and a Folio award for Best Website. His analysis has been featured on prominent media outlets including NPR, CNBC, The Wall Street Journal, Bloomberg, and the San Jose Mercury News.

Subscribe to Get the Daily News!

About SDxCentral

  • Newsletters
  • About Us
  • Contact Us
  • Work With Us
  • Editorial Team
  • Careers
  • Legal
  • Support

Engage With us

This material may not be copied, reproduced, or modified in whole or in part for any purpose except with express written permission from an authorized representative of SDxCentral, LLC. In addition to such written permission to copy, reproduce, or modify this document in whole or part, an acknowledgement of the authors of the document and all applicable portions of the copyright notice must be clearly referenced. All Rights Reserved.

© 2012-2019 SDxCentral, LLC, All Rights Reserved. SDNCentral™, the SDNCentral logo, SDxCentral™, SDxCentral logo, SDxNews™, SDxTech™, SDx™, the SDx logo, and DemoFriday™ are trademarks of SDxCentral, LLC in the U.S. and other countries.

  • Terms of Service
  • Privacy