Our Plan is to Buy the Dips. Buy Whenever We See Red.

posted Feb 26, 2022, 9:36 PM by Intelligent Investor   [ updated Feb 26, 2022, 11:04 PM ]
We believe the geopolitical issue occurring in Ukraine will be short-lived. We also believe that amidst a high-inflationary environment, many U.S. Equities will prevail. We plan to continue buying and accumulating every time the Dow Jones, Nasdaq, and S&P 500 turns massively red. Keep in mind, interest rates are low. The Federal Reserve is propping up the economy. We are not in a recession. We are also not in a bubble. We currently believe that we are in a mild correction. America is unstoppable. Be greedy when others are fearful.
The following are stocks that could do well in a high-inflation economic environment:
  • Kraft-Heinz (KHC)
  • Coca-Cola (KO)
  • Kellogg's (K)
  • General Mills (GIS)
  • Ford (F)
Metric KHC KO K GIS F
P/E ratio  13.51  26.97  15.75 18.33   9.96
Forward P/E ratio  15.08  25.54  15.95  18.12  8.59
Dividend Rate   4.03%  2.80%  3.53% 3.00%   2.24%
 Price to Book Value 0.99  11.82  6.04  4.36  1.51
 Debt to Equity Ratio  0.43  1.66  1.68  1.15  1.82
Note: As of 2/25/2022

Disclosure: We own shares in Kraft-Heinz (KHC) and we currently do not own shares in Coca-cola (KO), Kellogg's (K), General Mills (GIS), and Ford (F).
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