Beat the Market With the Father's Day Portfolio
Jun 16th 2013 6:40PM
Updated Jun 17th 2013 1:00AM
I love Father's Day. No, it's not because I think it's such a special day that everyone awaits with anticipation. Let's be real here: It's always going to be the runner-up to Mother's Day -- not that there's anything wrong with that.
Father's Day-sized returns
No, there are two main reasons I love Father's Day: I'm a proud father myself, and Father's Day just makes me think of my dad and all the things he's done for me. Simple as that.
I owe my love of investing to my father. And with that in mind, I give you the Father's Day Portfolio. These are 10 stocks that remind me of my dad, and together they will form a formidable, market-beating team that will offer investors outstanding returns for years to come.
- Dick's Sporting Goods is a family affair. CEO Edward Stack is the son of founder Richard Stack, and he owns close to 18% of the shares outstanding. I like what this company has done and where it's headed. It controls 8.5% of the tremendous sporting-goods market.
- Boston Beer seems an appropriate call here. Having a beer with your dad is one of the great moments in life, and given that this company sold more than 50 beer varieties under the Samuel Adams brand in 2012, chances are pretty darn good that there may be a Sam Adams in Dad's fridge.
- My dad drives a Ford Expedition, and he's owned a few other Fords in his life. Every time I see the blue oval I think of him, and I think this company will play a big part in the fast-changing automobile market.
- I smile so wide it looks like I have a coat hanger in my mouth when I see my dad using his iPhone and iPad, courtesy of Apple. The guy turned 71 this Father's Day (happy birthday, Dad!) and he's embraced technology like a 15-year-old.
- We all know that if you have a question these days you can just ask Google. These guys do a lot of things well, but search and maps are their specialty.
- It's not just iDevices for my dad, either. He loves his new Kindle Paperwhite from Amazon.com, not to mention the fact that he can order just about anything from the e-commerce giant.
- My dad's a doctor, and St. Jude Medical is a device company that has a wonderfully diverse product mix. From heart devices to strokes, Parkinson's, and migraines, this company is playing a big role in up-and-coming medical technology.
- Shout-out No. 1 to our Georgia roots: Home Depot is the mac-daddy of home-improvement retail, and whether you rent or own, you're going to need to go there at some point. The recent dividend boost and share-repurchase authorization are signs of things to come for shareholders at this Georgia-based company.
- E-commerce is in its early stages, and my second shout-out to Georgia is United Parcel Service, which is one of the two big shippers that should benefit. I love this company's moat, and the capital-intensive nature of its market offers up some serious barriers to entry for competitors.
- As a doc, my dad knows the trouble medical waste presents, and Stericycle is the company that's taking care of business where this is concerned. Its competitive advantage only strengthens with time, and with a market cap under $10 billion, there's plenty of room to run.
For fathers and their children
I'll be tracking the results of this portfolio versus the S&P 500 indefinitely, beginning with the closing prices from Monday, June 17, 2013, and I'm confident that this one will be a long-term market-beater. This portfolio is just a simple way say thanks to my dad for the gift of investing. I count myself as very fortunate that we get to talk about investing (and golf ... lots of golf) all the time. Maybe this is one more thing we'll get to talk about for a long time to come.
The article Beat the Market With the Father's Day Portfolio originally appeared on Fool.com.Jason Moser owns shares of Amazon.com and Apple. The Motley Fool recommends Amazon.com, Apple, Boston Beer, Ford, Google, Home Depot, Stericycle, and UPS and owns shares of Amazon.com, Apple, Boston Beer, Ford, and Google. Try any of our Foolish newsletter services free for 30 days. We Fools don't 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.
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