Q4 Portfolio Update

Q4 portfolio update with current portfolio and updated IRR.

Buy: T-Mobile – TMUS 0.00%↑

Add: American Airlines – AAL 0.00%↑

Add: Nintendo – $NTDOY

Sold: H&R Block – HRB 0.00%↑

Sold: Charter – CHTR 0.00%↑

Portfolio

Current portfolio below (with avg. cost), along with timing of cash flow for a hypothetical $100k portfolio:

IRR is now ~9% since inception, which roughly matches the S&P – I calculate a rough S&P IRR for comparative purposes, assuming same cash flow timing (and a 1.5% dividend yield). I’ve actually done a decent job picking stocks, but I’ve been punished by position sizing – one of my bigger bets, QRTEA 0.00%↑ (~80% loss), has been a huge drag on performance.

Bought T-Mobile based on my article (~$144 avg. cost), but kept position <10% as I already some AT&T (sector exposure). Added to my American Airlines position (~$14 avg. cost). Also added more Nintendo, which is now my biggest position. For reasons mentioned in my recent post, I think Nintendo is a great bet with limited downside.

I’m pretty much out of Charter (still hold a small position still in short-term gains period) and trimmed my H&R Block position (sold half); I like H&R Block but not in love with the risk/reward at the current price – stock was pricing in terminal decline when I bought, now market is pricing in a stable business – not unreasonable but wanted to take some chips of the table. Hold a reasonable amount of cash after the sale, so currently looking for somewhere to put that to work.