This portfolio is made up of the 15 defensive stocks that are trading at the highest Return On Investment Capital (ROIC). The first week of each month we will review the list, and make any trades necessary to get the portfolio to match the list. Every week we examine the portfolio's performance against the S&P 500 and Dow Jones Industrial Average, and reinvest any dividends. The list of defensive stocks is made by following modernized Benjamin Graham strategies, and ROIC is calculated with a formula based on Warren Buffett's definition of Owner Earnings and Contributed Capital.
We have decided to provide our list of Defensive High ROIC companies on a weekly basis. The portfolio will continue to be rebalanced once a month, but the list itself will be provided every week.
Here is this week's list of Defensive High ROIC companies:
| RYL | RYLAND GROUP, INC |
| MDC | M.D.C. HOLDINGS, INC |
| LEN | LENNAR CORP |
| LIZ | LIZ CLAIBORNE, INC. |
| CAE | CASCADE CORPORATION |
| TOL | TOLL BROTHERS, INC. |
| BN | BANTA CORP |
| WEYS | WEYCO GROUP, INC. |
| PHM | PULTE HOMES, INC. |
| FL | FOOT LOCKER, INC |
| KBH | KB HOME |
| DHI | D.R. HORTON, INC. |
| RS | RELIANCE STEEL |
| JNY | JONES APPAREL GROUP |
| MAS | MASCO CORP |
There were no transactions this week.
The portfolio underperformed both the DJIA and S&P 500 indexes this week, but has very significantly outperformed them overall.
The current value is calculated using prices near close from Thursday.
The snapshot:
Ticker | Total Cost | Current Value | % Gain/Loss |
| BN | $6,450.00 | $6,468.00 | 0.28% |
| CAE | $6,470.20 | $9,376.20 | 44.91% |
| DHI | $6,527.35 | $7,396.20 | 13.31% |
| FL | $6,490.00 | $6,264.00 | -3.48% |
| JNY | $6,544.00 | $7,257.80 | 10.91% |
| KBH | $6,577.35 | $6,793.65 | 3.29% |
| LEN | $6,436.95 | $6,704.57 | 4.16% |
| LIZ | $7,602.40 | $7,786.20 | 2.42% |
| MAS | $6,854.20 | $7,119.60 | 3.87% |
| MDC | $7,363.00 | $8,367.40 | 13.64% |
| PHM | $6,460.00 | $6,867.10 | 6.30% |
| RS | $6,870.65 | $7,651.85 | 11.37% |
| RYL | $6,435.60 | $7,267.20 | 12.92% |
| TOL | $6,478.80 | $7,646.60 | 18.02% |
| WEYS | $6,543.10 | $7,730.20 | 18.14% |
| Cash | $3,865.95 | ||
| Realized | $4,048.10 | ||
| Total | $100,000.00 | $114,562.52 | 14.56% |
Performance:
Last Week | This week | Change | Overall | |
| S&P | 1362.83 | 1366.96 | 0.30% | 7.48% |
| Dow | 11947.7 | 12011.73 | 0.54% | 7.98% |
| Portfolio | 117030.77 | 114562.52 | -2.11% | 14.56% |
Neither of us holds a position in any of these stocks. Please review our disclaimer and Our Methods.