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Welcome to the Equities Section of Options Realm |
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I figured I should take today to give an update of what my current holdings are in my portfolio and then give a summary of what my goals for this year are.
At the start of the year my portfolio consists of 35 shares of VALERO ENERGY CORPORATION which goes by the ticker symbol of VLO. I currently have 41.50 in cash. My reasoning for holding 100% of my money in VLO is that I feel that refining is a business that is going to stay profitable over the next decade if not longer so I see VLO as a safe company to own. Also at the current market price of around $51 a share VLO is substantially lower then what I feel the companies intrinsic value is. Based off of very conservative growth numbers and a 12% discount rate the DCF model that I use says that VLO is worth around $70 a share. This coupled with the fact that refining is a business in which many factors stand in the way of more refiners popping up and taking the business that VLO already has I feel that this is a safe long term investment. |
