Investors are always trying to beat their respective benchmark, and for many that's the Dow Jones Industrial Average, but investors will never beat the market by investing in it passively. They can however, overweight great companies and underweight or ditch the losers. So in an effort to beat the Dow with its own components, Austin is taking a buy, sell, or hold stance on each individual stock.
Up today is Wal-Mart, one of Austin's favorite retailers. After a bit of a pop and corresponding multiple expansion over the past few months, he's inclined to give Wal-Mart a hold rating. The company was a great value a few months ago, but it's now trading at more expensive levels. Despite being an incredibly well-run company, its size could act as an upside limiter in the future, so Austin suggests shareholders be happy collecting their great dividend for now and, if shares come down to levels like we saw at the beginning of the year, adding to their positions a bit.
Source: Motley Fool
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