The Motley Fool: The Boring Portfolio

ANN ARBOR, Mich. (Oct. 17) -- The Boring Portfolio continued its comeback today, following a brief bout of the blahs. Boring stocks rose nearly a full percentage point in aggregate value, well ahead of major market averages. Six holdings were up, two down (our "tech" sector of Cisco and Solectron), and one (Carlisle) was unchanged.

The broader market was mixed. The Dow continued to power ahead, rising 38 points (+0.64%), and the S&P 500 added +0.36% -- setting another new high. The Nasdaq fell 9 points (-0.72%), however, as computer-related stocks retreated.

Carlisle Companies reported EPS of an even dollar for its 3Q, beating the consensus estimate of three analysts by a nickel and even exceeding the top-end estimate by 2-cents. This represented a fine 24% gain over the year-ago quarter. Sales of $252.6 million were up 17% over 3Q:95.

According to the press release, "The third quarter results were fueled by a continued rebound from a soft market earlier this year in the construction materials segment, and strong performances in both the transportation and general industry segments."

We've got the Fool HQ earnings-watch team chatting up the company now and expect to have more to report tomorrow. For now, I see that net margin improved to 6.14% from the year-ago 5.78%. That margin is a bit below 2Q's 6.25%, but I suspect that may have something to do with transitory expenses associated with the string of acquisitions Carlisle made in the past few months.

The company simultaneously announced a 2-for-1 stock split, pending shareholder approval (they've got ours).

CSL shares were unchanged today, at $57. Volume was a modest 28,000 shares. It appears that it may take a day or two for news of the fine quarterly performance to trickle down.

Speaking of fine performances, TXI rebounded sharply today, gaining $2. I notice that the wires re-reported the news that TXI's board had approved a stock buyback. I also saw a press release from the company detailing as to how the new CemStar cement process was explained to shareholders at the annual meeting the other day. Sometimes it takes a couple of whacks to get the mule's attention, I guess.

Easing interest rates and continued good news from the inflation front may have contributed to Green Tree's growth spurt today. GNT rose $1 1/4. The company reports its quarterly earnings next Tuesday.

New Yorkers can get a glimpse of Kurt Vonnegut at the Borders in the World Trade Center next Monday (Oct. 21) from 5-6 p.m. Folks on the left coast can catch Rick Smolan, creator of the coffee-table "Day In the Life" photography series, at the San Francisco Borders on Wednesday (Oct. 23), 7:30pm. Smolan will be promoting hew latest work, "24 Hours in Cyberspace" -- clearly a must-have for wired investors everywhere.

As for myself, I've got one of those $99 Connectix cueball cameras sitting on top of my Mac. So I can get a real-time look at a bleary-eyed cybergeek staring at his monitor anytime I want.

I was going to offer the next installation in thumbnail sketches of Boring holdings by reviewing Oxford Health Plans tonight. Time's up, though, so we'll have to put that off 'til tomorrow. I'll tip my hand now: with Oxford expected to report EPS of $0.31 on November 6, versus last year's $0.21, and with revenues expected to top $3 billion this year (an increase of 79%), OXHP is unlikely to be exiting the Borefolio soon.

TODAY'S NUMBERS

BGP + 5/8 ...CSL ---...CSCO -1 1/4 ...GNT +1 1/4 ...OXHP + 5/8 
PMSI + 1/8 ...SPY + 5/64...SLR - 3/8 ...TXI +2...

*Scroll down or expand screen for full portfolio accounting

                   Day   Month    Year  History
        BORING   +0.92%   0.08%  16.49%  16.49%
        S&P 500  +0.36%   2.86%  13.73%  13.73%
        NASDAQ   -0.72%   1.23%  19.31%  19.31%


    Rec'd  #   Security     In At       Now    Change

  2/28/96 200 Borders Gro    22.51     35.13    56.02%
   3/8/96 400 Prime Medic    10.07     13.75    36.56%
   2/2/96 200 Green Tree     30.39     40.13    32.04%
  6/26/96 100 Cisco Syste    53.90     64.13    18.97%
  7/23/96 100 S&P Deposit    64.15     70.73    10.26%
  8/13/96 100 Carlisle Co    52.65     57.00     8.26%
  1/29/96 100 Texas Indus    54.50     57.38     5.28%
 10/15/96 100 Solectron C    54.52     54.63     0.18%
  5/24/96 100 Oxford Heal    48.02     47.38    -1.35%

    Rec'd  #   Security      Cost     Value    Change

  2/28/96 200 Borders Gro  4502.49   7025.00  $2522.51
   2/2/96 200 Green Tree   6077.49   8025.00  $1947.51
   3/8/96 400 Prime Medic  4027.49   5500.00  $1472.51
  6/26/96 100 Cisco Syste  5389.99   6412.50  $1022.51
  7/23/96 100 S&P Deposit  6414.99   7073.44   $658.45
  8/13/96 100 Carlisle Co  5264.99   5700.00   $435.01
  1/29/96 100 Texas Indus  5449.99   5737.50   $287.51
  1/29/96 100 Solectron C  5452.49   5462.50    $10.01
  5/24/96 100 Oxford Heal  4802.49   4737.50   -$64.99

                             CASH   $2573.46
                            TOTAL  $58246.90