Here's a lesson you should never forget, I certainly won't.
In my last post, I wrote about going to eat at Wendys as part of my due diligence on Wendys (WEN) stock.
Obviously the lesson is try and experience the product before buying the company. duh!
There are other ways too, that we as investors, can do our due diligence, other than just looking at the company's balance sheet. Sometimes, we are not even trying to do so. I was speaking to a friend of mine shortly after Christmas, who works at Federal Express (Christmas is their busiest time of the year) and he unknowingly gave me a great piece of information on a stock. He mentioned (actually he was bitching) about how many deliveries they had been making over the holidays from a company called Shutterfly.
Company Profile: Shutterfly, Canon Powershot SX260HS 12.1MP 20X Optical Zoom Digital Camera (Google Affiliate Ad) provides digital personalized photo products and services in the United States. It offers a range of personalized photo-based products and services for consumers to upload, edit, enhance, organize, find, share, create, print, and preserve their memories. The company also produces and sells photo books, greeting and stationery cards, personalized calendars, and other photo-based merchandise, including calendars, mugs, canvas prints, mouse pads, magnets, and puzzles; and photo prints of carious sizes. In addition, it provides Shutterfly iPhone Photo App, which combines storage, viewing, and photo gift creation.
(Yahoo Finance: source of description)
A month or so later, on February 5 2013, Shutterfly (SFLY) reported a 50 percent jump in quarterly profit. On the day after Christmas, SFLY was $28.97, on Friday it closed at $43.12.
Need I say more?
Go the extra yard and do the research on what is going on with a company and you could be richly rewarded!
Please do me a favor. I want to improve the quality of this blog (it is the first one I have ever written). Could you please leave a comment about the blog, so that I can improve it. Just click on the "comment" link below and a box will pop up where you can write your comments. thank you so much. Richard