Many investors set a limit on how many stocks to hold because they believe holding too many stocks means they can’t follow them effectively. We’re presently holding 66 stocks, 30 of which live in our dividend growth investing (DGI) portfolio – Quantigence. The beauty about a DGI strategy is its simplicity – you can largely ignore your entire portfolio unless there’s an M&A event or a company stops increasing dividends at which time you exit the position and replace it with another champion. Not so for tech stocks which require a bit more attention because things change fast. We currently hold 36 stocks in our tech portfolio and monitor an additional 400 in our tech stock catalog. The secret to tracking so many stocks lies in the cadence at which we check in – about once a year.
When checking in with a stock, we always ask our analysts to download the following documents:
- Latest 10-Q or 10-K
- Latest investor deck
- Deck that accompanied earnings call
- Transcript of latest earnings call
Usually, these artifacts will provide all the information needed to ensure things are proceeding as planned. Today, we’re going to catch up with internet of things (IoT) darling Samsara (