Week 22, 2020

Monday, May 25 is Memorial Day and markets are closed.

Tuesday is the only day this week that we’ll add something new to the portfolio. International Paper (IP), founded in 1898, is the largest pulp and paper company in the world. Their earnings form a very complicated picture. Numbers were great last year with “$3.9 billion in adjusted earnings before interest, tax, depreciation and amortization” (EBITDA) and they have a long history of strong performance relative to their peers, so I am confident they will pull through recent struggles. They are a component of the S&P 500 and the current yield is 6.25%.

For Wednesday, we already own Maxim Integrated Products (MXIM) from Week 9. The position is down about 10% and the current yield is 3.6%.

Next is Bank of Hawaii (BOH), also still open from Week 9. This is down a whopping 32% from where we purchased it, but recent earnings look pretty good given the current environment. We’ll stick with the position and take the 4.4% dividend.

We’ll close out the week with another open position from Week 9Associated Banc-Corp (ASB). The position is down 35% and the yield is 5.4%. Their recent earnings, however, look promising as they are working hard to maintain their traditional loan to deposit ratio and keep their balance sheet healthy.