Holiday Portfolio: Resolving to Expand the Bottom Line

If there is a new round of technology upgrades, that means more core software sales. In addition, if there's a little bit of a boost from games and the potential of product upgrades, the next 12 months could be very interesting for the company. Of course, watch cash balances as another special dividend could make the prospects even more interesting for patient investors.

The other repeat is Pfizer(PFE). I'll admit, I'm the least sanguine on Pfizer than I am the rest of this portfolio but I believe there is a new cycle of big pharma innovations coming in the next year or two, and Pfizer is likely to be a leader in that process.

Yes, generics are a threat.

Yes, liability issues remain.

And, yes, the company has done nothing in the last two years.

Still, I want to be diversified and I want to be in the medical arena so Pfizer -- and its 4% dividend -- gets another chance.

More than Just Smoke

The final stock for the 2006 portfolio is Altria(MO). We could argue without resolution about the ethos of investing in tobacco. If you don't like it, don't buy it. However, Altria is a moneymaker.

An ever-growing, 4%-plus dividend, strong consumer-based businesses and the ability to monetize its business all add value for Altria shareholders. It's been a core holding in my family portfolio for years and is likely to remain so in years to come.

It's Your Turn

On Christmas Day, I asked you to send your pick for the holiday portfolio. Here's one last chance before we pick the reader's choice before Martin Luther King Day. So, email me your best stock idea, the reason you like the stock, and your name and hometown. I look forward to another holiday adventure in 2006.

Have a safe and prosperous New Year!

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