In the NFL, producing is the only thing that matters. Legacy and sentiment are thrown out the window. In many ways, it is "what have you done for me lately?"
If you are not performing or competing at the highest level in the world, there is another guy right there to take your place. It sounds cold, but at the end of the day, sports is a business and winning puts people in the seats and sells merchandise. If you can't bring it, you may be packing your bags soon.
These decisions are made every day in sports. Take a look at Aaron Rodgers, quarterback of the Green Bay Packers. I cannot imagine coming into a more difficult situation. Rodgers was replacing a legend in Brett Favre after backing him up for a few years.
To make matters worse, Favre's retirement and messy un-retirement and eventual trade to the New York Jets turned up the heat on Rodgers. Brett was no longer walking away into the sunset, handing the torch to his understudy. Instead, he openly disagreed with the organization he was so closely identified with and his situation turned into a big mess.
The Aaron Rodgers era started under difficult circumstances that required tremendous focus by Aaron and the team. The team originally picked Rodgers in the first round of the 2005 draft. In his first seven games, he has thrown 12 touchdowns vs. just 4 interceptions. He has led the team to a 4-3 record heading into week 9.
On Friday, the Packers signed Rodgers to a contract extension through the 2014 season. He's produced so far and was rewarded. However, in football, not all money is guaranteed, so while the length of the contract sounds impressive, the devil is in the details.
How does this parallel with my stock-picking philosophy? That's very simple. I look for performers and have no sentimental ties to any position because of what it has done for me in the past. I look ahead. Where will this stock take me going forward?
Pfizer at a Discount
Today I like
. For the few of you who do not know this company, Pfizer engages in the discovery, development, manufacture and marketing of prescription drugs for people and animals. Some of its best-known drugs are Lipitor for cholesterol, Norvasc for hypertension and Caduet for cardiovascular problems.
This company is trading at a real discount. It closed on Friday at just $17.71, only a few bucks above its 52-week low of $14.31. In the last year, it's down more than 25%. Its forward price-to-earnings ratio is just 7.11. This metric is a measure of investor confidence in a particular stock. This stock is extremely undervalued. It has revenue of $48.87 billion and $26.18 billion in the bank.
Stocks overall have been banged up recently, but it appears some traders see a light at the end of the tunnel. With that said, it's still way too early to make any declarations about a return to normalcy. But a positive turn is always welcome.
Lastly, I like this stock because it should benefit from the strong dollar.
Keep moving the chains!
At the time of publication, Brown had no positions in stocks mentioned, although positions may change at any time.
Tim Brown played 16 seasons in the NFL, where he made nine Pro Bowls. After a brief stint with the Tampa Bay Buccaneers in 2004, Brown retired as an Oakland Raider. He was a Heisman Trophy winner in college for Notre Dame.