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Buy and Hold

Posted on 2/10/11 at 11:06 am
Posted by TigerDeBaiter
Member since Dec 2010
10258 posts
Posted on 2/10/11 at 11:06 am
Is buying MRTand/or RUTH and hanging on to them for a decade or so a decent idea? I don't see these restaurants closing up shop anytime soon. Is it safe to say the will return to their original offerings(once "things turn around", or were they overvalued from the get go?
Posted by Gekko
Costa Rica
Member since Nov 2010
2500 posts
Posted on 2/10/11 at 11:15 am to
A decade? That is too long for me...just my opinion.

A dollar today is worth more than a dollar tomorrow, or in this case, in a decade
This post was edited on 2/10/11 at 11:20 am
Posted by Cdawg
TigerFred's Living Room
Member since Sep 2003
59466 posts
Posted on 2/10/11 at 11:31 am to
Restaurants seem to faddish to me for a long ride. Just my opinion though.
Posted by RedStickBR
Member since Sep 2009
14577 posts
Posted on 2/10/11 at 11:32 am to
I typically avoid two industries altogether:

(1) Airlines

(2) Restaurants

and in that order. The margins associated with each are typically too low to warrant my investment.
Posted by GumboPot
Member since Mar 2009
118733 posts
Posted on 2/10/11 at 11:33 am to
IMO, I would not play these stocks on a buy and hold strategy with a 10 year timeline. Again IMO, in a buy and hold strategy I would expect the companies to very reputable have a solid business model and pay dividends. I love these companies for this strategy: MO, CVX (although a little lofty at the moment), and TLP (good growth company). Please do your own DD.
Posted by tigerhog
1/2 mi so. tiger stadium
Member since Aug 2008
36 posts
Posted on 2/10/11 at 1:00 pm to
buying and holding xom since 1987 has served me very well!!!
This post was edited on 2/10/11 at 2:36 pm
Posted by TigerDeBaiter
Member since Dec 2010
10258 posts
Posted on 2/10/11 at 1:51 pm to
quote:

buying and holding xom since 1987 has serveed me very well!!!


Yeah, I would say 700% is pretty good



As far as the original ?, I guess maybe 10 yrs is too long.. but I still think they will eventually go up once the luxury market comes back
Posted by The_Pistol
Member since Dec 2003
2519 posts
Posted on 2/10/11 at 1:56 pm to
quote:

buying and holding xom since 1987 has serveed me very well!!!


Remember: other than dividends, it hasn't served you at all until you sell...or use it as leverage.
Posted by tigerhog
1/2 mi so. tiger stadium
Member since Aug 2008
36 posts
Posted on 2/10/11 at 2:43 pm to
Well, I let it leverage my brains thought process to the point i retired at 56. lol
Posted by Zach
Gizmonic Institute
Member since May 2005
112438 posts
Posted on 2/10/11 at 4:09 pm to
If you want to do buy and hold get a bigger company that you cannot conceive of going out of business in twenty years.

I did this 20 years ago with Chevron and Proctor/Gamble. I also did DRIPS instead of getting dividend checks. It's worked very well with almost no risk.
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