TrackCAPSDogs (< 20)

CAPS Dogs Still Barking Up the Wrong Tree

February 29, 2012 – Comments (0) | RELATED TICKERS: PFE , INTC , T

We've begun tracking how the stocks picked by the article series Dogs of the CAPS performs real-time here on CAPS.

Over the past five years, picking Dow Dogs that conformed to the old Foolish Four strategy and were rated 3-stars or better on CAPS has handily outperformed the FF, the DD, the DJIA, and the S&P 500. 

So how are our Dogs doing? Two months into our experiment the overall average has turned positive but we're still trailing the market, which has performed even better despite all reason to the contrary (we are dogging the Dow Dogs though). Still, it's early innings yet and we've got most of the year to go. Here are our results thus far:

January Dogs 

General Electric (NYSE: GE): Starting Price: $17.91  -End Price: $19.05 +6.37%
Pfizer (NYSE: PFE): $21.64 - $21.13 -2.36%
Intel (Nasdaq: INTC): $24.25 - $26.88 +10.85%
AT&T (NYSE: T): $30.24 - $30.59 +1.16%
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Average Return: +4.01%
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DJIA: 12,217.56 - 12,952.07 +6.01%
S&P 500: 1257.60 - 1365.68 +8.59%

Dow Dogs: +2.6%

February Dogs

GE: Starting Price: $18.71 - End Price: $19.05 +1.82%
PFE: $21.40 - $21.13 -1.26%
INTC: $26.42 - $26.88 +1.74%
T: $29.41 - $30.59 +4.01%
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Average Return: +1.58%
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DJIA: 12,632.91 - 12,952.07 +2.53%
S&P 500: 1312.41 - 1365.68 +4.06%

Each month I'll update the list of stocks that would be tracked by the strategy and we'll follow them here on this blog each month.

The March CAPS Dogs are the same as we saw in January and February (changes, when they come, are at a glacial pace) so there won't be any changes to the list, but we'll update the prices and follow them for a year and a day. 

It shouldn't really matter when an investor starts the strategy, though some have suggested there's a "January effect" that helps the strategy, but we'll be able to prove (or disprove) that by keeping tabs on those stocks that fall off  the list and those that are added.

Here then is March's CAPS Dogs with their new starting prices: 

GE: $19.05 4-Stars
PFE: $21.13 4-Stars
INTC: $26.88 5-Stars
T: $30.59 3-Stars

DJIA: 12,952.07
S&P 500: 1365.68

Here's to having a dog in the race!

Rich