07-14-2016, 10:13 AM
(07-01-2016, 12:38 PM)navyasw02 Wrote: Looking for ideas of things to buy in my taxable account and trying not to double up on things I already own in my Roth. Some sectors are hurting more than others, I'd appreciate any good recommendations. I occasionally do a stock sector analysis through Fidelity and it compares against the sector allocation in Dow Jones Total Market Index. I'm not a strict follower, but try to diversify a bit and this gives me ideas
1. Energy - no energy stocks at all in my taxable account. I currently have XOM and CVX in my Roth. I'm thinking PSX, OXY, maybe COP?
2. Utilities - no utilities stocks. I have SO and ED in my roth. This sector looks very overpriced right now. I'm tracking D, DUK, WTR, AWR, and WEC, all close to 52 week highs
3. Communications - None in taxable, T and VZ in Roth
4. Health Care - MRK and GILD in taxable, ABBV and JNJ in Roth. Thinking AMGN, maybe UNH or MDT?
Sorry, I remember seeing this question and thinking of some names but was short on time so didn't post anything.
Here are a few ideas, for what they are worth.
1. Energy: I'm not big on refiners, but I would probably take PSX if I had to pick one. I also like your OXY pick and think XOM is worth a look at a 3.2% yield. If you want growth potential, I think EOG is one of the best independents, although the yield is low.
2. Utilities: Unless you are buying them strictly for income and have no concerns about capital gains, I would not recommend utilities at current prices. If I absolutely had to pick some, D, DUK, and SO are the only ones on my watch list that I am projecting >5% annual returns on over the next 5 years.
3. Communications: Tough to go wrong with T and VZ.
4. Health Care: From my watch list ABC, ABBV, AMGN, ANTM, CAH, GILD and UNH look reasonably valued. I would throw in CVS as well, although they are technically a consumer staple. Also, PFE has a nice 3.3% yield and decent growth if you are looking for income.