Today at 2:47 I sold 12/3 of my PG holdings at $63 share.
It’s been about a year since I bought the first 2/3 of my PG holding. On 01/30/09 I bought 1/3 of my PG holding goal at 54.6999, the second third came on 3/26/09 at $48.09. This gives me a 22.7% return in less than a year. That is pretty good for a consumer stock.
I want to accumulate cash, therefore I am selling some stock assist in my goal. Recently it has been reported that Warren Buffett sold a significant amount of PG. I still hold 1/3 of my maximum position in PG and will watch for reasons to sell or buy additional PG.
Buffett’s sales of PG may reflect his view of the current economy. If the recession deepens, consumers may move toward low-priced and private label brands, even for toothpaste and dish soap. If so, P&G has to compete with inexpensive brands they may have to lower prices. That could send their shares down.