The Year Begins With Four

By Dian Vujovich

There are 2010 market optimists, pessimists, middle-of-the-roader’s and those who look only at the numbers and don’t say much either way. Would they be the realists? Or could they be the boring ole bean counter types. You know, those who seem to be dull as all get out but in some ways see more than most.

I guess that bean counter title is probably the most appropriate for my little market watch experiment. Maybe not. All I know for sure is since I started watching the really cheap stocks included in the Dow Jones Industrial Average last year the per-share prices on those remaining are higher now than there were when I last looked in December 2009.

Sure wish I’d had the guts to invest in all of them at the beginning. But the reasons why I didn’t are a subject of another blog on another day.

That said, 2009 is over. It’s history. It’s a new year with a new beginning and we’re all working off of a clean investment slate.

And so this year my kind of mid-month watching of the 30 stocks that make up the DJIA begins with four stocks trading under $20 a share. While Intel’s per price share is above that price point now closing Friday, January 15, 2010 at $20.80, perhaps it will stay off the cheapo list. But who knows.

The four remaining stocks selling under $20 a share at the market’s close on 1/15/10 are familiar. They include: Alcoa (AA) at $15.63; Bank of America (BAC) at $16.26; General Electric (GE) at 16.44; and Pfizer (PFE) at 19.49.

Buy 1 share of each, sans commissions, and the investment would cost $67.82 based upon those closing prices. Purchase 1 share of each of the DJIA stocks and you’ll need $1403.86, plus commissions of course and again, Friday’s closing price.

IBM continues to be the most expensive stock in the group at $131.78 when the DJIA closed on Friday at 10,609.65

I don’t know what this year will bring for investors but I do know that the race has just begun. Hope 2010 is financially fruitful for you.