WMT liquidation

August 27, 2008

I liquidated WMT today at $59.08, for a gain of 25%. When I bought this position about a year ago, I felt that its overseas operations, which make up more than 20% of revenue now, was being under-valued, and that a potential recession could boost its domestic market share. Also, Joel Greenblatt’s huge position in this stock was a major factor in my decision. Still, at today’s prices, and with a 1.60% dividend yield, I felt that my cash can be better deployed in other excellent companies which sport much higher dividends.

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Walmart: The High Cost Of Low Prices
Read more on Wal-Mart, Liquidation at Wikinvest

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