As FY21 draws to a close I’m reflecting on some of my best investments of the past 12 months. Here are the top three shares bought in the previous 12 months:
- Nordstrom (B $12.19, Current $36.42, gain = 199%)
Nordstrom (American luxury department store chain) I bought around October 2020 as a rebound play post CV-19. The stock had been smashed but still hadn’t recovered by much even in October (over six months since the market bottomed). My thanks to a YouTube channel I watch for putting me onto this one as being a US-based stock, I’m not as closely across the trends over there. Sometimes copying smart people can pay dividends.
2. ANZ Bank (B $17.77, Current $28.28, gain = 59% + dividends)
ANZ I bought in September 2020 to build out a smaller position I had started during the crash. Like Nordstrom, it was clear by September that the company’s business (loosely the Australian property market) would be fine. It was clear there would be no meltdown in the property market at this point, yet the company was still heavily sold off. ANZ recently paid a 70c dividend, almost an 8% yield on that purchase price.
3. NIC (B $0.6, current = $0.995, gain = 66% + dividends)
This one’s a bit messy as I bought Nickel Mines a bunch of times over the past year, most of which was in the 60-70c range, but I have bought some recently which is currently marginally down. NIC is a nickel producer based in Indonesia. The financials of the company look compelling if nickel prices hold or move higher. The nickel sold is an input into stainless steel production in China, though the company is looking at diversifying to produce Nickel Matte that can be used in the Electrical Vehicle (EV) industry. The company has also started paying a dividend, with the last semi-annual payment rising to 2cps. This is a relatively high dividend yield (~4%) for a nascent company indicating the positive economics of the business currently.
There have been a range of smaller winners and thankfully no major losers over the last year. Something I’ve been focusing on for a while is cutting down on giving the market ‘easy money’. I try and focus on investments where I see it as unlikely I’ll lose money. That is, only invest on high conviction trades and let the rest go. Patience.
Here’s to kicking ass in FY22!