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- Extraordinary Companies portfolio is up 82%
Dear Investors,
Happy New Year!
Oops! I may have just triggered the New Years’ Police.
Those are people who don’t like getting New Years wishes after the second week of January.
Since its February, they are going to be highly triggered.
Perhaps we can appease them with some high returns?
Extraordinary Companies portfolio performance
Portfolio changes
Conclusion
Happy New Year!
Portfolio Performance
Good news, the portfolio is doing well.
Here is the latest 3-year performance:
Extraordinary Companies: 22.01% (per annum)
World Index: 19.41% (per annum)
Although it is nice to be ahead, getting 19% with the index is still exceptional. Both these returns are significantly ahead of the long-term averages.
Don’t get used to this easy money. When stock prices grow aggressively, future returns can be muted.
But that is also no reason to sell everything and hide your money under the mattress. The best thing to do is to stay invested in great companies, purchased at reasonable prices and wait for opportunities.
Extraordinary Companies 3-year performance
Portfolio Changes
Here is the whole portfolio, along with key ratios for each company and the World Index.
Extraordinary Companies ratios
Wait a second. There’s only 9 stocks in the portfolio. Something is missing.
The missing is stock is my old heart breaker - Novo Nordisk.
I wanted to keep Novo forever, but much like a bad girlfriend, it kept breaking my heart and making me poorer, so I broke things off.
When I sold the stock, I knew it was not Novo’s fault, it was mine. I hung on too long. We had problems for over a year. I kept hoping it would get better but it didn’t.
Eventually, I sold the stock in early December 2025.
What happened next?
Novo went up 25%.
I’m not kidding. From the day I sold the stock till the end of January it was up 25%.
(Me rolling my eyes at the stock market 🙄)
The stock price always goes up after I sell (or down after I buy). Don’t feel bad if it happens to you. It happens to everyone.
But this good performance by Novo ended in February. For this month it is down 20%. Back to it’s old heart-breaking ways.
Conclusion
What’s next for me?
Well, I’ll have to find a new stock and move on with my life.
Actually, I’ve been seeing a lot of adverts for Novo. They recently released their weight loss drug (Wegovy) in tablet form. That’s potentially a game changer. Until now, it was only available as an injectable. Tablet form makes the product much more accessible.
That could be good for the stock price…. maybe I should call and see how Novo is doing?
No, no! I’m over it.
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