When I identified my core positions recently I identified that Shaw was not one of them. I decided to sell Shaw and buy a bank. Bank of Montreal (BMO.TO) has a stung IRR and a great yield (over 5%).
- SELL Shaw @ $19.50 (filled)
- BUY BMO @ $52.50 (order did not fill, expired)
Writing today, 6th July, this looks like a so-so trade. Shaw closed today at $19.57. During the past month to stock was down as much as 50c (2.5%) but it has recovered recently. I still don’t like Shaw’s business (the cable content business is dead, making them a pipe-owning utility). I’m declaring this a good call.
My BMO order expired. Today BMO is at $57 mostly on improved confident the Europe is getting its act together to solve its bank and sovereign debt problems.