Uncle Warren Picks a Dud Torchmark Corporation

A big reason why Torchmark stinks is that it’s overpriced. This is a company that reported revenues of $3.679 billion and a net income of $540.8 million on June 30, 2016 yet it was trading at $62.04 a share on August 16, 2016. Okay to be fair one of the companies ycharts listed as its direct competitor American Equity Investments (NYSE: AEL) reported a net income of $100.95 million on the same day.

Read more

United Health Group – The Value in Health Insurance

Beyond the existential reasons, UnitedHealth is just a good basic stock. It gave investors a dividend yield of 1.51% and a return on equity of 18.71% on September 30. In contrast, Amazon paid no dividend and offered investors a return on equity of 2.92% on a stock that was trading at $657.02 a share on November 10, 2015.

Read more