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Posts from the ‘RPX Corp (RPXC)’ Category

Week 76: A Few New Directions

Portfolio Performance

week-76-performance

Update: New Positions and My Method

I added starter positions in a few new names in the last three weeks. A couple of these (RPX Corp and Mitek) I have already written about. The other four positions that I started were in YRC Worldwide, AIG, Alon Energy Partner and Nexen.

Apart from Nexen, which was a special situation, the other stock positions are small, and were initiated because I thought the stocks warranted further review. This is my process. I like to add stocks that look promising, which incentivizes me to look at them closer. This technique might not be for everyone, but it works for me.

It’s difficult to explain why the process works for me. When I have some money on the line I tend to churn the idea in the back of my mind, and over time my opinion on the position becomes clarified. I begin to like it more or not at all. If I don’t take a position, I tend to forget about the stock altogether, and my analysis ends without any real conclusion.

Of course in the mean time I do have money on the line, so there is the chance for real gains or losses. But usually these aren’t significant, and anyways, I only do this with names that I have done some initial digging on and have deemed have som promise. I may lose a few dollar or make a few dollars on these positions over time, but any losses I would chalk up to the cost of doing business.

I have since taken a closer look at three of the six. Read more

Stocks I’m looking at: RPX Corp

I came across this idea from the Joel Greenblatt’s Magic Formula investing website.  The website is a take off of the book he wrote, “The Little Book that beats the Market”.  The website basically allows you to sign up for free and access a stock screen of the top 50 stocks based on the formula described in the book.

I’ve had some luck finding stocks from this screen in the past.  Argan Inc (AGX) and Furiex Pharmaceuticals (FURX) are two stocks that I have done well on.  The screen tends to dig up companies in obscure businesses that I would otherwise ignore.  RPX Corp is no different.

RPX is in a business that I didn’t even know existed.  In fact, I’m not even sure it did exist before RPX.

RPX buys patents.  Then it sells memberships  to companies that allow them to use the patents that RPX has in their portfolio. Read more