greetings to all! May has passed, and I continue to invest according to my strategy of regularly buying stocks once a month. Today I'll tell you about, what shares I bought at the end of May and will provide a justification for each transaction.
Buying a share on IIS
May in the stock markets was as hot as the weather in central Russia. Despite, that according to statistics, this month is not the best for investing not only in Russia, but all over the world, reality turned out to be reversed.
The Moscow Exchange Index added in May 5,01%, setting a new monthly high at the level 3721,63 item. Such a feeling, what the more they say about a possible correction, the higher the markets grow.
But I don't invest based on market predictions, i'm not trying to do that, which is impossible. Everything, what i do - invest regularly, wherever the market goes. If the market rises, then I invest the minimum 10 thousand. rub. If the market falls, then I increase the amount: Every 5% market falls add +10 thousand. rub. to the amount of investment.
This time the market, as in the previous 6 Months, does not allow to increase the amount of investment, leaving only 10 thousand. rub. The last significant drop was in October 2020 and then I invested 30 thousand. rub. I'm waiting for the moment, when the markets start to fall by 50-70% J
so, everything is growing, everything dear. What did I choose this time in such conditions and why:
1. Tatneft
More than a month has passed since Tatneft shares collapsed on news of low dividends. Since then, the shares have remained at the local bottom., although the economic situation is changing for the better. Oil price may soon reach highs in many years, the government is discussing the possibility of granting privileges for the production of extra-viscous oil and, in terms of financial indicators, Tatneft has overcome the crisis better than all major oil companies 2020 year. Considering all this, the company looks attractive to purchase, and i buy it 2 month in a row.
2. X5 Retail Group
The company has been in a downtrend since autumn, and I started buying it in February this year. Since then I buy every month, because. the price is getting lower and lower. This time, the low price was due to the dividend cutoff just a couple of days before my purchases on IIS. Considering, that inflation is increasing, buying the leader of Russian retail will not hurt, especially since almost all competitors X5 are growing.
3. Unipro
We expect stable dividend payments for this company, therefore, with a growing market at the highs, when there is nothing to buy, Unipro shares fill this gap. Recently put into operation 3 block of Berezovskaya GRES, which will increase profits and revenue. Also increased dividends, although not to the same extent, as investors expected. Among the minuses - the end of the CDA for Shaturskaya and Yaivinskaya GRES, ie. increased payments for the capacity of these projects are ending.
4. Bashneft
Yes, yes, a company with a lot of risks, without dividends with dependence on Rosneft. Despite all this, I decided to average my position in this company, counting on the recovery of the energy market. First of all, it is necessary to increase quotas under the OPEC + agreements, so that the production level of Bashneft is restored to its previous values, and with it the profit with dividends. Think, The hysteria around the pandemic must someday subside, which will increase transport activity in the world and the demand for hydrocarbons.
It is getting harder and harder to choose stocks in a wildly growing market. Often you have to repeat some purchases due to the lack of alternative options. This time the purchase amount was 10 059,4 rub. The total invested capital on IIS becomes 393 592 rub. Is the initial value of the shares on IIS.
