Dogs of the Dow - Worst performing Dow stocks

Company Name                            Ticker    Recent Price       12Month

                                                                                                               % Price Change

GENERAL ELECTRIC CO                    GE            14.07                     -51.815

PROCTER & GAMBLE CO                   PG            71.98                     -16.738

INTL BUSINESS MACHINES           IBM         143.22                      -9.953

MERCK & CO                                       MRK           57.38                      -9.467

DISNEY (WALT) CO                            DIS          102.48                      -7.817

EXXON MOBIL CORP                       XOM           77.74                       -4.777

COCA-COLA CO                                      KO           42.14                       -3.481

JOHNSON & JOHNSON                    JNJ          123.59                      -0.290

UNITED TECHNOLOGIES               UTX         120.89                      -0.091

3M CO                                                  MMM        200.26                       0.376

These are the worst 10 performing Dow stocks over the past 12 months.

Remember the Dogs of the Dow theory learns from behavioral economics to suggest people over correct when they see stocks doing better or worse then average i.e. they behave differently then an efficient market would dictate. There seems to be some evidence that buying the dogs of the Dow, holding them for 12 months, and then selling them delivers market out performance.

So lets test this out. May as well start with the doggiest dog. Over the next few days I am going to do some research into GE and will probably buy some. I will share my research with you once I have made the purchase. 

Warning:  

This post does not take into account your particular investment objectives, financial situation or needs and is not intended as recommendations appropriate for you. You must make an independent decision regarding investments or strategies mentioned in this post. Before acting on information in this post, you should consider whether it is suitable for your particular circumstances and strongly consider seeking advice from your own financial or investment adviser.