Exited $BSET with 26.25% Gain in 3 Months

Bassett (BSET) has been another great performing stock that I purchased in January 2012 at $8.04/share. On Friday I decided to exit the holding and completed my sale at $10.19/share. This represents a 26.25% gain in less than 3 months that I held this stock. Please note that the gains are inclusive of commissions paid and do not include the dividends earned.

BSET is a furniture maker that has extraordinarily strong balance sheet with significant cash. The company has been trying to rid off the cash by returning it to the shareholders in form of dividends and stock buybacks. As a result, the stock has performed well for the last few months.

I would have continued to hold the stock for further appreciation, were it not for the fact that another much more compelling value showed up which I could not pass up. This last week has been unusually busy for the portfolio with sale of FLXS (another furniture company) and purchase of another new stock which is trying has to find use for its stack of cash :-)

I should make a couple more new investments in the next two weeks and I have the stock picks lined up. Unless further opportunity arises (which one has to be prepared for), the portfolio should be relatively calm going forward.

Finally, a big Thanks to the premium member who put BSET on my radar! I love the exchange of ideas as it benefits us all.

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