Summary of Return on Investment

The table below is a primary list of stocks that I traded using Warren’s patterns (triangles, horizontal lines, etc.) with the exception of the “Post-Peak Bounce” which is a pattern that I observed in my studies.  The section on the left represents actual trades – the section on the right represents the possible outcomes if I had been more patient (waited longer to sell the stock).   

 

 

All of these ROI numbers can be validated with each of the stock documents shown in the same section on the company website.  Each stock document has a detailed description of the investment and includes original stock charts and copies of the stock purchase and sell transaction receipts.

Note:  The occasional “set random neg” comment on the right side of the table is for use with the plotting algorithm.  In these cases there was no information available regarding the future of that particular stock – so the assumption was that it would have been sold at a loss – no worse than -25%.  The algorithm generates a random value between 0 and -25 and assign it to that stock for the month interval (number of months that the stock was held) given in the table.

 

Plotted Return on Investment Data

The “Return on Investment” – ROI – numbers from the left side of the preceding table, that is, the actual ROIs, are shown graphically below in Figure 1.  The dotted line represents the ROI for an average mutual fund – this is to give perspective over time.  Stock symbols with a dash and then a number represent a particular investment round.  For example, “ANCR – 3” represents the 3rd investment round in ANCR (Ancor Communications).

 

 

Figure 1 – Actual Return on Investment

 

The ROI numbers from the right side of the preceding table, that is, the potential ROIs had I been more patient and held on to these stocks for a longer period of time, are shown graphically below in Figure 2.  These ROI numbers represent peak values or when the company was acquired (for the latter case, the ROI is based on the share price paid for the acquired company). 

Note that only the ROIs up to 500% are shown (because of resolution) – in reality there were several stocks that performed far higher and thus the full resolution is shown in Figure 3.

The dotted line represents the ROI for an average mutual fund – this is to give perspective over time.

 

 

Figure 2 – Potential Return on Investment – Only ROIs Below 500% are Shown

 

 

 

 

 

 

Figure 3 – shown below, shows the same data as the preceding Figure 2 with the exception that all of the ROIs are visible – a couple of which exceed 950%.

The dotted line represents the ROI for an average mutual fund – this is to give perspective over time.

 

 

Figure 3 – Potential Return on Investment – All ROIs are Shown