Washington Mutual Inc. (WM) - BUY

Washington Mutual Inc. (WM) - BUY

Ok, here is my next stock pick. Last one I picked was TZIX and as of today it’s up over $3 per share since I picked it. Today I added this stock to my Roth IRA portfolio, Washington Mutual, Inc. (WM). I know it’s somewhat risky to invest in any type of bank or financial institution at the present state of the economy but I think this is a great pick for the long term investor. Today I purchased shares at $17.50 per share and it closed at $18 per share.
My reason for picking this stock for my portfolio. Last year in January the stock closed at $45.31 per share. It took a huge dive when the sub-prime mortgage problems surfaced. Last summer the stock price slowly started to decline and hit its low in the first part of January of this year at $10.73. I think we have seen the bottom of this stock and it’s already on its way back to the top. I think it’s possible that the stock might dip again in the next couple of months a small amount but I think over the course of the next few years this stock will climb back to the $40 mark.

Washington Mutual also pays good dividends, somewhere in the range of $0.50 per quarter or $2 per year which is about 11% if they continue the dividend this quarter. If you own shares of WM hang on to them if not, BUY!