Our Best-Performing Portfolio

Written By Alexander Boulden

Posted March 25, 2024

Dear Reader,

I want to give you something special today.

A sneak peek at the best-performing portfolio this year.

First, a little back story…

Late last year, our president and founder, Brian Hicks, spotted something extraordinary in the stock market that no one else saw.

He was pounding the table that the market was setting up perfectly for a generational wealth-building opportunity.

He was so strong in his conviction that he decided to come out of retirement and build an entirely new movement.

He calls it R.I.C.H. Report

That’s… Retired. Independent. Carefree. Healthy.

With the help of yours truly, Brian has turned that dream into a reality.

Because that’s how we want to live.

And it’s at the core of every publication of R.I.C.H. Report.

The main perk for our members is, of course, direct access to our Power Passive Income Portfolio.

It’s designed as a set-it-and-forget-it portfolio, one that will generate enough dividends to retire carefree.

So here’s the deal…

I’m going to give you three picks from our portfolio.

But if you continue reading, you’ve got to do us a solid.

Sign up for a risk-free trial of R.I.C.H. Report.

You’ve got nothing to lose and everything to gain.

Now, let’s get into why our portfolio has been on an absolute tear.

The stocks in our Passive Power Income Portfolio have been getting a lot of coverage in the media.

An article from Yahoo Finance covered our oil and gas company MPLX (NYSE: MPLX) as a stock primed for a dividend hike:

MPLX has increased its distribution every year since its formation in 2012. The master limited partnership (MLP) has hiked its payout by 10% in each of the last two years. That’s impressive, considering its monster yield of 8.4%. 

That big-time payout is on an extremely firm foundation. MPLX generated enough cash to cover it by a comfy 1.6 times last year. That enabled it to retain all the money needed to fund its expansion projects with over $800 million to spare. It used that excess cash to make an opportunistic acquisition (it bought the remaining 40% interest in a gathering and processing joint venture for $270 million in December) and strengthen its already fortress-like balance sheet. MPLX ended the year with $1 billion in cash and a low 3.3 times leverage ratio (well below the 4.0 times its stable cash flow could support). 

The company’s cash flow is growing at a solid clip (more than 7% last year), fueled by organic expansion projects. It expects to complete several this year, which, along with last year’s acquisition, will give it more cash to grow its payout. Add its growing cash flow to its robust financial capacity, and the MLP could easily hike its payout by another 10% this year.

And just today, Reuters reported, “Pipeline operator Summit Midstream Partners said on Friday it would sell its Utica assets to a unit of midstream energy company MPLX LP for about $625 million in cash.” We like to see MPLX making strategic investments to widen its moat. 

We’re up nearly 11% on our position, as of this writing. It remains a “Buy.”

Carmaker Stellantis (NYSE: STLA) has also been in the news after its recent stock purchases. InvestorPlace reported last week that Stellantis bought 3.6 million shares of eVTOL company Archer Aviation, an investment of $15.63 million.

Now, if you’re not familiar with Archer or eVTOLs, you’re in for a treat. EVTOL stands for electric vertical takeoff and landing. Yes, electric planes. Well, it’s a bit like combining a helicopter and airplane. This is a space worth keeping your eye on. But why is Stellantis buying up shares? Well, maybe this is the future of air travel. And maybe that investment will balloon in the near future.

In other Stellantis news, a lot of EV companies, including Fisker, have been halting production because of terrible numbers.

This comes from Reuters this week:

Fisker said on Monday it will pause production of its electric vehicles for six weeks, adding that the company has entered into a financing commitment with an investor to sell up to $166.7 million in senior secured convertible notes.

The EV startup added that none of its Ocean SUVs were produced in January and its manufacturing partner Magna made about 1,000 vehicles between Feb. 1 and March 15.

Fisker has hired restructuring advisers to assist with a possible bankruptcy filing, The Wall Street Journal reported last week, citing people familiar with the matter.

Since we got into Stellantis, we’re up nearly 50% in just a few short months! It remains a “Buy.”

Finally, our legal marijuana real estate investment trust Innovative Industrial Properties (NYSE: IIPR) hit a high of $105 this week. We’re up over 15% on the underlying stock and we haven’t even gotten our dividends yet! As the company pays nearly $2 a share quarterly, this is a cash-generating monster. Even at these valuations, we still think it’s cheap and has more room to run. It remains a strong “Buy.”

Congratulations to everyone on board with our stock picks.

Since you’ve made it this far, click here to unlock access to the entire portfolio.

You won’t be disappointed…

Stay frosty,

Alexander Boulden
Editor, Wealth Daily

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After Alexander’s passion for economics and investing drew him to one of the largest financial publishers in the world, where he rubbed elbows with former Chicago Board Options Exchange floor traders, Wall Street hedge fund managers, and International Monetary Fund analysts, he decided to take up the pen and guide others through this new age of investing.

Alexander is the investment director of Insider Stakeout — a weekly investment advisory service dedicated to tracking the smartest money on the planet so that his readers can achieve life-altering, market-beating returns. He also serves at the managing editor for R.I.C.H. Report, a comprehensive service that uses the highest-quality investment research and strategies that guides its members in growing their wealth on top of preserving it.

Check out his editor’s page here.

Want to hear more from Alexander? Sign up to receive emails directly from him ranging from market commentaries to opportunities that he has his eye on. 

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