Adding New Positions to My Boring Portfolio as Buy Zones Emerge
I just added 1 new position and increased 4 existing ones
As the AI narrative gains momentum once again, boring stocks are naturally coming under pressure. For long-term investors, that is excellent news. It creates an opportunity to deploy fresh capital using the Quality Stocks Investment Framework: identifying high-quality businesses, assessing potential returns and progressively buying within attractive valuation zones.
Today, I a’m adding to every position (4) in my portfolio and initiating a 5th one, a company that would have been considered exciting just a few years ago, but is now firmly sitting in the boring category. And that is precisely what makes it interesting today.
The new position
You cannot run a multinational supply chain, manage a global workforce or close the books for a Fortune 500 company without this company. What they do is the definition of unglamorous and a nightmare for so many people.
While the surface metrics often hide the true quality of the business, we are now at the inflection point where heavy R&D spending is peaking and high-margin recurring revenue is scaling. Trading at a reasonable price (maybe not a huge discount), it offers the exact defensive growth profile my Boring Portfolio demands.
Currently sitting just a few percentage points above my optimal buy zone, I am initiating a position today and will scale in progressively as the market slowly realizes that AI won’t kill it.
Transparency
Whenever I make a move in the portfolio, I publish an article to explain the decision and allow readers to follow the portfolio transparently over time. The objective is not to highlight short-term results, but to make the investment decision process explicit.
These updates serve several purposes:
Full transparency on portfolio actions and positioning
Sharing the investment thesis and decision logic, including how the Quality Stocks score and Investment Framework inform buy, sell, trim or add decisions
Highlighting successful decisions to generate new investment ideas
Discussing mistakes openly, so lessons can be shared and incorporated into future decisions
By documenting both successes and errors, the goal is to reinforce discipline, improve judgment and treat investing as a continuous learning process.
The portfolios
While my core Quality Framework (profitability, capital efficiency, strong business model and recurring revenue) remains the DNA of every stock I pick, I categorize my selections into 3 distinct portfolios. This allows you to tailor your exposure based on your own risk tolerance and time horizon.
The large-cap portfolio
The goal. Compounding through global dominance
The assets. High-quality Blue Chips with massive market caps (typically above $10B). These are household names with established with unassailable competitive advantages
The strategy. The core of my strategy is simple: buy world-class businesses on sale. I target market leaders with high returns on capital exactly when the market is distracted by short-term noise. This GARP-focused entry point allows us to build positions in quality stocks without paying the hype premium
Example. Microsoft
The small-cap portfolio
The goal. Finding the Titans of Tomorrow early with potential 10-baggers
The assets. Quality businesses with smaller market caps (typically under $2B but at least under $10B) that are often ignored by institutional analysts
The strategy. The goal is to find stocks with a potential TSR around 20%. High volatility but high reward. Because these companies are smaller, they have a much longer runway for growth, some of them will be 10-baggers. I want to find stocks with increasing margin & growing market share
Example. Transmedics
The boring portfolio
The goal. Investing in resilient, decades-long business models with structural stability. This sleep-well approach allows us to ignore market noise and let the power of compounding do the heavy lifting
The assets. Quiet compounders that operate in unglamorous, non-cyclical industries. These companies provide essential products or services that people buy regardless of the economy
The strategy. While many boring companies are burdened by heavy debt and lower ROIC due to their massive physical assets, my goal is to find the high-performance exceptions. I focus on business models fueled by long-term structural tailwinds. To gain an extra edge, I overlay this fundamental research with insider buy tracking, following the smart money
Example. Waste Management
Unlock the full report to access:
The ticker. The name of my new position and the investment thesis
The Quality Stock Investment Framework. The score (growth, quality, valuation), my specific buy zone, fair price and the expected Total Shareholder Return (TSR) over the coming years
Additional moves I made in my portfolios
