A diary of the thought process behind my investment decisions
I sold Exelon at a loss. I took a harder look at the stock over the weekend and realized that I missed something. Namely, that free cash flow will fall off a cliff starting in 2010. I only buy into companies with strong free cash flow. I had assumed that because earnings and free cash flow were roughly equal for the past 5 years that would remain the case. I was mistaken and I should have noticed this earlier. I am taking my lumps.