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In yesterday’s post, I indicated that if Union Pacific’s<\/span><\/strong><\/a> share price drops to $156.79 that the Railroad Fund would use its excess cash to purchase shares. Well, today at 10:35 AM it did drop to $156.39. Therefore, I used all remaining cash to purchase 8.268268 shares (includes $1 per share cost to make the purchase). If you read my article: Union Pacific – Buy\/Sell Model<\/span><\/strong><\/a> you would understand that I use a 17% price change requirement to buy. With Union Pacific, this occurs about once every three years and it just did, driven by the market scare with coronavirus.<\/span><\/p>\n If you read the value investing principle related to Union Pacific, I will sell this stock when it hits 96.6% of the prior high of $188.96. This means I will sell when the share price rebounds to $182.54. I expect this to happen no later than May of this year (gives time for the market to recover from the virus scare and for the 1st quarter reports to be issued by Union).<\/span><\/p>\n Just for the purposes of making sure readers understand:<\/span><\/p>\n As stated multiple times, the key to value investing is patience. You set the buy sell points based facts including business ratios. You then simply wait and it will happen.\u00a0 ACT ON KNOWLEDGE.<\/strong><\/span><\/p>\n\n