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  • Learn Your Strengths / Weaknesses, And Get Better Returns [View article]
    Income Surfer, excellent article. I think it took just as much work figuring out myself as it did my investment strategy. Thanks for writing.
    Mar 6 11:14 AM | 1 Like Like |Link to Comment
  • Buying A Dip In A Dividend Growth Stock [View article]
    Mr. Meeks, excellent points brought up. The time value of that cash sitting idle sometimes negates any "bargain" from buying on a dip.

    While the cash is sitting and earning less than 1%, the price of gas could have gone up 1%, orange juice 3%, the cable bill 2%, etc. Compound this over a few years and the dip may not help.

    I'm not saying put the money to work in something you (figuratively) feel is not of value, however you determine it, but when the cash is there and something is at a fair value, why not at least put part of the cash to work and starting the compounding process.

    Of course everyone wants a steal. What happened in 2008 to 2010 offered that opportunity but how often does that come around? It could be 1 year, 5 years or (for a bargain of that magnitude) we may have to wait 10-20 years. Your time horizon needs to be taken into account.

    It is nice, though, if when you've accumulated enough cash for the next investment it coincides with that break in the market. Buy the fairly valued assets on that dip.

    Thanks for writing it.
    Feb 22 10:08 AM | 1 Like Like |Link to Comment
  • 8 Big Name Stocks Raising Dividends And Expectations [View article]
    Dr. LouX, I agree. ABBV's HepC drug looks very promising but they'll also face competition with GILD & ENTA and also with the few current effective treatments available. It's not like they'll own the market.

    Humira, the big money maker now, goes off-patent in 2 years. Most all their other drugs, including the cholesterol treatments, are already off-patent. So, for now, Humira is carrying the majority of the load for the R&D budget.

    That being said, the HepC should help and they have somewhere around 15-20 drugs in various trials stages including treatments for Alzheimer's, Parkinson's & Multiple Sclerosis -- all have touched family and close friends -- so their future appears bright. But, as I inferred, it's a long road between trials and market success. We'll see.

    I'm long ABBV and intending to stay that way as long as things progress.
    Feb 22 09:44 AM | 1 Like Like |Link to Comment
  • 8 Big Name Stocks Raising Dividends And Expectations [View article]
    D4L, thanks for the update. I missed the ABBV increase. Not great but a good start as a separate entity from ABT. We'll see how their pipeline matures.
    Feb 22 12:49 AM | 1 Like Like |Link to Comment
  • A Young Investor's Portfolio - 2013 Review [View article]
    Mr. Sorensen, I can see another early retiree in the making. Seems to be a good core portfolio. I hope I can get my son to do something similar as he approaches your age.
    Feb 16 09:56 AM | 1 Like Like |Link to Comment
  • 5 Quality Dividend Payers I Bought On The Dip [View article]
    DGI, good article. With my buys and a few dividend reinvestments during the dip, I've already increased my annual dividend income by about 2.5% and it's only February. Sometimes this volatility can be your friend. Thanks for the article.
    Feb 13 08:46 AM | 1 Like Like |Link to Comment
  • Helmerich & Payne: Drill, Baby, Drill, For Growth And Dividends [View article]
    Mr. Jaime, excellent article covering the salient points about HP's operations. To that I would add that HP has an over 40 year dividend growth streak.

    The last 2 outsized dividend increases coupled with the growing market penetration and the surprisingly low debt and low dividend payout ratio signaled to me that management is doing well by the shareholders while maintaining the business in a healthy position. The almost-3% yield offers a terrific entry point even though, like you, I'd prefer it closer to $80 than $90. The "contract before build" concept does much to ameliorate the risks of adding rigs to the fleet.

    Thanks for the excellent article. Long HP.
    Feb 13 08:31 AM | Likes Like |Link to Comment
  • Buying On The Dip, A Strategy [View article]
    Mr. Johnson, a nice article discussing things to consider when thinking of buying on the dips.

    I'm still a little confused on the RSI indicator. I looked at quite a few price & RSI graphs and it seems to me RSI just follows the stock price movement which, to me, seems to be as it should. Is the passing below the RSI=20 mark the signal you look for to signify an opportune purchasing opportunity? I'm having a hard time reconciling RSI (as well as MACD) as good indicators as I usually just look at valuation.

    Thanks for writing the informative article.
    Feb 12 08:30 AM | Likes Like |Link to Comment
  • What Happens To Dividend Growth Investing When Inflation Hits 10% [View article]
    Well said, Mr. Leibowitz. GMTA. ;-O
    Feb 6 11:19 AM | 1 Like Like |Link to Comment
  • What Happens To Dividend Growth Investing When Inflation Hits 10% [View article]
    "It requires some more elaboration. Nor did they have a stellar dividend streak of 50 years.
    It is good that he admits that this sample is too small to be statistically significant. In fact, it is perhaps even worse than that. It suffers from "survival bias".
    Hindsight is always 20-20, and these are good ones to make his point.
    But, many people would have likely had shares in GM, Kodak, U. S. Steel, Bethlehem Steel, etc.
    If one is lucky (picks the right stocks) and/or is very diligent at selling at the first sign of trouble (and that would have been about once a year for each of these stocks during said period), then perhaps this is more instructive than I imagine it to be."
    Just think back to 1976. No one, and I do mean no one on this site would have bought MCD, because the company had a 1 year dividend growth streak. It wouldn't qualify. The others would have only been a few years, at best.
    Yes, knowing now, what we know about these exemplary companies, we all would have been a lot smarter to have bought them then and held them thru today. I know I would have been much better off. Yes, I lived through this period and lost and made and lost again, plenty of money."

    Good points, SM, except for one quibble, which I'll mention in a minute.

    There were lots of dividend payers back then. To your list I'll add some other well-established companies at the time -- 3M, General Mills (which has never cut its dividend since it started paying in the early 1900s), AT&T, plenty of utilities, Kraft and Hershey for starters. Add to that many companies that did not survive to today but did operate, and maybe thrived, during that period. That doesn't mean holding stocks and collecting dividends would not have been beneficial at the time. EK didn't really run into trouble until the late 1980s to the 90s. I'll admit, the big 3 automakers did run into trouble with Datsun and Toyota entering the market. Would a knowlegable person held those at the time? I don't know.

    No one would have bought MCD? I don't know. I noticed the MCD marquee at all their restaurants. I was a teen at the time and we frequented McDonald's in a busy work week. Even I noticed the "1 Million Served" slogan and its ever increasing numbers throughout my teen years. Peter Lynch talked about watching what's going on around you when he talked about his L'Eggs 10-bagger.

    Additionally, Modern Portfolio Theory was just becoming popular at the time and prior to that, if you research some older investment "theories", buy & hold and collecting the dividends was still pretty popular. Even Graham espoused as much in his seminal works. Add in the high cost commissions at the time and I don't think the retail investor was apt to be a trader.

    All this is academic since no one seems to have the relevant data available on the Internet with which to cull the numbers except in the aggregate for the most part. I searched for an hour last night and came up blank.

    "The best one can glean from this article is that we must stay with stocks that survived the period of 1974-1984, and those pickings are pretty slim."

    Given all that, I took from Mr. Herring's article -- that investing in well-chosen dividend-paying companies and monitoring them can ameliorate some, if not most, of the damage from inflation which was the gist of my comment to him. The charge of "survivor bias" is misleading at best when his point was not to invest in the specific companies he mentioned but those like them.
    Feb 6 09:53 AM | 3 Likes Like |Link to Comment
  • Why I Bought Unilever This Morning [View article]
    Unilever sold Skippy to Hormel in January but they do have lots of stuff on our shelves too. Hellmann's mayo is the only kind my wife buys.
    Feb 5 05:00 PM | Likes Like |Link to Comment
  • What Happens To Dividend Growth Investing When Inflation Hits 10% [View article]
    6228371, I believe some, if not most, of Mr. Herring's examples were not in the Dow 30 at the time.

    Some of those "70%" markets don't have the financial transparency and reporting requirements we have in the U.S. and in selected other developed countries.

    Additionally, many of the U.S. multinationals already derive a significant portion of their sales from outside the United States.

    Lastly, you're exposing yourself to currency risk which, in a high inflation environment, can be very volatile.

    I don't understand your constant harping about this. Perhaps you could write an article about how those Argentinian and Zimbabwean stocks are holding up for you.
    Feb 5 09:46 AM | 18 Likes Like |Link to Comment
  • What Happens To Dividend Growth Investing When Inflation Hits 10% [View article]
    Mr. Herring, I appreciate the work you put in collect this historical data and make some sense of it.
    To me, it reinforces the needs to watch the dividend stream and the health of the companies I invest in more than the price of their stock or the market. It's somewhat comforting that your selections showed that if one focuses on that and lives below one's means, even when retired, it can bring a lot of peace of mind.
    Thank you.
    Feb 5 09:28 AM | 2 Likes Like |Link to Comment
  • A Dividend Growth Investor Looks At AAII's Stock Screens [View article]
    Mr. Van Knapp, interesting look at other screening methodology.

    I prefer to use my own screens, of which you taught me to use "loose" criteria just as a first pass tool. Then, I go to the CCC spreadsheet to further narrow it down before digging in.

    Nothing against AAII but they don't know my goals or strategies.

    Thanks for giving us a quick rundown on what others are doing.
    Feb 4 07:00 PM | 2 Likes Like |Link to Comment
  • Dividend Champions For February 2014 [View article]
    Sweeps, you can try:

    http://bit.ly/1esSvt8

    or this:

    http://bit.ly/1esSwNT
    Feb 3 11:08 AM | 2 Likes Like |Link to Comment
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