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J.D. Welch

 
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  • My Mad Method: Recent Additions To My Portfolio And How They're Doing [View article]
    Thanks, I think. :-) That's an interesting perspective, because a lot of the feedback I've been getting is from people who are very happy to have Contributors such as myself share their portfolios as a way of demonstrating that we're putting our money where our mouths are, rather than folks who opine and then disclose that they have no interest in the company they just wrote about. But that's just me... I've got a few ideas for articles on companies that I don't currently own, but pretty much where I'm coming from right now is looking at stocks that I am interested in owning, and getting feedback on them.

    Thanks for you thoughts! Lurk less, Comment more!

    :-)
    May 10 09:25 PM | Likes Like |Link to Comment
  • My Mad Method: Recent Additions To My Portfolio And How They're Doing [View article]
    Thanks for the advice, I appreciate it. Yes, JNJ is definitely on my short list of stocks to buy, I will own them one of these days. But right now I'm not in a hurry to add them. I have a good buddy from my high school days who's worked for them for years, and his comment to me was that the stock price really doesn't move very much. But it's definitely going to end up in my portfolio eventually!

    Thanks for info on GLW, too. I own a number of shares that divisible by 100, so I'm thinking of selling covered calls with them once I start getting my feet wet in that arena.

    Thanks again!
    May 10 09:22 PM | Likes Like |Link to Comment
  • Buy Intel At The 4% Yield Price [View article]
    OK, thanks, so I was half-right. Cool. Good to know.

    Personally, my goal right now is to accumulate enough wealth and knowledge that I can retire and then research companies and trade options to generate the income I need to live off of. I've had some really interesting jobs, and I can't see my self retiring only to take a position doing something that I'd be bored to death with and having to work for someone else again. But, hey, who knows, my worst fears could come true and I end up having to take a job as a Wal-Mart greeter on the graveyard shift (no offense to Wal-Mart or their greeters, it's just not how I'd like to spend my Golden Years....).
    May 10 09:17 PM | 3 Likes Like |Link to Comment
  • Buy Intel At The 4% Yield Price [View article]
    As I understand it, you can't *open* an IRA if you're already retired. If he already has an IRA, or isn't yet retired and doesn't have an IRA, he could open an IRA, of either flavor. That's where I was coming from. If I'm wrong and you can open an IRA after you've retired, then that's wonderful news to me, but I recall when I did my taxes that TurboTax specified "if you are working" or something to that extent when it suggested I try to lower my taxes by contributing to (opening) an IRA, which I interpreted to mean that once you're retired, it's too late to open a "retirement" account that gets tax deferral benefits. If I'm wrong, lemme know...

    Also, I realize you don't have to close your IRA once you're retired, but at some point you do to draw down the funds, if that's how you've structured your retirement, and as I understand it, it's better to take all the funds out in one shot and get the tax-paying pain over with rather than drawing it out and paying taxes every time you withdraw from the IRA...

    But I'm not at that point yet, so I could be totally off. My point was, if you don't like paying taxes on the dividends you collect, put your stocks into your IRA!

    :-)
    May 10 08:47 PM | Likes Like |Link to Comment
  • Buy Intel At The 4% Yield Price [View article]
    So get out and vote this November, get yourself some representation in Congress and maybe even the White House that will meet your needs.

    Are you retired, so you can't hold your dividend-yielding stocks in an IRA? Otherwise, that's the best place to have your positions...

    Just sayin'... :-)
    May 10 08:29 PM | 4 Likes Like |Link to Comment
  • My Mad Method: Ranking My Portfolio [View article]
    Hi, James, thanks for your comments, and I'll try to answer your questions:

    1) I'm assuming you mean new issues here, as in IPOs, when you say "identify new stocks"? I'm not that sophisticated nor do I pay for any of the wire services that might tell me in advance of what's coming. I rely on Seeking Alpha and, to a lesser degree, The Motley Fool to get ideas on new stocks that I might want to add to my watchlist. I've got a ton of stocks on my watchlist on TMF that I haven't thought about in a while, but every now and then check up on them and maybe plug them into MMM to see if they're worthy of being a contender. I will admit that my watchlist on my spreadsheet has got some stale stuff on it, and I'm on the lookout for new ideas, especially good, solid companies with great management and fantastic dividends. If you have any ideas, I'm all ears!

    2) Not really, that's where the "gut check" comes in. It's just a tool, not an automated method of buying stocks. I think I know what you mean by "ignore the data in the case of Ford", but having a bad showing on the MMM ranking isn't an automatic reason to sell a stock. I believe in F for the long term, despite what my buddy Rocco Pendola wrote about them yesterday. I know a bunch of people that have chosen Fords to be their new vehicles, including people that had purchased something else initially only to return it to the dealership and instead buy a Ford product. I think Ford is focusing on maximizing profits per vehicle sold and not as much on where they are in terms of market share, and I think that an interesting and good strategy. My "gut" tells me that, long term, F will end up doing well between now and the time I retire. So that's the "due dilligence" that has to go into using the MMM as a tool for narrowing the watchlist down or flagging potential problems in the portfolio. It doesn't make the decisions, I do; it's just a tool that I use to help me focus in on where I need to apply my attention...

    3) Yield is one of the metrics in MMM, as well as P/E. I'm not as interested in past performance (return) when it comes to stocks on my watchlist, and on the stocks on my portfolio, that's where the 2nd ranking, "Gain/Loss Rank" comes into play. By being one of 3 rankings that are then averaged and ranked as a whole, that gives the return that I've seen in the stock *since I bought it* quite a bit of weight in the overall decision making process. It's one of the reasons I keep it as a separate ranking (the 2nd column in the spreadsheet example in the article above), but also factor it into the overall "Combined Rank".

    I hope that helps. Please let me know if you have any other questions. As I mentioned in the disclaimer, I'm not a professional financial advisor, but I've dealt with enough of them over the years and crunch enough data in my "real" job to know that I know how to analyze data, so I thought I'd give it a try where it really mattered to me: My nest egg. I also know it's always a learning process...

    Thanks again!
    May 10 07:49 PM | Likes Like |Link to Comment
  • Buy Intel At The 4% Yield Price [View article]
    If they follow the pattern they established last year, this won't be the last dividend hike that we'll see this year (2012), which would be great!

    Long INTC...
    May 10 07:22 PM | 2 Likes Like |Link to Comment
  • My Mad Method: Recent Additions To My Portfolio And How They're Doing [View article]
    Wow, thanks again! I've always been a "frustrated writer", and this is finally giving me an outlet... :-)
    May 10 07:03 PM | 1 Like Like |Link to Comment
  • My Mad Method: Recent Additions To My Portfolio And How They're Doing [View article]
    Thanks, Lion! I understand what you're saying. I think I jumped the gun a little when I got into GLW in January, but I'm still learning. I bought a decent chunk of it, and while I'd love to lower my cost basis by buying more as it slides lower, I've got other things I want to put my limited funds into, at least for the time being, and as you implied, I don't think there's any real rush to get more, it's going to stay down for a while longer. But it's a long-term hold for me. The company has been around for, what, 140 years? They made stuff for Thomas Edison! And they've proven that they can innovate. There's a series of videos that they put out about their perspective of the future that are pretty cool. I'll see if I can find those links and post them as a reply to myself here. In any event, I think they're just currently undervalued, as you say, and they're a good long-term bet for a decent return. They still turn up as #1 in MMM of my portfolio, so there must be something there that Mr. Market hasn't appreciated them for yet. This one will be one of the best indicators of whether MMM really works, but it's gonna take time, I think... That's OK, I've learned patience over the years...

    If their price keeps moving sideways, I might write covered calls against my shares as I get more experience doing that... Will write about that if/when I do so...

    Thanks for the feedback, and for being a repeat customer!

    :-)
    May 10 06:49 PM | Likes Like |Link to Comment
  • My Mad Method: Recent Additions To My Portfolio And How They're Doing [View article]
    User, the point is not to "show off" my portfolio, the point is to demonstrate how what I refer to as My Mad Method works and, well, whether or not it really works for picking stocks that will do what I want them to do, which is to 1) provide a great yield, 2) grow that yield over time, and 3) hopefully also appreciate in value. So this is the first of what I hope will be an on-going series to see whether the Method really works and helps me meet my investing goals.

    Thanks for taking the time to read the article, though... :-)
    May 10 06:02 PM | Likes Like |Link to Comment
  • 5 Dividend Monsters From My Portfolio [View article]
    Hi, Blackbrit, and thanks for your comments and suggestions!

    A lot of these I don't know, so I'll have to look them up, but two of them I recognize and can comment on. HTS is on my "short list" of stocks to pick up soon. I've been tracking it for some time now, and my spreadsheet is flashing "Too High" at me, meaning I should probably wait for the price to drop a bit before taking up a position in them. The other thing I have to consider is how much of my portfolio do I want to have in mREITs. Right now NLY makes up 4.8% of my IRA and 3.74% of my investments that I control (those not in my "pension" plan or 401(k)), but I'm probably going to add some HTS on a pullback.

    NZT I'd stay away from, but that's just me. There are better foreign telecoms to add to your portfolio if you're looking for big dividends. My favorite that I'm tracking is France Telecom (FTE), which has been beaten down but has stayed around its current price for a while now. There's just too much uncertainty about Telecom New Zealand's position in that country (they may not be selected as the government's carrier of choice), and I've dumped all of my NZ investments because they were doing so poorly as a group, which I think is indicitive of their economy, which is kind of a microcosm. I love the country, was there for a week once on business (consulting for NZT, actually), but I think FTE is a better telecom play for juicy dividends. You will, of course, have to pay foreign taxes on those dividends, but that would apply to both NZT and FTE.

    That's just my opinion, though. Hope it helps. When I get the time I'll look up the other tickers that you've got here...
    May 10 02:01 PM | Likes Like |Link to Comment
  • My Mad Method: Ranking My Portfolio [View article]
    Thanks for you comments.

    I'm assuming you're refering to the "Comb Rank", the first column? The reason there is no #7 is that there are two #6s, Abbott Laboratories and AT&T. So in that case, the next rank in the set is #8. Good eye!

    Thanks again!
    May 10 12:16 PM | Likes Like |Link to Comment
  • Great Values In US Coal Mining Stocks [View article]
    Nice article, again, Mark, and again with a lot of data to back yourself up. Thanks!
    May 9 11:08 PM | 2 Likes Like |Link to Comment
  • My Mad Method: Ranking My Portfolio [View article]
    Thanks very much, TAS, I appreciate that last comment!

    I know, it's probably gotten to the point where an ETF or Mutual Fund would provide me the same overall yield, but after my experience with several "professional" brokers, I feel the need to take greater control over my destiny. Plus, my company "retirement" plan (profit-sharing, really, but it works like a pension) is in a very well-diversified fund, so I feel like I've got that percentage of my total retirement net egg pretty well taken care of, and I've got my 401(k) money in a couple of mutual funds with the freedom to also choose certain ETFs, so that gives me some freedom to get creative with what's in my rollover IRA, which is what I write about here.

    Thanks for your comment, and watch for more articles from me soon!
    May 9 07:59 PM | Likes Like |Link to Comment
  • My Mad Method: Ranking My Portfolio [View article]
    Thanks, Bob! Let me know if you need help with the spreadsheets...
    May 9 02:16 PM | Likes Like |Link to Comment
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