Seeking Alpha

Larry Smith

View as an RSS Feed
View Larry Smith's Comments BY TICKER:
Latest comments  |  Highest rated
  • Prospects for Senate vote on Keystone XL fade over amendments fight [View news story]
    Great idea, a carbon tax would really help an economy that is barely crawling. They build Keystone or they don't, doesn't really matter, the oil is coming anyways. The reason the oil is coming, is because the world needs it.
    May 7 09:31 PM | 6 Likes Like |Link to Comment
  • Worried About Exxon Mobil? Are You Kidding Me? [View article]
    Peak oil is a myth. According to King Hubbert, world oil decline would begin around 1995, oops, that was wrong. Ten years ago most people thought U.S. oil production was in permanent decline, oops, that was wrong. Global oil production grew by 2.2% in 2012 (BP Statistical Review). The IEA, XOM and BP in there 30/40 year forecasts expect oil production to grow, not decline. Natural gas is expected to be the fastest growing fossil fuel. Renewables will be the fastest growing energy type, but from a much smaller base. Chemicals and refined product will continue to grow.

    As technology improves, more oil can be found and extracted. I think XOM will be just fine.
    Mar 9 09:24 AM | 6 Likes Like |Link to Comment
  • Chipotle defuses guacamole panic [View news story]
    Because of climate change? My dog was scratching himself more than usual ;last night, I am linking that to climate change.
    Mar 5 01:31 PM | 6 Likes Like |Link to Comment
  • Judge strikes down Nebraska's approval of Keystone XL route [View news story]
    I laugh at how hard all the greenies are trying to block the Keystone pipeline, the oil is already coming, will continue to come and Keystone or not, the oil sands will be developed.

    A county judge ruling will be appealed and probably overturned. My guess is the greenies filed in that county because they knew they had the best chance of winning there.

    In the end, it doesn't matter, millions of barrels are already coming.
    Feb 19 08:19 PM | 6 Likes Like |Link to Comment
  • A No-Brainer Dividend Growth Investment [View article]
    Thanks for the comment Alpha and you raise some good points.

    1- Revenue growth has slowed, however, I would point out all restaurant stocks are suffering, look at Darden for example. Much of this I would blame on the world economy, which continues to struggle in some places and grow slowly in others. WIth the world economy slow, MCD and other restaurant chains have been unable to take the price increases they would like. MCD management has stated a strong world economy is better for business.

    2 - The market has been rallying, but MCD has been left behind. MCD was 100 dollars at the start of 2012. I would wager that if a pullback in the market does occur, MCD would hold up better than the overall market.

    3 - I think the downside risk to MCD here is small, $89.00 would be about as far as I could see it fall as the very safe yield approaching 4% would attract buyers.

    I appreciate you taking time to add your well thought out comments, it gives the readers another viewpoint which is always good.
    Jan 21 08:32 AM | 6 Likes Like |Link to Comment
  • Dividend Growth Investing 'Is' Total Return Investing [View article]
    Perhaps your constant use of the word "frequently" is the problem. Many of the people who commented on this article are DGI, yet none of them said they do not care about total return.

    One more time. I am confident that by investing in DG companies over time my income will grow and my total return will grow with it. I also know my risk for large loss will be less. I am satisfied with that. ;-)
    Dec 31 06:33 AM | 6 Likes Like |Link to Comment
  • Dividend Growth Investing 'Is' Total Return Investing [View article]
    Thanks for the comment Rich, always glad to hear your thoughts. Your comment today is a lot to chew on.

    To your first point, I never stated in the article that the models shown unequivocally prove dividend growth investing is superior. In fact, I stated the models do not prove that. All I wanted to show is that DG investing does provide significant total returns over time. Nothing more than that was intended. I also never said "mine is better than yours", I have consistently stated there are many ways to make money in the market, growth investing is fine and as I stated, I am sure there are investors who do very well investing that way.

    Second point, I don't want to discuss the article Chuck Carnivale wrote about growth investing, that would take too long. I will just say, as I have always said, whatever works for the investor is fine by me. Your growth and income is a fine strategy, one that I have recently considered when I seriously considered adding Disney. Decided to stick with the dividend thing, since it has worked so well for me.

    Third, dividend growth has grown in popularity and I concede that part of the popularity of it is that dividend paying stocks have performed quite well over the last several years. That may not always be the case. However, I personally will stick with it because I believe it works.

    Fourth, I would argue that a stock that yields 2.5% is no different than a savings account that pays 2.5% interest. An individual has put some of their hard earned money into a bank account or a stock and has received a return on that money. If that money is reinvested, the money the person has saved or invested will multiply over time. Seems to me to be splitting hairs to differentiate between dividends paid and interest. However, the term miracle is probably over used and I will make a note to myself not to use it in the future.

    Lastly, I appreciate you saying I am an experienced and successful investors. Yes, I have been fortunate to have some success. However, I know many others have likely had more, using all sorts of investment techniques. When I write my articles it isn't to get growth investors or option traders to switch to DGI. It is to show the aimless investor, which I once was, there is a way to profit in the market. Nothing more than that.
    Dec 30 02:37 PM | 6 Likes Like |Link to Comment
  • Dividend Growth Investing 'Is' Total Return Investing [View article]
    Thanks for the comment Dave. One thing I know for sure, there are many different shades of dividend growth investing. The heart of the plan is using dividend paying stocks to grow the portfolio, however. as you state, there are many versions of that. Personally I want to see some price appreciation with the dividend growth, others are more concerned with portfolio yield and may seek a higher yield. In the end we are all using the power of growing dividends to grow our wealth.

    You made a passing comment to the state of the American intellectual scene. I would agree with that. It seems the thinking is, in order for me to be right, your position must be stupid. Sadly that is not true. I know there are investors who use some very advanced hedging strategies to make money and there are investors who can trade in and out of stocks and make money. More power to them and congratulations. I cannot do that, so for me, DGI is my preference.
    Dec 30 08:36 AM | 6 Likes Like |Link to Comment
  • Coca-Cola Should Consider Offering Snacks To Increase Beverage Sales [View article]
    Disagree completly with your thoughts about KO adding snacks, a thought that Jim Cramer stated on his show a couple weeks ago. KO is the world's leading beverage company and has been taking market share from Pepsi for some time now. KO is not struggling and it will not be "all over" for KO if Pepsi buys MDLZ, something Pepsi said they are not interested in because it would weaken their margins.

    KO does not just sell soft drinks, they sell water, sports drinks, energy drinks, juices, dairy products, teas and more. KO is fine, 10 years from now they will be selling more beverages to more people throughout the world.

    Long KO
    Aug 1 07:54 AM | 6 Likes Like |Link to Comment
  • How Investing For The Long Term Helps Reduce Market Risk [View article]
    There you go making sense again Dave, nice article. Time is the key to investing. I dollar cost average into my retirment account at work, never waver good times or bad and it has performed very well.

    More people should read your stuff and see investing is not that hard, just requires discipline.
    Apr 10 01:19 PM | 6 Likes Like |Link to Comment
  • 5 Reasons We Stink As Investors [View article]
    Mike, in college most of my stupid moves were tried on the ladies. I know they were stupid because they told me so.
    Mar 15 09:11 PM | 6 Likes Like |Link to Comment
  • Patience When Investing Gets You The Big Candy Bar [View article]
    Thank you Steve, you summarized the article nicely. Dread drops in on all my articles to dispute something.
    Jan 14 06:23 PM | 6 Likes Like |Link to Comment
  • The U.S. May Lead LNG Exports: Who Will Be The Winners? [View article]
    Frac, I agree with that, Australia, Papua New Guinea, Canada are just a few of the countries looking to build up their LNG exporting, it will become competitive.
    Jan 7 09:19 AM | 6 Likes Like |Link to Comment
  • My Prediction For 2013 - All Other Predictions Will Be Wrong [View article]
    :-) Thanks I think I will be fine.
    Dec 28 10:33 AM | 6 Likes Like |Link to Comment
  • My Prediction For 2013 - All Other Predictions Will Be Wrong [View article]
    Thanks for commenting Kurtis and you are correct, it is buy and monitor, not buy and forget. I have sold long term holds and won't hesitate to do so in the future if the business shows signs of weakness.
    Dec 28 07:25 AM | 6 Likes Like |Link to Comment