5 Companies Paying Their First Dividend In 2011 [View article]
I guess the president of the company is mistaken then...
"Based on our strong results, I’m pleased to announce that the Board of Directors has authorized the payment of twenty-five cents ($0.25) per share dividend payable September 2, 2011, to all shareholders of record on August 25, 2011. Additionally, the Board of Directors has declared their intention to consider paying dividends on a quarterly basis in the future."
Microsoft: Potentially Great Addition To Your Dividend Portfolio [View article]
They definitely have a questionable history with acquisitions, and seeing how yahoo and skype play out will be interesting. I still think they are a solid company however.
Lorillard: The Only U.S. Tobacco Stock Worth Owning [View article]
Very good article. Well researched and articulated. I like the American tobacco market because of it's regulated monopoly and very loyal customers. A lot of focus is on MO and PM but I will look more into LO. Thanks
Maybe it's just me, but i still don't see anything exciting about LEG. Sure, they have shareholder friendly management and a long dividend history, but look at the past 10 years of dividend growth - those compounded numbers are kind of a fluke, because only two years (2007 and 2008) had large growth - the rest of the years are below 10%, and the past two have been below 4%.
Add on top of that wild fluctuations in earnings, an almost complete absence of sales growth, and a stagnant stock price, and I don't think a long dividend history is enough to make up for that. I love dividends, but I also like a growing, profitable, and stable businesses, none of which I see in LEG.
Wal-Mart International: A True Growth Story [View article]
@ RAS - Many consumers do in fact loathe Walmart. There is even an entire wikipedia page devoted to "Criticism of Walmart" which can be found here - en.wikipedia.org/wiki/.... The page cites 115 sources. In addition, there is i-hate-walmart.com, an I hate Walmart facebook page, and walmartwatch.org.
As for the stock price, yes, many companies have had a difficult 10 years, through two major recessions. But not all of them have seen stagnant prices. ITW traded in the low 30's in 2001 and is now at $56. MCD was also in the 30's in the early 2000's, and is now at $80. These are just two companies, but they prove that capital appreciation, even for a stodgy old blue chip, was possible over the last decade.
And as for an overpriced company, I think yield and growth need to be balanced. Personally, I would sacrifice a 3% yield for say, a 2.7% yield if dividend growth was 12-15% a year, like Walmart. If growth was only 6-8%, then I would wait for a higher initial yield, like something over 3%.
Dividend Stock Analysis: Does Eli Lilly Have Enough Promise in Its Pipeline? [View article]
@ Logical Thought - The headlines are actually written by the SeekingAlpha editors. The original headline was just Eli Lilly Dividend Stock Analysis, which I think is accurate.
@ just sayin - very interesting. Thanks for adding that informative comment to the discussion. I'll be sure to get your opinion for any beverage company analysis I do!
4 Restaurants That Take Dividends Seriously [View article]
@ JaxJaguar - I understand your feelings completely. I ask myself at times, why not buy in at 20x earnings or 22x earnings if it's a good company with great dividends. But as investors, we must maintain discipline. It's easy to fall in love with a stock and just throw money at it. Great returns are made when a stock is bought, not when it is sold, and for this reason, we must determine a target price, and stick to it.
When you start making compromises, it is a slippery slope. If you buy at $76, why not buy at $80, or $90, or $100? Every dollar you pay in a higher price is a dollar less you will receive as a return.
Let's say you were buying Walmart in the late 90's. You bought at 15x earnings, then 20x, and since you didn't want to miss the dividends, you bought at 25x and then 30x. What happened? Your money has barely budged in 10 years.
While I'm waiting for MCD to come down to my target price, I'm either buying another company I find reasonable, or I'm sitting on the cash and waiting for deals. Hope this helps.
5 Dividend Growth Machines Near 52-Week Lows [View article]
I own JNJ and would like to add ABT soon. I do not own HGIC but a close friend of mine and fellow investor does. He feels good about them, but like clayking, only has a modest position.
5 Companies Paying Their First Dividend In 2011 [View article]
"Based on our strong results, I’m pleased to announce that the Board of Directors has authorized the payment of twenty-five cents ($0.25) per share dividend payable September 2, 2011, to all shareholders of record on August 25, 2011. Additionally, the Board of Directors has declared their intention to consider paying dividends on a quarterly basis in the future."
This can be found on their website http://bit.ly/vLjhAJ
40 Years Of Dividend Growth And Still Outpacing Inflation - 10 Top Companies [View article]
Microsoft: Potentially Great Addition To Your Dividend Portfolio [View article]
Microsoft: Potentially Great Addition To Your Dividend Portfolio [View article]
Lorillard: The Only U.S. Tobacco Stock Worth Owning [View article]
4 Stocks Still Increasing Dividends After 50 Years [View article]
4 Stocks Still Increasing Dividends After 50 Years [View article]
Leggett & Platt: Dividend Stock Analysis [View article]
Add on top of that wild fluctuations in earnings, an almost complete absence of sales growth, and a stagnant stock price, and I don't think a long dividend history is enough to make up for that. I love dividends, but I also like a growing, profitable, and stable businesses, none of which I see in LEG.
Wal-Mart International: A True Growth Story [View article]
As for the stock price, yes, many companies have had a difficult 10 years, through two major recessions. But not all of them have seen stagnant prices. ITW traded in the low 30's in 2001 and is now at $56. MCD was also in the 30's in the early 2000's, and is now at $80. These are just two companies, but they prove that capital appreciation, even for a stodgy old blue chip, was possible over the last decade.
And as for an overpriced company, I think yield and growth need to be balanced. Personally, I would sacrifice a 3% yield for say, a 2.7% yield if dividend growth was 12-15% a year, like Walmart. If growth was only 6-8%, then I would wait for a higher initial yield, like something over 3%.
Wal-Mart International: A True Growth Story [View article]
Dividend Stock Analysis: Does Eli Lilly Have Enough Promise in Its Pipeline? [View article]
Coca-Cola: Worth the Premium [View article]
Coca-Cola: Worth the Premium [View article]
4 Restaurants That Take Dividends Seriously [View article]
When you start making compromises, it is a slippery slope. If you buy at $76, why not buy at $80, or $90, or $100? Every dollar you pay in a higher price is a dollar less you will receive as a return.
Let's say you were buying Walmart in the late 90's. You bought at 15x earnings, then 20x, and since you didn't want to miss the dividends, you bought at 25x and then 30x. What happened? Your money has barely budged in 10 years.
While I'm waiting for MCD to come down to my target price, I'm either buying another company I find reasonable, or I'm sitting on the cash and waiting for deals. Hope this helps.
5 Dividend Growth Machines Near 52-Week Lows [View article]