WMT Forum Topics
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- Dow 30 Performance Since 7/15 [view article]
- Investing in Dividend Paying Companies [view article]
- Financial Focus - Fast Money Recap (7/22/08) [view article]
- Wal-Mart Looks Slightly Overvalued [view article]
- Is Wal-Mart Actually 'More Evil' Than Google? [view article]
- The Top Dividend Paying ETFs and Stocks [view article]
- Selling the Short Sellers Short: Another Sign of Trouble [view article]
- Wal-Mart's Latest Beat-and-Raise: Yawn [view article]
- 10 Reasons In-Store Clinics Will Succeed [view article]
- Confident in Wal-Mart - Contrary to Market Pessimism [view article]
- Options Trader: Thursday Outlook [view article]
loading ...Recent WMT Articles
- Dow 30 Performance Since 7/15
- Dollar Back? - Fast Money Recap (7/23/08)
- Financial Focus - Fast Money Recap (7/22/08)
- Selling the Short Sellers Short: Another Sign of Trouble
- Wal-Mart Looks Slightly Overvalued
- Investing in Dividend Paying Companies
- Wal-Mart's Latest Beat-and-Raise: Yawn
- ETF Update: Utilities, Retail, Biotech and Agriculture
- Confident in Wal-Mart - Contrary to Market Pessimism
- Take a Load Off Fannie - Fast Money Recap (7/10/08)
- Full List of Articles »
Investing in Dividend Paying Companies [view article]
What about PGF: the PowerShares Financial Preferred ETF? This thing yields about 8% and is only down about 1.2% ytd, compared to -30% or so for XLF. I just discovered it today and I'm looking into it for my IRA, if anyone has any opinions on PGF, please feel free to share. ReplyInvesting in Dividend Paying Companies [view article]
First, interesting to see that names of companies like Westinghouse, Philip Morris, and Union Carbide had to be explained. Sheesh, I guess I am getting old, as these are as familiar as Google to me. More directly, I sometimes wonder "what is the true value of a stock." As the market value varies so greatly, the "present value of future cash flows." people surely must think that cash flow is not too clear! Dividends really help me see the value -- compared with bonds or most treasuries these company payouts provide real inflation protection. Thanks for an article weighted to something other than tomorrow! ReplyWal-Mart Looks Slightly Overvalued [view article]
Check out the monthly Same Store Sales of Walmart during the last Recession 1991-1993. While numerous other retailers were posting flat,negative SSS, Walmart SSS were in the double digit increase, one month Walmart SSS were up 32%. Walmart SSS during this new recession are no where near the Walmart SSS of the early 1990s recession.That is because Walmart today is not the Walmart of last century. Todays Walmart is a shell of itself from the invincible Walmart of last century.
Watch for Walmart shares to drop into the lower 30s within 2 years, if not sooner when the artifical sales spur from Government rebate checks end this week Reply
Wal-Mart Looks Slightly Overvalued [view article]
A few years ago, the stock had a P/E of over 40 and was selling for over $60. I'm not so sure that $56 a share with a P/E of under 20 is over-valued. ReplyWal-Mart Looks Slightly Overvalued [view article]
I don't know for sure, and neither does anyone else, if any normal matrix or measurement is valid when an international company hits sales of half a trillion dollars.Since it never happened before, the negatives and positives of that size and mass is unknown. It is almost certain that assumptions made with "normal" tools are probably wrong.
Therefore, Walmart is probably remarkably over-valued or tremedously undervalued. Hope that clears it up. Reply
Investing in Dividend Paying Companies [view article]
A great read on a Tuesday morning when we are listening to BB explaining the flailing world to us via C-SPAN. I'm going to look at the current DJIND list now, asking "What's prospects?" ReplyInvesting in Dividend Paying Companies [view article]
One comment worth considering. I purchased 1,000 shares of MO over 28 years ago and re-invested the dividends for over 20 years until I had amassed 20,000 shares (including splits). At the current time, I hold 20,000 MO, 20,000 PM and 10,000 KFT (I sold about 3,000). My current income from this original investment is over $70,000 a year, twice what I paid for the original Investment. I also have long time positions in other blue chip companies that have multiplied many times from my original investment. ReplyInvesting in Dividend Paying Companies [view article]
A couple of comments:1. Mr Okie - I believe your math is a little off this morining. Generating a 430% gain over ten years is NOT equal to 4% annually. If you got 4% annually on $100 for 10 years you would have $40, assuming no compounding. Using a HP17B calculator to compute the future value of $100 compounding annually at 4% you would have a future value of $148. (n=10, i=4%,pv=-100, pmt=0).
To get a FV of 430% of your initial investment, your IRR would be 15.7%, not 4%. That is a very good return, especially considering that it is exclusive of dividend reinvestment. (n=10, pv=-100, pmt=0, fv=430)
2. GM should be deleted from the list. They just announced a suspension of their dividend.
It is getting bad out there! Reply
Investing in Dividend Paying Companies [view article]
And you could pay attention, and sell if the future didn't look good for the company. You could also dividend reinvest in the company, or invest the dividends elsewhere. Your return would certainly be better.When times are rough, like now, for the most part I hold the dividend payers, and sell those that don't. The ones bought for fast growth are usually not growing and the more stolid ones lose less, and they pay the dividend while you wait for better times. Reply
Edwards
Investing in Dividend Paying Companies [view article]
This analysis is further proof, if any were needed, of the wisdom of buying solid companies and planning to hold them for a long time. A refinement of the technique would have been to assume all stocks had DRIPS plans, and you opted for them, which would have been the best pre-retirement strategy.Mind you, not all of the DJIA stocks meet my personal quality criteria, so I would have been more selective. The same holds true today, for example GM. And there are other higher-quality stocks which are not on the DJIA list. Quality is the issue, and dividends are part of the definition of quality. Reply
Investing in Dividend Paying Companies [view article]
430% for 10years. Let's see isn't that 4% a year? What happens if you have reinvested your dividends thru a DRIP? If you had only selection critieria for picking a stock, companies that increase dividends over a long period of time (10 years or more). Google Dividend Aristocrats. ReplyOptions Trader: Thursday Outlook [view article]
Tradeflow - Greg will be in touch with your shortly. ReplyInvesting in Dividend Paying Companies [view article]
Your analysis is worth noting. However, buying this new list near the bottom of the market will surely produce significant gains over the next ten years without any trading. ReplyInvesting in Dividend Paying Companies [view article]
Its funny to see some of those names up there. Its amazing how quick things change. Eastman Kodak for example used to be an icon but is now struggling. ReplyGrowth
Investor
Investing in Dividend Paying Companies [view article]
Interesting analysis. You might also reference one of Jeremy Siegel's research papers where he found out that buying the orginial 500 stocks of the S&P 500 back in 1957 and then doing absolutely nothing for 50 years would have also outperformed the S&P 500 index by 1 percentage point! Reply