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  • Free Cash Flow Payout Vs. Dividend Payout [View article]
    Did you look? Well, I am not going to do all the work for you ;-)
    Mar 21 04:45 PM | Likes Like |Link to Comment
  • Beware The Dividend Growth Stock Bubble [View article]
    I always exclude one-time items, and would not mind excluding one time gains as well. I only focus on recurring earnings and revenue streams.

    The hip-replacement items were a one time deal. Now if JNJ gets in the habit of doing this year in and year out, then one might argue they should be included. I guess to each to their own.
    Mar 21 04:44 PM | Likes Like |Link to Comment
  • Free Cash Flow Payout Vs. Dividend Payout [View article]
    If you focus on the utilities in the DJ Utilities Index, and check their LT dividend histories, you would notice an interesting trend over time.
    Mar 21 04:37 PM | Likes Like |Link to Comment
  • Beware The Dividend Growth Stock Bubble [View article]
    Actually, the P/E for JNJ is higher than it should be:

    Hence it is properly valued today..
    Mar 21 11:34 AM | Likes Like |Link to Comment
  • Free Cash Flow Payout Vs. Dividend Payout [View article]

    Ignoring the dividend payout ratio is a dangerous idea. While payout ratios vary from industry to industry, a high payout is typically a warning sign. Your typical company cannot afford to pay over 70% of earnings. Utilities can probably get away with it for a while, but they are notorious for raising divs to a point, then cutting them.

    Even for MLP and REITs one has to look at DCF and FFO relative to distirbutions in order to evaluate payout ratios.
    Mar 21 09:46 AM | 1 Like Like |Link to Comment
  • Benjamin Graham's Advice For This Stock Market [View article]

    I own RDS/B, and as a US investor do not get any witholding tax from the UK. I do have to pay taxes to uncle Sam however ;-)

    If I had purhased RDS/A however, which is the Dutch shares for Royal Dutch, I would have had to suffer through withholding taxes, which i could have taken as a credit against my US tax return using form 1116.

    Good Luck!

    Mar 20 01:28 PM | 3 Likes Like |Link to Comment
  • How Big Are The Stock Returns After A Company Fires Its CEO? [View article]
    So why is this article published under Dividends & Income? I hope the editors at SeekingAlpha were not asleep at the job ;-)
    Mar 15 12:22 PM | 1 Like Like |Link to Comment
  • REIT Dividends Are Like Snowballs: All You Need Is Wet Snow And A Long Hill [View article]
    Haha, since everyone likes to read BIO's here here is the short story:

    Many years ago I came to the US from a poor country as a student. I had to fight my way to getting a US education, and had to work full-time while going to school full-time. Then I had to work two full-time jobs during breaks. Once I learned that a bank was offering money just for opening a checking account. Something clicked in me, and that is how I realized that one can earn money without solely relying on working. I became interested in bank products like CD’s (which were paying much more than 1% a couple of decades ago). Then I became interested in stocks of mostly blue chip companies for the income. When I graduated I had only a few hundred dollars in the bank, but ZERO Debt. I got a job and started saving 40% -50% of my income. This percentage decreased over time, as my expenses increased ,as I was no longer living alone and living like a poor student. In the meantime I had been through a few layoffs, but since I had a buffer ( money in the bank and later income from interest and dividends) I survived and moved on to bigger and better jobs. I have an advanced degree in accounting, but it wasn’t until I learned about Joe Domingez and Paul Terrhorst, that I truly grasped the power of basic personal finance principles.

    I have also done many stupid mistakes that every other investor does, such as getting overly excited about tech stocks in 1983 ( or insert wrong year), or about buying stocks on margin or actively trading futures. Overall however, the thing that kept me sane and well invested was blue chip stocks and index funds. It is so much easier now with $5 - $8 trades. Before 1996 trading stocks was prohibitively expensive, which is why diversification was much more difficult, and why I focused on mutual funds more than individual stocks.

    I have been retired for quite some time, although I have a small business advising a few long-time clients. Keeping busy is important, as it keeps you mentally sharp. Investing money, family time, business and always on the lookout for new ventures or learning new ideas. I did have the site for opening bank accounts for bonuses, because I was hoping that this idea would “open the eyes” of someone that was in my position many years ago – a poor student, or any other person who works a lot of hours in the pursuit of American dream ( to earn their footing). Just as I learned that it is possible to earn money without working, this initial cash I received has worked out for me really well. It lead me to learn more about personal finance, and many years later through diligent saving and investing I have been able to “retire” much younger than 50.

    I am not rich, but comfortable. I buy stocks which are cheap, grow dividends and grow the business at the same time. I have been shifting my mutual fund money into individual stocks ever since online trading became so faddish in the late 1990’s. I used to love logging into my Datek account and buying individual stocks for 9.99/trade and watching my dividends grow. REITs were cheap in late 1990s early 2000s. Now they are very expensive. But if you have not been investing for as long as I have, you would likely not understand how risky investing in REITs is today.
    Mar 12 04:46 PM | 1 Like Like |Link to Comment
  • REIT Dividends Are Like Snowballs: All You Need Is Wet Snow And A Long Hill [View article]
    Well, yields on REITs are low indeed. And the growth in distributions for REITs is low. DLR is an exception. Now is a terrible time to be investing in REITS. But you are right, there might be a few good picks. The odds however are against investors who purchase REITs today.

    I do have a blog about opening bank accounts for the cash bonus. But this has nothing to do with the fact that REITs are overpriced. The thing about my blog was brought up deliverately in order to probably "invaildate" my statements. That was pretty low, but then, you do not know me, so I understand you know nothing about me.

    However, you didn't answer any of my questions in my follow-up comment to you either. Haha, I would love to buy you a drink and discuss these in person, as going back and forth on a message thread is very time consuming and inefficent.
    Mar 12 04:31 PM | 1 Like Like |Link to Comment
  • My Dividend Growth Portfolio Strategy [View article]
    Thank you for your article. I am curious, what is your opinion on the Ozzy banks right now?
    Mar 12 02:44 PM | 1 Like Like |Link to Comment
  • REIT Dividends Are Like Snowballs: All You Need Is Wet Snow And A Long Hill [View article]
    I own a diversified portfolio of dividend paying stocks. With the S&P 500 close to all time highs, dividend investors have to be selective. Some stocks on my radar include WMT, MCD, AFL, ADM, APD, CLX, PM, JNJ,MDT, MMM, PG, CVX, UTX to name a few. I plan on adding to these positions over the next 2 -3 months.

    I updated my bio to add dividend stocks. I haven't updated mine in several years.
    Mar 12 02:27 PM | 2 Likes Like |Link to Comment
  • REIT Dividends Are Like Snowballs: All You Need Is Wet Snow And A Long Hill [View article]
    Haha Dave, you are so funny. Maybe you can explain why you only have invested $50,000 in dividend paying stocks? Is that the only amount that is necessary to become a dividend guru, despite the fact that you have definitely earned much more than that peddling your books, and from writing stories on Seeking Alpha?

    It is surprising to me that you hold a lot of other investments, yet you only keep a small amount of your investable networth in dividend stocks. Why don't you have most of your assets in dividend paying stocks?
    Mar 12 02:23 PM | 3 Likes Like |Link to Comment
  • REIT Dividends Are Like Snowballs: All You Need Is Wet Snow And A Long Hill [View article]
    Haha, my goal was not to hurt your feelings FPI. I do own REITs as part of a diversified dividend portfolio. I also follow companies that offer bank bonuses - is that a crime? I believe it is not. I would not add to REIT positions in this market. What anyone does with their money, is their own business however. And my comment was related to REITs in general, so your comment on DLR doesn't really prove anything. What are the 5 and 10 year DG rates on the REIT's mentioned above? What happened to OHI dividends in the early 2000's? The only thing that your comments on this thread show is that you are way too emotional.

    It is unfortunate that you are so quick to judge a book by its covers. I hope you do a better research when you select stocks. Anyway, I have followed your comments on Seeking Alpha for the past few years and have usually enjoyed them. If you want to be successful in the markets, you cannot afford to be emotional about your investments.

    The tone of the responses to my original comment shows me that most REIT investors are way over their heads. I really hope that the rising interest rates do not reduce the available FFO for your dividends and that I am wrong so you get to keep your dividends. However, REITS do look overpriced and many like O and NNN are at all time highs and yields are at all time lows. P/FFO also seem high.
    Mar 12 02:17 PM | 2 Likes Like |Link to Comment
  • Dividend Aristocrats + Equal Weighting > S&P 500 [View article]
    Dividend Growth Investor recently posted the five year total return performance of Equally Weighted Dividend Champions list, which provides a more complete picture of companies that raised dividends for over 25 years:

    I like the article, and idea of equal weighting. Great job!
    Mar 12 09:44 AM | 2 Likes Like |Link to Comment
  • REIT Dividends Are Like Snowballs: All You Need Is Wet Snow And A Long Hill [View article]
    I am not sure why anyone in their right mind would buy REIT's today. Holding them is perfectly ok, but given the low current yields today, investors today are not being properly compensated for the risks they are taking.

    The articles are well written by Brad, but unfortunately the only thing that matters is whether investors would make money or not. I view REITs as fine for current income, but at the end of the day investors would not get much in distributions growth to offset inflation. In addition, REIT's are priced for perfection today, and an uptick in interest rates will likely lead to cooling off in the sector.
    Mar 12 09:41 AM | Likes Like |Link to Comment