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rnsmth

rnsmth
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  • The Bear Claws My Dividend Growth Portfolio - Will I Cut And Run? [View article]
    I do not think I would cut and run with our dividend growth portfolios. I started building those in the Spring of 2012 with the purpose of creating a reliable and growing income stream from financially strong companies. That was and remains the primary goal. I have been reinvesting dividends from the get-go.

    What I will do is to continue monitoring the 29 companies in the portfolios and make adjustments as needed. The main, perhaps the only factor, I look at is my perception of the safety of the dividend and the sustainability of adequate annual dividend increases. Those companies are listed in my profile if anyone should want to take a look

    We are fortunate to have adequate income from pensions and SS to live on. In 20 months an early retirement stipend will end when I turn 65. If we need to we can start taking some of the dividends as cash at that time in order to replace that stipend. I am unsure at this time if we will need to, but it is nice to have that more than covered with dividend income.
    Mar 23, 2015. 03:30 PM | 4 Likes Like |Link to Comment
  • Utilities And Interest Rates [View article]
    Hey Jerry - I was wondering when you should up in this comment thread :)
    Mar 23, 2015. 10:55 AM | 1 Like Like |Link to Comment
  • Myth Vs. Reality With Apple's Stock Buyback [View article]
    I am bullish on Apple also. My primary concerns at this time are expectations getting out of whack, particularly in terms of CY 2015 Watch sales and for the capital allocation announcement in April. This is particularly the expectation expressed both here and by some in the broader analyst community for a sizable increase in the share buyback program.

    I am adopting a “four-fer”

    1) March quarter results - they will be wonderful, I think

    2) Capital allocation announcement - wait and see. I am expecting a dividend increase that is larger than last years (percentage-wise). We may get a notion about what management things of Apple’s valuation with the size of the buyback announcement, or maybe not. I am thinking we will see something around 20 billion in new authorization through the end of CY 2016 - roughly in the $5 billion a quarter in new authorization.

    3) TV subscription plan - A big positive here. Apple has been building out its content delivery capabilities and they should be ready to handle the demand. Millions will subscribe

    4) Apple Watch sales. The release of an entirely new product line usually contains some risk. I am confident Apple can handle that, and my primary concern is that unit sales expectations are too high.
    Mar 23, 2015. 09:11 AM | Likes Like |Link to Comment
  • Utilities And Interest Rates [View article]
    What happens to dividend payments in a rising rate environment. The author seemed to primarily concerned about price. Giving stable and growing dividends, I would welcome lower share prices.
    Mar 23, 2015. 09:02 AM | 3 Likes Like |Link to Comment
  • Myth Vs. Reality With Apple's Stock Buyback [View article]
    Apple is at 17 times earning, not 16 times.

    How can you expect to be taken seriously with errors like that?

    Answer, you are not to be taken seriously.
    Mar 23, 2015. 01:04 AM | Likes Like |Link to Comment
  • Buh-Bye Wal-Mart, Hello Emerson Electric, Qualcomm And AbbVie [View article]
    Thanks everyone for the excellent comment thread - I had stayed away from it for awhile and just caught up on it this evening.

    In energy I am holding CVX, SE, KMI and APU - together they are about 13% of our portfolios. Josh Peters thinks APU should actually be thought of as a utility rather than an MLP.

    I have put some money back into our dividend growth portfolios after having taken some out last summer for another strategy that worked out all right. In the last two months I have made adds to SO, JNJ, APU, KO, SE and GE. Additionally, I opened positions in TROW and HASI - with HASI being an underweight position.

    I still have some cash to work with. I am not interested in QCOM. Apple will remain my only tech holding. Given Mike's article and Chuck Carnevale's recent article on EMR, I am considering it as a possible long term holding.

    Thanks again for all your thoughtful comments!
    Mar 21, 2015. 11:53 PM | 2 Likes Like |Link to Comment
  • Lowering Our Fair Value Estimate Of Procter & Gamble [View article]
    << I am never 100% sure about investments.>>

    Me neither, but I think the probabilities of my portfolio doing well are greater than 50% :)
    Mar 21, 2015. 02:08 PM | Likes Like |Link to Comment
  • Myth Vs. Reality With Apple's Stock Buyback [View article]
    Morningstar's key ratios page for Apple shows 6.617 billion shares at the end of the FY 2012 Fiscal Year.

    Yahoo Finance shows 5.82 billion shares as the current number of shares outstanding.

    Apple has bought back (and maybe retired) 12% of its shares. I remember looking at the number of authorized shares in the most recent SEC filing, but do not remember exactly what it was. The record date was in early January, if my memory is correct.

    Apple reports on the dollar amount of share buybacks in each quarter's earnings conference call. Here is the bit from January's call:

    "We spent 5 billion to repurchase 45 million Apple shares through open market transactions, paid 2.8 billion in dividends and equivalents, and utilized over 500 million to net share settle vesting employee RSUs. We also retired an additional 8 million shares in connection with our accelerated share repurchase programs."
    Mar 21, 2015. 11:49 AM | 1 Like Like |Link to Comment
  • Should Dividend Growth Investors Fear Interest Rate Volatility? [View article]
    We had similar discussions about O back in the late spring of 2013, when its share price hit $50. Some sold, I remember richjoy did, based on the overvaluation. He, along with others did very well - I think he bought back at a much lower price but I am not sure of that.

    I chose to hold and continue reinvesting dividends - I did that and I added shares to the position with a buy in December, 2013 at $37.15 a share. My initial purchase was in May, 2012 at $39.29.

    Those who sold a bunch near the 2013 high and then bought back (or not) did very well. I am satisfied with my decision not hold and reinvest - I considered the dividend to be safe and modest dividend growth to be sustainable, and it turns out that it was.

    It is now one of my largest positions and I continue to plan to hold and reinvest as long as I consider the dividend to be safe and modest dividend growth to be sustainable.
    Mar 21, 2015. 10:28 AM | 1 Like Like |Link to Comment
  • Income Strategy: Can You Afford To Play It Safe? [View article]
    One can certainly beat the indexes on dividend yield while investing in high-quality, financially strong companies that have a history of increasing their dividends every year. That is not very difficult, in fact.
    Mar 21, 2015. 09:30 AM | 3 Likes Like |Link to Comment
  • Lowering Our Fair Value Estimate Of Procter & Gamble [View article]
    I do not find that to be true at all
    Mar 20, 2015. 10:21 PM | 1 Like Like |Link to Comment
  • Lowering Our Fair Value Estimate Of Procter & Gamble [View article]
    <<If your philosophy is never sell, I don't know why you would be looking at Seeking Alpha in the first place. >>

    Because.
    Mar 20, 2015. 09:28 PM | 1 Like Like |Link to Comment
  • How Much 'Extra' Return Are You Getting If You Reinvest Dividends? [View article]
    Wait a minute - dividends are magic money :-)
    Mar 19, 2015. 04:16 PM | 3 Likes Like |Link to Comment
  • Lowering Our Fair Value Estimate Of Procter & Gamble [View article]
    I'll go with Morningstar's fair value estimate of $90 a shares.
    Mar 19, 2015. 11:19 AM | 5 Likes Like |Link to Comment
  • Bogle's Views On Retirement Income [View article]
    There are as many types in bureaucratic orgs as in any other type, and the system is not broken.
    Mar 16, 2015. 07:24 PM | 2 Likes Like |Link to Comment
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