jculley

10 Dividend Stocks for Enterprising Investors

PFE had something like $30 billion in cash before acquiring Wyeth. They cut the dividend to help pay for the acquisition, they were announced together.

PFE is a trash stock in my opinion but not for your incorrect assumptions about their cash position.


On Nov 06 03:50 PM Matthew J Goldseth wrote:

> I would argue one point here....To put Merck and Pfizer in the same
> boat shows a lack of insight bthat screeners and quick reviews of
> financials wont provide. Illustrating only a lack of growth and pointing
> out dividends as a balancing factor overlooks the greater acquisition
> strategy of these firms. Merck's acquisition of Schering definitely
> provides a boost and makes it, I believe,the #2 drugmaker and gives
> it greater leverage for future deals, pricing, R&D, etc.This
> is a great investment as opposed to PFE which not only LACKED growth
> but was facing numerous patent expirations and lacking any suitable
> strategy to counter that, they slashed the dividend to preserve capital.
>
>
> I dare say that hose of us who bought MRK in the last few weeks are
> feeling a lot more secure in the future than PFE shareholders!

CIT's bankruptcy filing, including a full listing of its creditors. CIT lists $65B in liabilities.

CIT is not the same company as Citigroup (C) for starters. Secondly, Citigroup did not acquire Wachovia, Wells Fargo did and they don't have any guarantees from the government. Lastly, why would you cite a deal that never occurred between two companies that have nothing to do with CIT filing for bankruptcy?

So you are clear:
CIT is not C
C did not buy Wachovia
WFC bought Wachovia
Neither WFC, C or Wachovia have anything to do with CIT going bankrupt.

On Nov 01 06:19 PM JohnLocke wrote:

> Taken from:econompicdata.blo...
>
>
> "Citigroup Inc. will acquire the bulk of Wachovia's assets and liabilities,
> including five depository institutions and assume senior and subordinated
> debt of Wachovia Corp. Wachovia Corporation will continue to own
> Wachovia Securities, AG Edwards and Evergreen. The FDIC has entered
> into a loss sharing arrangement on a pre-identified pool of loans.
> Under the agreement, Citigroup Inc. will absorb up to $42 billion
> of losses on a $312 billion pool of loans. The FDIC will absorb losses
> beyond that. Citigroup has granted the FDIC $12 billion in preferred
> stock and warrants to compensate the FDIC for bearing this risk.
>
> This is where John dives in (FYI- Sheila Bair is the Chairperson
> of the FDIC):
>
> And so we need to understand the significance of that guarantee.
> The significance is as follows: Once Citi owns $312 billion in assets
> on which they can only lose $42 billion the remaining pool must be
> worth $270 billion. That $270 billion is guaranteed by the US Government
> – as the FDIC is a full faith and credit organisation. Citigroup
> can put that $270 billion (plus the $42 billion in non-guaranteed
> assets) in a pool and repo it – and as Treasuries yield very little
> they will wind up paying well under a percent of interest. The Sheila
> Bair decision was equivalent to a cash injection into Citigroup of
> 270 billion because the repo-market will turn government guaranteed
> loans into cash."
>
> CIT has the benefit of keeping all of it's business branchs out of
> bankruptcy but is one giant hydra of a business thanks to Glass-Stegal
> repeals in 1999 which by the way were because of CIT and then Treasury
> Secretary Robert Rubin who later became CEO of CIT....
>
> Open your eyes to the larger picture here...

CIT's bankruptcy filing, including a full listing of its creditors. CIT lists $65B in liabilities.

You can keep spouting off about $300 billion that CIT recieved but it doesn't make it true. The release even states they only recieved $2.3 billion from the government. Be pissed off about the bailout all you want, just don't make stuff up to justify being pissed off.


On Nov 01 04:39 PM JohnLocke wrote:

> "Under the proposed prepackaged plan of reorganization, all existing
> common and preferred stock will be cancelled upon emergence."
>
> So much for that preferred stock given to the FED and the FDIC as
> collateral for the 300 Billion in bailout money they recieved...
>
>
> What a bunch of crooks...

Third Quarter Earnings Derby: Stocks Still in the Game

Apparently it isn't lasting another session, the market is giving back all of yesterdays gains. This kind of reminds me of when the tech bubble popped, it seems very random when the market starts making these large daily swings. I didn't see any news to make the DJIA cratar 200 points a day after the GDP did better then expected.

Largely unnoticed in Fed Governor Tarullo's testimony yesterday was a plan forcing banks to allow customers to opt in to overdraft protection, rather than enrolling them by default. Or, in other words, "kiss much of your $38.5B-a-year cash cow bye-bye."

Hardly. For checks the banks will rake in the cash with multiple bounced check fees, more then enough to offset the loss of overdraft fees and that includes the stupid debit card overdrafting.

The whole point of debit cards was to stop you from overdrafting by limiting what you can spend to what you have. There never should have been an overdraft program attached to it.

Investing in High-Yield Dividend Stocks

Ok, who has ideas on where to put new money now? As an alaska resident with a family, the influx of cash from the Permenant Fund Dividend has made its way into my various investment accounts. I utilize a dividend growth strategy (as evidenced by who I follow on here) and I track around 60 stocks at any given time.

With the runup from March, every last one I follow has risen enough to drop into the "hold" catagory. I am just stumped. I don't mind sitting in cash but I thought I would ask for ideas in this thread, given that the 4 people I most respect for investment advice/suggestions have posted here.

Will Altria Group Burn Out Long Term?

How many different screen names are you going to post under?


On Oct 09 11:27 AM bobbybutte wrote:

> As a person who has achieved financial independence SOLELY from my
> investment in Altria I feel the need to add a few things
>
> 1) the stock did not drop as much during the fall off as you said
> so of course it has not risen as fast during the run up
>
> 2) if you bought the stock when this decade started despite the fact
> the Dow is down in that time frame the stock has compounded at about
> 18% annually which is not so bad
>
> It is clear that you know very little about Altria but Im glad you
> and many others have predcited the stocks demise
>
> It has enabled me to avoid workinga job and has helped me achieve
> financial security

Activision Blizzard: Major Investing Opportunity

Dealing with the company is terrible. However bad it is though, 99.9% of gamers will bitch and moan and still pay for their game of choice.

7 Dividend Stocks Increasing Cash Payouts

Every time I look at SYY for an investment, I love the fundamentals. But one thing haunts me, the rising price of oil. SYY would have gotten crushed if oil prices remained where they were last summer, the dividend long gone. Oil prices will continue to rise and the corresponding rise in gas prices will outpace their ability to raise their rates.

That is the one thing that keeps me out of SYY.

Three Midcap Tech Stocks with Rising Dividends

I have been reading SA for a while now and somehow missed your articles. I am certainly glad I found them, as these three stocks are now on my "further research" list and will hopefully make it onto my watch list.

Excellent article, and so are all the other ones I had to go back and read to get caught up on your market take.

Dividend Stocks vs. Fixed Income: Which Is Better for Retirement?

"The company currently yields and trades at times/earnings."

You forgot something in that sentence.

6 High Yield Dividend Stocks You'll Wish You'd Bought

The only problem I see with WIN is that the payout ratio is sitting at 117% which they obviously can't keep doing. The CEO has said the dividend is safe but remember that Liveris (DOW) and Immelt (GE) said the same thing before slashing dividends.

The economy appears to be coming back faster then anyone anticipated which could help restore some of that 57% loss in revenue for WIN and cover that dividend.

I don't think a position in WIN would be a terrible idea if it is part of your speculative portfolio.

Becton Dickinson: All the Attributes of a Dividend Aristocrat

gnv, just ignore dividendmachine. He used to post as dividendgrowthinvestor until he got that name shutdown for copying the real poster Dividend Growth Investor. All he does is make claims he cannot or will not provide proof of in a lame effort to sell a crappy book.

You are better off reading what Dividends4life and Dividend Growth Investor publish here and on their websites and ignoring dividendmachine.

World Wrestling Entertainment: A High Dividend Stock Due for Big Profits

" a hugely profitable event that set the record for Pay-per-View Sports Entertainment revenue, grossing $43 million. "

I don't trust an article where the author either lies or makes it obvious he didn't do his research. De La Hoya/Mayweather did 2.15 million buys and grossed $118 million. UFC 100 did $75 million on 1.5 million buys. A Tyson fight is up there at 1.9 million buys.

WWE is getting crushed by the UFC on PPV buys and revenues. More and more fans are switching from fake fights to real fights, there will always be a niche for pro wrestling as a soap opera for men but it will never be a real investment.

Assessing BDCs' Rise from the Grave

ACAS will end up bankrupt or a penny stock in a couple years. Management is clueless, lied to investors about their dividend (which prompted a class action lawsuit) and are taking steps to dilute the bejeebus out of current shareholders.

It makes for a nifty trade as it bounces around from $2.75 to $3.50. It is the only stock I consider a surefire bet to short.