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cpa28761

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  • Low, Medium or High Yield: 16 Dividend Growth Stocks for Every Type of Investor [View article]
    Robert, hindsight will always be 20/20.

    There is also a more serious issue involved here. Placing a stop loss is no guaranty that the trade will be executed at that price. During the "flash crash", a $50 stop loss order on PG may have executed at $39.37. Stop loss orders may not be the safety valve some think they are.

    Sorry to rain on your levity parade, Robert.:-)

    Sheldon
    Jul 9 03:04 PM | 3 Likes Like |Link to Comment
  • 5 Undervalued Blue Chips With Above-Average and Growing Yield [View article]
    If no one minds, I'll give my point of view. Currency is one more dimension of diversification. I recognize that every large cap company does business in multiple countries with multiple currencies. Still in all, when they pay a dividend they do so in their local currency.

    If the US$, in any one year, appreciates vs. any other currency, that will reduce the dividend received by US shareholders from companies headquartered in that country. However, to use that as a criterion for evaluating dividend increases or decreases involves an implicit assumption that the US$ will always appreciate vs. the other currency. That's a bad assumption. The earnings a company generates and upon which it pays dividends is one decision process. Holding assets denominated in currencies other than one's local currency is another.
    Jul 9 02:52 PM | 4 Likes Like |Link to Comment
  • NextEra Energy: A Dividend Stock Pick for the Next 5 Years [View article]
    wbhobbs, you're late to the party but right-on with your comment. Current assets and current liabilities are not important in a utility. 90% of NEE's assets are in power generating equipment and other long-term assets.

    Any company needs cash to pay dividends. However, the pay-out ratio is of paramount importance.

    Long: NEE
    Jul 9 12:32 PM | Likes Like |Link to Comment
  • Low, Medium or High Yield: 16 Dividend Growth Stocks for Every Type of Investor [View article]
    How do you differentiate between a stock "crashing" and a buying opportunity?
    Jul 9 07:27 AM | Likes Like |Link to Comment
  • 5 Undervalued Blue Chips With Above-Average and Growing Yield [View article]
    NVS is one of the principal holdings in my healthcare basket along with JNJ and ABT. NVS is a highly diversified company somewhat similar to JNJ and ABT in that they are involved several healthcare activities. I find them preferable to PFE, MRK, and BMY that seem to focus almost exclusively on finding blockbuster drugs. Exposure to the Swiss Frank, as opposed to the US$, adds another element to diversification.
    Jul 8 03:45 PM | 5 Likes Like |Link to Comment
  • 5 Undervalued Blue Chips With Above-Average and Growing Yield [View article]
    Robert, the 15% Swiss withholding is a dollar-for-dollar credit. Any tax preparation software will handle it for you.
    Jul 8 03:39 PM | 4 Likes Like |Link to Comment
  • 8 Large-Cap Stocks With Excellent Dividend Trends [View article]
    An article highlighting eight stocks where six yield less than 2% is not exactly an article on "dividend stocks".
    Jul 7 09:36 PM | Likes Like |Link to Comment
  • McDonald's Corporation: Dividend Stock Analysis [View article]
    I haven't seen RichJoy around for a while, either.
    Jul 7 04:44 PM | 2 Likes Like |Link to Comment
  • McDonald's Corporation: Dividend Stock Analysis [View article]
    For what it's worth, Merrill Lynch, today, increased its price target on MCD to $96.
    Jul 7 11:28 AM | 1 Like Like |Link to Comment
  • McDonald's Corporation: Dividend Stock Analysis [View article]
    Gunny:

    YOC is a tool for planning and analysis. It is not a tool for immediate action. Your 7%+ proves that you did better by investing in MCD than you would have had you invested in a bond yielding, say, 5%.

    Today is the first day of the rest of your life. Do you feel that there is another investment that will provide a superior level of TOTAL return to MCD over a time horizon? Yes, you can easily beat MCD's yield of 2.87%. You can beat the yields of KO and PEP, which are also below 3%. But can you beat the TOTAL return over whatever period you specify? AND, how would the alternative investment fit into your overall portfolio?
    Jul 7 09:28 AM | 2 Likes Like |Link to Comment
  • McDonald's Corporation: Dividend Stock Analysis [View article]
    Give yourself a pat on the back for turning 16K into 42K, but that's as far as it goes. You have 42K today. What's the best way to invest it? If yield is your sole objective, you can buy a bond or a preferred stock. If growth is your objective, maybe some other stock. I hold JNJ and ABT in my health care basket. I hold MCD in my consumer discretionary basket.
    Jul 6 10:49 PM | 2 Likes Like |Link to Comment
  • Dividend Stocks May Be a Good Retirement Strategy, But Protecting Your Principal Is Better [View article]
    >>>Dividend-p... stocks are good investments because they are often correlated with established, cash-flow healthy companies, not because dividends are inherently a superior strategy.<<<

    That is absolutely correct.
    Jul 6 10:13 PM | 1 Like Like |Link to Comment
  • McDonald's Corporation: Dividend Stock Analysis [View article]
    Gunny, the short answer is that it is not worth it.

    Participation in SA has taught me a lot and has crystallized some of my ideas. Whether we talk "growth" investing of "dividend growth" investing, the name of the game is still "total returns". MCD has a track record of significant dividend increases for two reasons. First, is their policy to pay dividends. Second and more important, they have a track record of increased earnings. Increasing earnings facilitate increasing dividends AND increasing stock prices. The theoretical value of any stock is the present value of its earnings stream. If you were to swap MCD (or KO or PEP) because you wanted a 3.5% yield, you would have to find an investment that could grow its earnings as consistently as the one you are selling.

    If you were 80-years-old and needed current income, I would recommend a utility or a telecom to yield 4% to 6%, but I don't think you fall into that category. My retirement portfolio is structured for the yield I need and an adequate dividend growth mix for inflation protection. I don't know your entire situation, but were I you, I would look at each investment on both its own merits and as it fits into the big picture.
    Jul 6 10:05 PM | 2 Likes Like |Link to Comment
  • 11 Up and Coming Dividend Kings to Buy Now [View article]
    It depends on when the debt is due. $58 Billion is long term. $7 Billion is current. They have $13.6 Billion in Accounts Receivable, which represents 40 days sales.

    In total, T's assets exceed its liabilities by $112.5 Billion.

    Don't take numbers out of context.
    Jul 6 03:13 PM | 2 Likes Like |Link to Comment
  • 5 Reasons to Own Shares of Coca Cola Rather Than Pepsi [View article]
    slam, you are absolutely correct. There are similarities between the two. There are differences as well. PEP may have more room to run. Their business model has more diversification from a product perspective and, perhaps, even a geographic perspective. In addition, diversification is the only free lunch in investing. I own both.
    Jul 6 11:58 AM | Likes Like |Link to Comment
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