Dividend Growth Investing And DRIPs Work Under All Conditions [View article]
" I would bet that his model does NOT include a drop in the share price equal to the $dividend paid just after the payment and before the div was reinvested."
Research has shown that on (or around) "pay date" there is a minuscule price increase (not decrease).
To arbitrage this, most brokerages will "pre-buy" shares, and upon "pay date" deliver either cash and/or shares to their customers. Customers who get cash result in the brokerage selling the pre purchase, those that re-invest get shares.
The price movements/adjustments around ex-dividend day have no impact for DGI and DRIP. I would also note that is also arbitraged away as well.
Regarding earnings, price, and dividends. I would agree that the price will follow actual earnings over a sufficient time-frame with the addition that, at a point in time it's more likely to follow some "expected future earnings".
The dividends, which are paid via cash, may instead follow revenue. Since earnings are a derivative of revenue, I can understand the likelihood that over a sufficient time-frame that earnings growth may also be a proxy for DGR.
Dividend Stocks: Lose-Lose-Lose Proposition In Intermediate Term [View article]
James, It was _your_ assessment that was incorrect, and you should attempt to analyze why. To dismiss the flaws of your past reasoning means you will fail to learn from it.
" If your assessment of the probabilities and prospective returns was as mine was, then having made the return you alluded to was akin to having won by playing the slot machines. "
Do you accept that others may have had a different assessment? In which case they didn't "win in a casino", instead they made a proper assessment as opposed to yours.
If you feel you are never wrong, just that others "got lucky", then you should really reflect on _that_ problem.
A Few Reasons Why I Think The Latest Debt Offering From Aflac Is Fairly Attractive [View article]
tndrroot,
There is also the duration aspect (e.g. ~1 yr at 1.5% vs. 10 yr at 3.65%). If in a year from now they have to pay >3.8%, it's better to "refi" now.
The currency aspect is a tougher one to gauge. Then again, I expect that AFL has a pretty smart team that can evaluate the relative currency values and their future aspect.
I find it hard to believe that you don't understand how a key can prevent access. Is your vehicle locked? What about your house? What's it take to gain access to your workplace? I'm guessing your accounts have a "key" ...
BPC, You asked the question "what is in place to keep any company ..." The simple answer would be have it "keyed". I dunno if it is or not, but sure would be a simple solution.
Tesla and Lotus have no relationship at all any longer. The original roadsters used a Lotus frame (and little else). That has ended and a future roadster (if it ever happens) would be based upon the model S chassis.
Has ConocoPhillips Moved Too Far Too Fast? [View article]
wigit5,
If you assume, as the author, that:
"The best measure of a firm's ability to create value for shareholders is expressed by comparing its return on invested capital (ROIC) with its weighted average cost of capital (WACC)."
I'd contend that is hardly "best", and obviously results in wide "valuations" due to the WACC.
A Million Dollar Portfolio: Easier Than You Might Think [View instapost]
Yes, there are many ways to enjoy the "fruit" of your investment 10 years ago. I'll also guess that the two plants didn't produce the amount after year one that they do now.
The Safety Valve Of Dividend Growth Investing [View article]
Dividend Growth Investing And DRIPs Work Under All Conditions [View article]
Research has shown that on (or around) "pay date" there is a minuscule price increase (not decrease).
To arbitrage this, most brokerages will "pre-buy" shares, and upon "pay date" deliver either cash and/or shares to their customers. Customers who get cash result in the brokerage selling the pre purchase, those that re-invest get shares.
The price movements/adjustments around ex-dividend day have no impact for DGI and DRIP. I would also note that is also arbitraged away as well.
Regarding earnings, price, and dividends.
I would agree that the price will follow actual earnings over a sufficient time-frame with the addition that, at a point in time it's more likely to follow some "expected future earnings".
The dividends, which are paid via cash, may instead follow revenue. Since earnings are a derivative of revenue, I can understand the likelihood that over a sufficient time-frame that earnings growth may also be a proxy for DGR.
Dividend Stocks: Lose-Lose-Lose Proposition In Intermediate Term [View article]
It was _your_ assessment that was incorrect, and you should attempt to analyze why. To dismiss the flaws of your past reasoning means you will fail to learn from it.
" If your assessment of the probabilities and prospective returns was as mine was, then having made the return you alluded to was akin to having won by playing the slot machines. "
Do you accept that others may have had a different assessment? In which case they didn't "win in a casino", instead they made a proper assessment as opposed to yours.
If you feel you are never wrong, just that others "got lucky", then you should really reflect on _that_ problem.
A Few Reasons Why I Think The Latest Debt Offering From Aflac Is Fairly Attractive [View article]
There is also the duration aspect (e.g. ~1 yr at 1.5% vs. 10 yr at 3.65%). If in a year from now they have to pay >3.8%, it's better to "refi" now.
The currency aspect is a tougher one to gauge.
Then again, I expect that AFL has a pretty smart team that can evaluate the relative currency values and their future aspect.
The Bizarro World Of Tesla Longs [View article]
Yet YOU do ...
The Bizarro World Of Tesla Longs [View article]
Do you build straw-men for a living?
The Bizarro World Of Tesla Longs [View article]
There are also diesel refueling stations that are "card access only".
The Bizarro World Of Tesla Longs [View article]
Is your vehicle locked?
What about your house?
What's it take to gain access to your workplace?
I'm guessing your accounts have a "key" ...
The Bizarro World Of Tesla Longs [View article]
You asked the question "what is in place to keep any company ..."
The simple answer would be have it "keyed".
I dunno if it is or not, but sure would be a simple solution.
The Bizarro World Of Tesla Longs [View article]
The Bizarro World Of Tesla Longs [View article]
The Bizarro World Of Tesla Longs [View article]
Abenomics A Race To Nowhere [View article]
Has ConocoPhillips Moved Too Far Too Fast? [View article]
If you assume, as the author, that:
"The best measure of a firm's ability to create value for shareholders is expressed by comparing its return on invested capital (ROIC) with its weighted average cost of capital (WACC)."
I'd contend that is hardly "best", and obviously results in wide "valuations" due to the WACC.
A Million Dollar Portfolio: Easier Than You Might Think [View instapost]
"From seeds grow mighty oaks"