Money Investing megathread extravaganza - Page 861

**DaFace** · 06:35 PM

A place to talk about investing stuff.

philfree · 06-20-2022, 09:26 PM

Dividend growth stocks. Just yesterday I read a spiel on a dividend growth stocks subscription with Marc Litchenfeld. It was Larry Kudlow and him. The Oxford Club

Forever Dividends

Here's some key points.

To identify a Forever Dividend stock, you want to see...

A public commitment to raising dividends every year
A high initial yield of double the S&P 500’s average
High growth of the dividend by more than 10% annually
A low payout ratio of 75% or less
And a low cash flow ratio, also of 75% or less.

I didn't subscribe but I found it educational.

**Rain Man** · 06-20-2022, 09:34 PM

Quote:

Originally Posted by philfree

Dividend growth stocks. Just yesterday I read a spiel on a dividend growth stocks subscription with Marc Litchenfeld. It was Larry Kudlow and him. The Oxford Club

Forever Dividends

Here's some key points.

To identify a Forever Dividend stock, you want to see...

A public commitment to raising dividends every year
A high initial yield of double the S&P 500’s average
High growth of the dividend by more than 10% annually
A low payout ratio of 75% or less
And a low cash flow ratio, also of 75% or less.

I didn't subscribe but I found it educational.

Interesting.

I'll admit that I'm kind of irrationally a fan of dividend stocks. I think some of it is psychological. If I'm having to sell stocks in retirement to fund my lifestyle, that's a retreat in my mind. I'm giving up assets. But if I'm getting dividends, my original asset stays intact. That would help me sleep at night.

I realize that I'm likely giving up some total return, but in a normal market I don't want to find myself selling stocks in a downturn so I can buy a pizza or broccoli. With dividend stocks I won't really care about normal stock market fluctuations so much because I'm not selling the stock.

The kicker this past couple of years is that the markets have been far from normal. Massive drops, big runups, and as I mentioned earlier, stable dividend stocks that immediately lowered their dividend to zero, which screwed over my strategy. But with change comes opportunity, so I'm trying to figure out if there's way to get some of that money back.

philfree · 06-20-2022, 09:39 PM

Quote:

Originally Posted by Rain Man

Interesting.

I'll admit that I'm kind of irrationally a fan of dividend stocks. I think some of it is psychological. If I'm having to sell stocks in retirement to fund my lifestyle, that's a retreat in my mind. I'm giving up assets. But if I'm getting dividends, my original asset stays intact. That would help me sleep at night.

I realize that I'm likely giving up some total return, but in a normal market I don't want to find myself selling stocks in a downturn so I can buy a pizza or broccoli. With dividend stocks I won't really care about normal stock market fluctuations so much because I'm not selling the stock.

The kicker this past couple of years is that the markets have been far from normal. Massive drops, big runups, and as I mentioned earlier, stable dividend stocks that immediately lowered their dividend to zero, which screwed over my strategy. But with change comes opportunity, so I'm trying to figure out if there's way to get some of that money back.

It's probably good to have dividend and growth stocks both.

Quote:

And I also look very closely at cash on hand and debt.

If a company has a lot of cash in the bank... and it isn’t heavily in debt... again, you can expect the dividend to continue to rise quickly.

Halfcan · 06-20-2022, 09:47 PM

Quote:

Originally Posted by lewdog

None.

I'm not catching a falling knife in these market conditions.

Here are the ones I am interested in for a combination of reasons.

52-week lows.
Nice Dividends.
Near or below Book Value.
Good Earnings.
Good debt ratios.

ET
ING
SUN
RKT
FE
FDP
CNO
CM
AMD
CONN
GILD

Any thoughts? I am looking for long-term holds with dividends and growth.

**lewdog** · 06-20-2022, 09:50 PM

Quote:

Originally Posted by Halfcan

Here are the ones I am interested in for a combination of reasons.

52-week lows.
Nice Dividends.
Near or below Book Value.
Good Earnings.
Good debt ratios.

ET
ING
SUN
RKT
FE
FDP
CNO
CM
AMD
CONN
GILD

Any thoughts? I am looking for long-term holds with dividends and growth.

Only one of those I'd touch is AMD but I don't think it pays a dividend?

I'd consider GILD for the dividend. Pass on the rest.

**Rain Man** · 06-20-2022, 09:53 PM

Quote:

Originally Posted by Halfcan

Here are the ones I am interested in for a combination of reasons.

52-week lows.
Nice Dividends.
Near or below Book Value.
Good Earnings.
Good debt ratios.

ET
ING
SUN
RKT
FE
FDP
CNO
CM
AMD
CONN
GILD

Any thoughts? I am looking for long-term holds with dividends and growth.

I don't have any of those except GILD, and GILD has been slightly better than cash. I've had the stock for several years and it's actually down over that time, but the dividend is large enough that I'm getting about a 2 percent annual return. That's not going to cut it in the long run, but I've been holding the stock because it's (slightly) better than holding cash and I'm already holding more cash than I should.

I have no idea what the prospects are, but something needs to change for it to be promising.

**Rain Man** · 06-20-2022, 09:58 PM

Quote:

Originally Posted by lewdog

Only one of those I'd touch is AMD but I don't think it pays a dividend?

I'd consider GILD for the dividend. Pass on the rest.

I keep thinking about buying AMD, and should have. I've got a few other chipmakers and they've all generally done well, but I missed the boat on AMD.

**lewdog** · 06-20-2022, 10:02 PM

Quote:

Originally Posted by Rain Man

I keep thinking about buying AMD, and should have. I've got a few other chipmakers and they've all generally done well, but I missed the boat on AMD.

Hasn’t been at these levels since July of ‘21, 50% off it’s high currently.

Just saying.

**Buehler445** · 06-20-2022, 10:03 PM

I think industry thinks of dividends like prehistoric times.

The way I see sentiment of management is that once they can get away with dumping a dividend they won’t go back.

Probably not for utilities etc.

Pure speculation here but I’d guess they’d reserve cash for acquisitions to bump stock prices. That’s pretty much what GE did. Fell in love with acquisitions that would bump their earnings they could extrapolate their (better) earnings multiple to and bump their stock price. Then when the acquisitions didn’t yield corresponding earnings multiples they had to pay the piper. Cut the dividend and divested. And Emmelt ate shit and his successor lasted 9 months.

Pure speculation but history rhyming and all.

**Rain Man** · 06-20-2022, 10:04 PM

Quote:

Originally Posted by lewdog

Hasn’t been at these levels since July of ‘21, 50% off it’s high currently.

Just saying.

(Finger hovers over button.)

Halfcan · 06-20-2022, 10:06 PM

Quote:

Originally Posted by lewdog

Only one of those I'd touch is AMD but I don't think it pays a dividend?

I'd consider GILD for the dividend. Pass on the rest.

Why not the others- they are at bargain prices?

I am also looking at these.

EMN Eastman Chemical
ABR Arbor Reality
HCA Health
ORC Orchid Island Capitol

**Rain Man** · 06-20-2022, 10:07 PM

Quote:

Originally Posted by Buehler445

I think industry thinks of dividends like prehistoric times.

The way I see sentiment of management is that once they can get away with dumping a dividend they won’t go back.

Probably not for utilities etc.

Pure speculation here but I’d guess they’d reserve cash for acquisitions to bump stock prices. That’s pretty much what GE did. Fell in love with acquisitions that would bump their earnings they could extrapolate their (better) earnings multiple to and bump their stock price. Then when the acquisitions didn’t yield corresponding earnings multiples they had to pay the piper. Cut the dividend and divested. And Emmelt ate shit and his successor lasted 9 months.

Pure speculation but history rhyming and all.

That's something I'm really wondering about. I don't see why companies offer dividends at all. It's a big cash drain. So will the big hotels and cruise lines ever bring them back? If I was the CEO, I'd probably lobby the board against it.

Halfcan · 06-20-2022, 10:08 PM

Quote:

Originally Posted by lewdog

Hasn’t been at these levels since July of ‘21, 50% off it’s high currently.

Just saying.

This!

That is why I shop in the bargain bin.

neech · 06-21-2022, 08:08 AM

Quote:

Originally Posted by Halfcan

Why not the others- they are at bargain prices?

I am also looking at these.

EMN Eastman Chemical
ABR Arbor Reality
HCA Health
ORC Orchid Island Capitol

I had EMN for awhile I sold at around 112 a year ago as it was trending up nicely then started to edge downward more then I liked so I had to give it the knife. It has a nice dividend also.

scho63 · 06-21-2022, 08:41 AM

Check out BDN at these levels for it's dividend

Brandywine Realty Trust.

06-27-2016, 11:23 AM
DaFace Kind of a mod Join Date: Aug 2005 Location: Donkey Land Casino cash: $-1633101	Investing megathread extravaganza A place to talk about investing stuff. Last edited by DaFace; 02-19-2021 at 06:35 PM..
Posts: 53,117

06-20-2022, 09:26 PM	#12901
philfree Indian Twitter Join Date: Nov 2000 Location: Free Agency Casino cash: $-1963802	Dividend growth stocks. Just yesterday I read a spiel on a dividend growth stocks subscription with Marc Litchenfeld. It was Larry Kudlow and him. The Oxford Club Forever Dividends Here's some key points. To identify a Forever Dividend stock, you want to see... A public commitment to raising dividends every year A high initial yield of double the S&P 500’s average High growth of the dividend by more than 10% annually A low payout ratio of 75% or less And a low cash flow ratio, also of 75% or less. I didn't subscribe but I found it educational. __________________ [/SIGPIC]
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06-20-2022, 10:03 PM	#12909
Buehler445 Supporter Join Date: Apr 2007 Location: Scott City KS Casino cash: $-1345266	I think industry thinks of dividends like prehistoric times. The way I see sentiment of management is that once they can get away with dumping a dividend they won’t go back. Probably not for utilities etc. Pure speculation here but I’d guess they’d reserve cash for acquisitions to bump stock prices. That’s pretty much what GE did. Fell in love with acquisitions that would bump their earnings they could extrapolate their (better) earnings multiple to and bump their stock price. Then when the acquisitions didn’t yield corresponding earnings multiples they had to pay the piper. Cut the dividend and divested. And Emmelt ate shit and his successor lasted 9 months. Pure speculation but history rhyming and all.
Posts: 59,928

06-21-2022, 08:41 AM	#12915
scho63 Politically Incorrect Join Date: Feb 2009 Location: Scottsdale, AZ Casino cash: $-690000	Check out BDN at these levels for it's dividend Brandywine Realty Trust. __________________ *"The only difference between sex for free and sex for money is that sex for free costs you a WHOLE LOT more!"* ~Redd Foxx~ ~~2018 2019 2020 20212022 2023~~ 2024 Adopt a Chief - Clark Hunt and Brett Veach "The men who drafted Patrick Mahomes"
Posts: 54,907