February 20, 2017

Why The Coca-Cola Co (KO) Dividend Star is Waning

Patience may pay off for KO holders, but beware...


The Coca-Cola Co (KO) manufactures, distributes, and markets nonalcoholic beverages worldwide. This dividend king has paid uninterrupted dividends on its common stock since 1893 and increased payments to common shareholders every for 55 years in a row. Warren Buffett’s Berkshire Hathaway Inc.‘s (BRK.A,BRK.B) is the largest shareholder of the world’s largest beverage company.

The company’s last dividend increase was in February 2017 when the Board of Directors approved an 5.70% increase to 37 cents per share. Coca-Cola’s largest competitors include PepsiCo, Inc. (PEP), Dr Pepper Snapple Group Inc. (DPS) and Monster Beverage Corporation (MNST).

Over the past decade this dividend growth stock has delivered an annualized total return of 8.90% to its shareholders.




February 18, 2017

Notable Analyst Upgrades and Downgrades for Week of February 13, 2017

Upgrades:


Morgan Stanley upgraded Nucor (NYSE: NUE) from Equalweight to Overweight with a price target of $78.00. Continue reading here.

Morgan Stanley upgraded shares of Under Armour, Inc. (NYSE:UAA) from an underweight rating to an equal weight rating in a research note published on Tuesday morning. Continue reading here.

J P Morgan Chase & Co upgraded shares of Petroleo Brasileiro S.A.- Petrobras (NYSE:PBR) from a neutral rating to an overweight rating in a research note issued to investors on Monday morning. Continue reading here.

Devon Energy Corporation (NYSE:DVN) was upgraded by equities research analysts at Societe Generale from a hold rating to a buy rating in a report released on Wednesday. The firm currently has a $55.00 price target on the energy company’s stock. Societe Generale’s price objective suggests a potential upside of 24.69% from the stock’s previous close. Continue reading here.

Bank of America Corporation upgraded shares of Parker-Hannifin Corporation (NYSE:PH) from a neutral rating to a buy rating in a research note published on Wednesday morning. Bank of America Corporation currently has $180.00 price target on the stock, up from their prior price target of $157.00. Continue reading here.

Fortis Inc. (NYSE:FTS) was upgraded by investment analysts at CIBC from a neutral rating to an outperform rating in a research report issued to clients and investors on Thursday. Continue reading here.

Hershey Company (The) (NYSE:HSY) was upgraded by investment analysts at Argus from a “hold” rating to a “buy” rating in a research report issued to clients and investors on Thursday. Continue reading here.

Downgrades:


Agrium Inc. (NYSE:AGU) (TSE:AGU) was downgraded by stock analysts at Scotiabank from an outperform rating to a sector perform rating in a research note issued on Monday. Continue reading here.

Reynolds American Inc (NYSE:RAI) was downgraded by stock analysts at Royal Bank Of Canada from an outperform rating to a sector perform rating in a note issued to investors on Monday. They currently have a $60.00 price target on the stock, up from their prior price target of $54.00. Royal Bank Of Canada’s price objective would indicate a potential downside of 0.94% from the company’s current price. Continue reading here.

Jefferies & Co has downgraded Reynolds American Inc. (NYSE:RAI) from Buy to Hold in a report released on Friday February 17, 2017. Continue reading here.

Argus lowered shares of Johnson Controls International PLC (NYSE:JCI) from a buy rating to a hold rating in a report issued on Tuesday morning. Continue reading here.

Wells Fargo & Company (NYSE:WFC) was downgraded by research analysts at Credit Suisse Group from an “outperform” rating to a “neutral” rating in a research note issued to investors on Friday. They presently have a $56.00 target price on the financial services provider’s stock. Credit Suisse Group’s target price suggests a potential downside of 3.65% from the stock’s previous close. Continue reading here.

Illinois Tool Works Inc. (NYSE:ITW) was downgraded by investment analysts at Goldman Sachs Group, Inc. (The) from a neutral rating to a sell rating in a report issued on Friday. They currently have a $121.00 price target on the stock. Goldman Sachs Group, Inc. (The)’s target price would indicate a potential downside of 7.11% from the stock’s current price. Continue reading here.

February 16, 2017

7 Stocks Warren Buffett Is Buying or Selling

Love 'em or hate 'em, the 'Oracle of Omaha' has had his hands in 'em



U.S. equities are drifting higher again on Wednesday, notching fresh new highs as the “Trumpflation” rally looks all but unstoppable. Yet breadth remains mixed, with pockets of strength in financials and Big Tech stocks, but areas of weakness including energy and utilities.

For the first time in years, it’s a stock picker’s market as cross asset correlations diminish and stocks stop rising and falling in unison — based, as it was, largely on what the Federal Reserve was doing — and instead shifting based on the individual dynamics of each industry and sector group. In the lingo of the trade: We’re seeing a return of investing based on idiosyncratic catalysts instead of “macro” investing.

For those looking for new trading ideas, the latest batch of 13F filings reveals what moves hedge funds are making (with a 45-day delay since the end of the last quarter).

Superficially, let’s take a look at what Warren Buffett’s Berkshire Hathaway Inc. (NYSE:BRK.A, NYSE:BRK.B) has been up to:




February 15, 2017

4 High-Yield Dividend Stocks You Don't Have to Babysit

Looking for a top-notch income stock to buy and hold? Our team of Fools thinks you should give these four companies a closer look.



Most income investors are naturally drawn to the stocks that offer up high yields. That's understandable, but oftentimes, a market-topping yield can be a sign that a business is in trouble. For that reason, investors need to be picky about which dividend stocks they choose to buy.

To aid you in your search, we asked a team of Fools to share a high-yield stock they think is a great buy-and-hold candidate. Read on to see why they highlighted Philip Morris International (NYSE:PM), Brookfield Property Partners (NYSE:BPY), Pfizer (NYSE:PFE), NextEra Energy Partners (NYSE:NEP).




February 14, 2017

4 REITs For Retirement


Last week I attended The Money Show in Orlando where I spoke to many retirees who were seeking reliable sources of income.

As I walked across the exhibit floor, I was amazed to see such a diverse number of companies – some considered dividend stalwarts and others that had the aura of the “selling swampland in Florida” pitch. I went from booth-to-booth and I was taken away by the fear that many retirees must have as they seek out the most reliable sources of income.

While retirement is meant to suggest a happy time to enjoy the "golden years" in life, the fear of losing money is oftentimes the culprit that detracts from a quality lifestyle - retirement satisfaction appears positively correlated with income, net worth, and health.

As the editor of The Forbes Real Estate Investor, I am keenly focused on helping retirees reduce investment risk and sleep well at night. In fact, I created the SWAN portfolio (SWAN stands for sleep well at night) specifically to assist investors with building a nest egg that grows in size.

REIT (real estate investment trust) income should be a part of the retirement process and investors should take a closer look at the asset class that offers an outsized dividend yield along with very predictable sources of income.

However, REITs should not be painted by the same brush - just because you are an investor in a REIT does not guarantee that the dividend income will be sustainable. Most all retirees are counting on the income to fund expenses or enjoy their quality of living, a dividend cut could mean be devastating.