March 4, 2017

The Nike Inc (NKE) Stock Dividend Is a Slam Dunk

NKE stock's solid earnings growth and impressive double-digit dividend growth demand your attention



I have been a big backer of Starbucks Corporation (NASDAQ:SBUX) for a number of years. The company’s strong leadership, impressive growth and iconic brand were all attractive. The dividend was another motive. Management’s focus has led to years of double-digit growth. That’s why I’m kicking myself for missing one very similar stock: Nike Inc (NYSE:NKE).

SBUX stock and NKE stock have essentially mirrored each other over the past five years. I have worn the dunce cap more than once trying to pick growth stocks, value stocks and special-situation plays.




March 1, 2017

Utility Dividend Growth Match-Up: Southern Company Vs. Consolidated Edison


It is no secret that utility stocks are great for income. They arguably enjoy the most defensive, recession-resistant business model one can find.

This makes them ideal for investors interested in high dividend yields, and safe dividend payouts.

Southern Company (SO) and Consolidated Edison (ED) are two of the largest utilities in the U.S.

Southern has raised its dividend for 15 years in a row. It is a Dividend Achiever, a group of 272 stocks with 10+ years of consecutive dividend increases.

ConEd has reached an even more exclusive level. It a Dividend Aristocrat, since it has raised its dividend for 43 years in a row.

This article will compare and contrast these two utility stocks, and try to determine which one is the better pick for income investors.



February 28, 2017

Why Starbucks Corporation (SBUX) Stock Is Right for Income Hunters

Double-digit increases to the dividend on SBUX stock are worthy of your attention



Who doesn’t like a juicy dividend yield between 3% and 4%? I know I sure do. And while a number of companies — like The Coca-Cola Co (NYSE:KO) and Procter & Gamble (NYSE:PG) — sport such a yield, the valuations surely don’t appear to be a bargain. I’m not here to argue the merits of these stocks though. Instead, I’m more excited by a trio like Visa Inc (NYSE:V), MasterCard Inc (NYSE:MA) and Starbucks Corporation (NASDAQ:SBUX).

Despite mediocre earnings growth, Coca-Cola and PG trade with respective forward price-to-earnings ratios of 21 and 22. Similarly, V, MA and SBUX stock trade with forward P/E ratios of 23, 22 and 23, respectively. However, they are often times lauded as being highly overvalued despite their strong brands and growth.

Specifically with Starbucks, a number of investors now claim its growth run is over. Why? Because its recent same-store sales grew less than 5% in the U.S. While 23 times expected earnings is not cheap, I don’t agree that Starbucks stock is overvalued given its growth, brand and dividend.




February 27, 2017

Pfizer Inc. (PFE) Invest For Attractive Valuation And The 4% Dividend Yield


Pfizer Inc. (NYSE:PFE) is one of the world’s largest pharmaceutical firms with sales exceeding $50 billion. The company is currently attractively valued at a blended P/E ratio of 13.3, offering a current dividend yield of 4%. Pfizer is awarded an S&P credit rating of AA and possesses a modest debt to capital ratio of 28%.

Prior to 2004, the company could have been described as a fast-growing dividend paying stock. However, since 2004, operating earnings growth has slowed considerably. Therefore, Pfizer was once a powerful total return producer that has morphed into a high-yielding blue-chip dividend paying stock offering only moderate growth potential and an above-average current yield.

Consequently, I believe that Pfizer Inc. (NYSE:PFE) is best suited for the prudent income-oriented investor seeking above-average current yield and safety. Therefore, Pfizer might be especially interesting to the retired investor looking for an above-average level of income in order to fund their retirement needs. However, I also intend to demonstrate that capital appreciation potential might also be surprisingly good going forward.



February 26, 2017

This Week's Most Significant Insider Trades: February 20-24, 2017

Disposals


GlaxoSmithKline plc (LON:GSK) insider Patrick Vallance sold 32,996 shares of the company’s stock in a transaction on Thursday, February 16th. The stock was sold at an average price of GBX 1,624 ($20.23), for a total value of £535,855.04 ($667,648.94). Continue reading here.






Aflac Incorporated (NYSE:AFL) insider Charles D. Lake II sold 8,693 shares of Aflac stock in a transaction dated Friday, February 17th. The stock was sold at an average price of $70.85, for a total value of $615,899.05. Following the completion of the sale, the insider now directly owns 28,756 shares in the company, valued at $2,037,362.60. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Continue reading here.


Aflac Incorporated (NYSE:AFL) Director Robert B. Johnson sold 1,975 shares of the company’s stock in a transaction on Tuesday, February 21st. The shares were sold at an average price of $71.45, for a total value of $141,113.75. Following the completion of the transaction, the director now directly owns 15,306 shares in the company, valued at $1,093,613.70. The transaction was disclosed in a filing with the SEC, which is available through the SEC website. Continue reading here.


Dr Pepper Snapple Group, Inc (NYSE:DPS) insider Angela A. Stephens sold 2,100 shares of the firm’s stock in a transaction on Friday, February 17th. The shares were sold at an average price of $94.05, for a total transaction of $197,505.00. Following the completion of the transaction, the insider now directly owns 8,505 shares in the company, valued at $799,895.25. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Continue reading here.

Dr Pepper Snapple Group, Inc (NYSE:DPS) insider James J. Johnston, Jr. sold 33,314 shares of the firm’s stock in a transaction on Tuesday, February 21st. The stock was sold at an average price of $94.63, for a total value of $3,152,503.82. Following the completion of the sale, the insider now directly owns 7,861 shares of the company’s stock, valued at $743,886.43. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. Continue reading here.

Amazon.com, Inc. (NASDAQ:AMZN) insider David Zapolsky sold 503 shares of the business’s stock in a transaction dated Tuesday, February 21st. The stock was sold at an average price of $850.00, for a total value of $427,550.00. Following the transaction, the insider now owns 2,523 shares of the company’s stock, valued at $2,144,550. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this link. Continue reading here.


Amazon.com, Inc. (NASDAQ:AMZN) Director Tom A. Alberg sold 590 shares of the stock in a transaction that occurred on Tuesday, February 21st. The stock was sold at an average price of $850.00, for a total transaction of $501,500.00. Following the completion of the sale, the director now directly owns 22,525 shares of the company’s stock, valued at $19,146,250. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Continue reading here.

General Dynamics Corporation (NYSE:GD) insider S. Daniel Johnson sold 5,219 shares of General Dynamics Corporation stock in a transaction dated Tuesday, February 21st. The stock was sold at an average price of $189.31, for a total value of $988,008.89. Following the sale, the insider now owns 65,243 shares of the company’s stock, valued at approximately $12,351,152.33. The transaction was disclosed in a document filed with the SEC, which is available at this link. Continue reading here.

The Travelers Companies, Inc. (NYSE:TRV) SVP Douglas K. Russell sold 2,187 shares of The Travelers Companies stock in a transaction that occurred on Tuesday, February 21st. The shares were sold at an average price of $121.80, for a total transaction of $266,376.60. Following the sale, the senior vice president now owns 17,540 shares of the company’s stock, valued at $2,136,372. The sale was disclosed in a legal filing with the SEC, which is available at the SEC website. Continue reading here.



Apple Inc. (NASDAQ:AAPL) insider Johny Srouji sold 13,207 shares of Apple stock in a transaction that occurred on Wednesday, February 22nd. The shares were sold at an average price of $136.37, for a total value of $1,801,038.59. Following the transaction, the insider now directly owns 98,012 shares in the company, valued at approximately $13,365,896.44. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Continue reading here.



International Paper Company (NYSE:IP) insider Jeanmichel Ribieras sold 14,500 shares of the firm’s stock in a transaction on Wednesday, February 22nd. The shares were sold at an average price of $52.05, for a total value of $754,725.00. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Continue reading here.


International Paper Company (NYSE:IP) insider William P. Hoel sold 22,502 shares of the stock in a transaction that occurred on Thursday, February 23rd. The shares were sold at an average price of $52.63, for a total value of $1,184,280.26. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Continue reading here.

Microsoft Corporation (NASDAQ:MSFT) insider G Mason Morfit sold 4,616,000 shares of Microsoft Corporation stock in a transaction that occurred on Thursday, February 23rd. The stock was sold at an average price of $64.40, for a total value of $297,270,400.00. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Continue reading here.



Norfolk Souther Corporation (NYSE:NSC) EVP Marta R. Stewart sold 2,331 shares of the firm’s stock in a transaction on Tuesday, February 21st. The stock was sold at an average price of $124.43, for a total value of $290,046.33. Following the completion of the sale, the executive vice president now directly owns 16,156 shares of the company’s stock, valued at $2,010,291.08. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Continue reading here.


Nucor Corporation (NYSE:NUE) insider Raymond S. Napolitan, Jr. sold 12,400 shares of the business’s stock in a transaction that occurred on Wednesday, February 22nd. The stock was sold at an average price of $63.74, for a total value of $790,376.00. Following the transaction, the insider now directly owns 73,885 shares in the company, valued at $4,709,429.90. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Continue reading here.

Cisco Systems, Inc. (NASDAQ:CSCO) EVP Chris Dedicoat sold 34,597 shares of Cisco Systems stock in a transaction that occurred on Friday, February 24th. The stock was sold at an average price of $34.12, for a total transaction of $1,180,449.64. Following the completion of the sale, the executive vice president now directly owns 229,344 shares of the company’s stock, valued at $7,825,217.28. The transaction was disclosed in a legal filing with the SEC, which is accessible through the SEC website. Continue reading here.


Cisco Systems, Inc. (NASDAQ:CSCO) insider John T. Chambers sold 295,538 shares of the stock in a transaction on Thursday, February 23rd. The shares were sold at an average price of $34.06, for a total value of $10,066,024.28. Following the sale, the insider now directly owns 1,220,581 shares in the company, valued at $41,572,988.86. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. Continue reading here.

Cisco Systems, Inc. (NASDAQ:CSCO) Director Roderick C. Mcgeary sold 10,000 shares of the company’s stock in a transaction on Thursday, February 23rd. The shares were sold at an average price of $34.07, for a total value of $340,700.00. Following the completion of the transaction, the director now directly owns 122,721 shares in the company, valued at approximately $4,181,104.47. The sale was disclosed in a filing with the SEC, which can be accessed through this hyperlink. Continue reading here.

Stanley Black & Decker, Inc. (NYSE:SWK) insider James J. Cannon sold 7,473 shares of Stanley Black & Decker stock in a transaction dated Friday, February 24th. The shares were sold at an average price of $106.70, for a total value of $797,369.10. Following the transaction, the insider now directly owns 31,875 shares of the company’s stock, valued at approximately $3,401,062.50. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Continue reading here.

Wal-Mart Stores, Inc. (NYSE:WMT) major shareholder Jim C. Walton sold 4,375,337 shares of the firm’s stock in a transaction on Thursday, February 23rd. The shares were sold at an average price of $71.79, for a total value of $314,105,443.23. Following the transaction, the insider now owns 10,507,127 shares in the company, valued at $754,306,647.33. The sale was disclosed in a document filed with the SEC, which is available at this link. Major shareholders that own 10% or more of a company’s stock are required to disclose their sales and purchases with the SEC. Continue reading here.

Waste Management, Inc. (NYSE:WM) VP Jeff M. Harris sold 28,490 shares of the business’s stock in a transaction on Wednesday, February 22nd. The stock was sold at an average price of $72.76, for a total transaction of $2,072,932.40. Following the transaction, the vice president now directly owns 19,418 shares of the company’s stock, valued at approximately $1,412,853.68. The transaction was disclosed in a legal filing with the SEC, which is available through this hyperlink. Continue reading here.

Acquisitions:


American Express Company (NYSE:AXP) Director John Joseph Brennan purchased 4,000 shares of the company’s stock in a transaction on Wednesday, February 22nd. The shares were purchased at an average cost of $79.74 per share, with a total value of $318,960.00. Following the transaction, the director now directly owns 4,000 shares in the company, valued at $318,960. The acquisition was disclosed in a filing with the SEC, which is available at the SEC website. Continue reading here.

Caterpillar, Inc. (NYSE:CAT) insider Lange Bob De purchased 1,000 shares of the company’s stock in a transaction that occurred on Tuesday, February 21st. The shares were purchased at an average cost of $99.32 per share, for a total transaction of $99,320.00. Following the completion of the transaction, the insider now owns 10,230 shares in the company, valued at approximately $1,016,043.60. The transaction was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Continue reading here.