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Showing posts from February, 2018

10 Retirement Stocks That You Should Already Own

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They're great holdings for after you stop adding to your nest egg, but they also help grow that nest egg Some might ask, why are you investing so prudently now? Most investors say they want to build the biggest nest egg they can to fund the best possible retirement when that time comes. Once that day arrives, then they’ll change their portfolio to focus less on growth and more on income. The irony is, the stable stocks best suited to reliably fund a retirements are largely the same stocks you should arguably already own leading up to your retirement; consistency is crucial as you chip away at your financial goals. To that end, here’s a run-down of retirement stocks you should probably already own even before you make working at a job a thing of the past. Separately or collectively, they provide a nice balance of growth and income, as well as a comfortable balance of risk and reward. In most cases dividend — and dividend growth — is in the cards, yet not nece

5 Cheap Dividend Stocks With Growing Payouts

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There are still a few cheap stocks out there that also provide dividends Cheap dividend stocks have increased in demand ever since the financial crisis. To save the economy and the markets, the Federal Reserve repeatedly lowered interest rates. As a result, safer investments like bonds and Treasuries ended up yielding next to nothing. And so, retirement investors and income investors moved further out on the risk curve, buying up dividend stocks in the hunt for yield. Now the stock market is overvalued, and many dividend stocks are too. Having a 4% dividend means nothing if the stock falls by 30%. Thus, income investors should try to find dividends stocks that are already relatively cheap and are also growing dividends. One of the strategies of The Liberty Portfolio, my stock advisory newsletter, is to seek out cheaper stocks in Benjamin Graham fashion. It gives you less chance of losing your capital. If those stocks pay dividends, so much the better. Here are

Week's Most Significant Insider Trades: February 19 - 23, 2018

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Disposals: AFLAC Incorporated (NYSE:AFL) Chairman Daniel P. Amos sold 24,983 shares of the company’s stock in a transaction that occurred on Friday, February 16th. The shares were sold at an average price of $89.77, for a total transaction of $2,242,723.91. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink . Shares of AFLAC Incorporated (AFL) traded down $0.71 on Tuesday, reaching $88.92. 2,280,000 shares of the company traded hands, compared to its average volume of 2,780,000. AFLAC Incorporated has a fifty-two week low of $70.34 and a fifty-two week high of $91.73. The firm has a market capitalization of $34,960.00, a PE ratio of 8.08, a price-to-earnings-growth ratio of 2.34 and a beta of 1.01. The company has a debt-to-equity ratio of 0.22, a current ratio of 0.07 and a quick ratio of 0.07. Read more … C.H. Robinson Worldwide Inc (NASDAQ:CHRW) insider James Lemke sold 4,346 share

Notable Analyst Upgrades and Downgrades for Week of February 19, 2018

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Upgrades: American Electric Power (NYSE:AEP) was upgraded by Guggenheim from a “sell” rating to a “neutral” rating in a research note issued to investors on Tuesday. A number of other brokerages have also recently commented on AEP. Zacks Investment Research cut American Electric Power from a “hold” rating to a “sell” rating in a research note on Tuesday, December 12th. Morgan Stanley raised American Electric Power from an “equal weight” rating to an “overweight” rating and set a $83.00 price target on the stock in a research note on Wednesday, December 13th. ValuEngine raised American Electric Power from a “hold” rating to a “buy” rating in a research note on Tuesday, November 14th. Royal Bank of Canada reaffirmed a “hold” rating and issued a $74.00 price target on shares of American Electric Power in a research note on Monday, October 30th. Finally, Bank of America began coverage on American Electric Power in a research note on Tuesday, October 24th. They issued a “buy” ra

Bill Gates’ Portfolio: Reviewing One Of The Wealthiest Man’s Dividend Stocks – February 2018 Update

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Bill Gates is the second wealthiest man on the planet with a net worth in excess of $90 billion. Just like you and me, Bill wants to earn a return on his pile of cash. Of the 17 publicly-traded companies held in the Bill & Melinda Gates Foundation Trust, 12 pay dividends. In this article, I track and analyze changes in Bill Gates’ portfolio of dividend stocks. The fourth quarter of 2017 was uneventful. No new companies were added to the portfolio, and all of the trust’s existing core holdings were largely unchanged. Gates’ trust trimmed its position in Microsoft (MSFT) by 14%. Microsoft appeared as a new position in the second quarter of 2017 and was likely transferred from Bill Gates’ direction ownership to his trust instead, so you can’t read much into this activity. The only other move in the trust was a 7% decrease in its shares of Berkshire Hathaway. Similar to Microsoft, the trust’s stake in Warren Buffett’s company has fluctuated up and down each

Top 10 Canadian Stocks For A Retiree’s Portfolio

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Last week, I discussed the difference between a retirement portfolio and a retiree’s portfolio. There is a big difference between investing for the future and withdrawing from this investment to live. I put my portfolio on fast forward and took a look at trades I would do to make the switch toward a retire-ready portfolio. I was quite surprised to see how different both portfolios were. The point is that you must think about withdrawing money once you retire. Therefore, you need cash ready to be withdrawn, and you need a strong portfolio paying a healthy dividend to support your lifestyle as much as possible. In a perfect world, we would all live off our dividend and give this well-built nest egg to our children. But the reality is otherwise. To conclude this reflection on portfolio management, I’ve done some research and handpicked my top 10 Canadian dividend stocks for retirees. I could have selected the 6 big banks, 3 telecoms, and 1 energy stock, and I would have been

5 Dividend Growers That Are About to Erupt

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Dividend Aristocrats – those companies that have improved their payouts annually for 50 years or more – have a mixed reputation. Sure, they’re great for dividend growth, but the likes of Coca-Cola and Procter & Gamble give off the impression that price returns can be difficult to come by. But dividend growth and actual performance don’t have to be an either/or proposition. Today, I want to show you five dividend growth stocks that will prove just that. Why would any investor think poorly of the height of dividend nobility? After all, the ability to crank out more cash every year without interruption for half a century is a testament to not just a company’s market-share dominance and fiscal responsibility, but also the agility to survive and remain relevant across decades of market and economic shudders. Coca-Cola is exactly what can happen within the ranks of the Dividend Aristocrats, and why membership in this “elite” group shouldn’t be considered an automatic s

7 Dividend Achievers With Big Income Potential

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There is an old Wall Street maxim that the safest dividend is the one that’s just been raised. Which is why if you’re not familiar with Dividend Achievers, you should be. You can always find that occasional company that continued raising its dividend right up until it cut it (Kinder Morgan in 2015). But generally speaking, it’s safe to say that a dividend stock aggressively raising its payout is a healthy company and one that is justifiably confident about its future. Earnings per share can be aggressively manipulated, as can reported revenues. Even the cash flow statement can be suspect because it ultimately pulls most of its key data points from the income statement, which can be a work of creative fiction. Paying a dividend requires actual cash on hand. And a dividend hike implies that management is confident that there will be a lot more cash coming down the pipeline to support a higher dividend in the quarters ahead. But even when it comes to dividends, you

5 REITs With Yields Of Up to 9.9% To Sell Immediately

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Real estate investment trusts (REITs) are one of the market’s best sources of high yield. But they can also be one of its searing sources of heartburn. For your sanity’s sake, and for the good of your retirement savings, avoid the five high-yielding REITs I’m going to warn you about today. Then reinvest that money into the sure-fire 8% yielders I’ll highlight after that. REITs are set up, by design, to be income powerhouses. That’s the deal. They get to evade Uncle Sam, and in return, they have to funnel the lion’s share of their profits to shareholders. But a mandate only goes so far – if a REIT has less cash to redistribute, simple math says you and I suffer. My latest warning tale comes from up north, where Boardwalk REIT – an apartment owner across Alberta, Ontario and Quebec, among other provinces – pulled the rug out from underneath its shareholders. Boardwalk was a safe bet for some time, making more than 150 consecutive monthly distributions since its 200

Week's Most Significant Insider Trades: February 12 - 16, 2018

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Disposals: C.H. Robinson Worldwide Inc (NASDAQ:CHRW) CEO John Wiehoff sold 13,946 shares of the stock in a transaction on Thursday, February 8th. The shares were sold at an average price of $92.08, for a total transaction of $1,284,147.68. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink . C.H. Robinson Worldwide Inc (NASDAQ CHRW) opened at $92.43 on Thursday. The company has a market cap of $12,955.34, a PE ratio of 26.64, a PEG ratio of 2.40 and a beta of 0.46. C.H. Robinson Worldwide Inc has a 1-year low of $63.41 and a 1-year high of $100.18. The company has a current ratio of 1.26, a quick ratio of 1.24 and a debt-to-equity ratio of 0.53. Read more … Leggett & Platt, Inc. (NYSE:LEG) CFO Matthew C. Flanigan sold 10,061 shares of the company’s stock in a transaction that occurred on Thursday, February 8th. The stock was sold at an average price of $45.78, for a total value of $460,592.

Notable Analyst Upgrades and Downgrades for Week of February 12, 2018

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Upgrades: Nomura upgraded shares of American Express (NYSE:AXP) from a neutral rating to a buy rating in a report published on Monday, MarketBeat Ratings reports. Nomura currently has $108.00 price target on the payment services company’s stock. Other research analysts have also recently issued research reports about the company. Barclays lifted their target price on American Express from $112.00 to $119.00 in a research report on Friday, January 19th. Zacks Investment Research upgraded American Express from a hold rating to a buy rating and set a $107.00 target price on the stock in a research report on Wednesday, November 1st. Bank of America lifted their target price on American Express from $102.00 to $106.00 and gave the company a buy rating in a research report on Thursday, October 19th. Oppenheimer set a $99.00 target price on American Express and gave the company a buy rating in a research report on Thursday, October 19th. Finally, Keefe, Bruyette & Woods reiter

3 Dividend Stocks to Buy on Sale

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Pay less for stocks that pay you. Market pullbacks aren't all that fun for investors who don't have much cash on the sidelines. But for those who have plenty of dry powder and are looking for better bargains, market pullbacks can be great. And that's especially the case for buying dividend stocks, because lower stock prices push their yields higher. Three solid dividend stocks that you can buy on sale right now are Pfizer (NYSE:PFE), Verizon Communications (NYSE:VZ), and Wells Fargo (NYSE:WFC). Here's what makes these three stand out. Continue reading … 

Can This 7% Yield Possibly Be Safe?

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This Monthly Dividend Stock Yields 7% Over the past decade, few businesses have paid out higher yields than business development corporations (BDCs). Big banks have turned their back on small-town America. With all of the new regulations, bankers only want to lend to their largest customers. That’s good news for BDCs, as these firms have rushed in to close the gap left in the marketplace. And with little in the way of competition, lenders have earned themselves outsized profits. One such example is Main Street Capital Corporation (NYSE:MAIN). The company has craved out a lucrative niche, offering customized loans to mid-sized businesses. Income investors have also taken notice, given shares pay out a dividend yield over seven percent. Of course, eyebrows go up any time you see such a big distribution. So can Main Street Capital maintain such a generous dividend? Let’s dig into the financials. Continue reading …

3 Top Tech Dividend Stocks to Buy Now

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These three tech stocks present an attractive combination of income generation and growth potential. If you're on the hunt for stocks that offer hefty dividends and market-beating growth prospects, there's no better place to look than the technology sector. That's a relatively recent development and one that might surprise some investors. Dividend-paying tech stocks used to be something of a rarity, but there's no longer a shortage of companies in the sector that offer sizable payouts. In many cases, these companies have turned to dividends in order to compensate for slowing growth or difficult transitional periods. However, some of these businesses will be able to bounce back and better tap in to tech sector momentum -- paving the way for a combination of capital appreciation and income generation. With that in mind, here's why IBM (NYSE:IBM), Cisco Systems (NASDAQ:CSCO), and Seagate Technology (NASDAQ:STX) are top dividend plays in the tec

The Best Dividend Reinvestment Plans For 2018

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DRIPs, offered by more than 650 companies, are programs that allow current shareholders to purchase stock directly from a company, bypassing the broker and brokerage commissions. (Individuals typically interact with a transfer agent, an entity a company hires to administer its dividend reinvestment plan.) Investors purchase shares with dividends that the company reinvests for them in additional shares. Most dividend reinvestment plans also permit investors to make voluntary cash payments directly into the plans to purchase shares. In some cases, companies charge no fees for purchasing stocks through DRIPs, and those that do charge only a nominal fee.  Another benefit is that investors buy full and fractional shares of stock, thus putting all of their investment funds to work. Finally, the plans are perfect for investors with a small amount of investment funds. Indeed, minimum investments in most plans are $250 or less. DRIPs may differ dramatically from one company to

10 Retirement Stocks That You Should Already Own

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They're great holdings for after you stop adding to your nest egg, but they also help grow that nest egg Some might ask, why are you investing so prudently now? Most investors say they want to build the biggest nest egg they can to fund the best possible retirement when that time comes. Once that day arrives, then they’ll change their portfolio to focus less on growth and more on income. The irony is, the stable stocks best suited to reliably fund a retirements are largely the same stocks you should arguably already own leading up to your retirement; consistency is crucial as you chip away at your financial goals. To that end, here’s a run-down of retirement stocks you should probably already own even before you make working at a job a thing of the past. Separately or collectively, they provide a nice balance of growth and income, as well as a comfortable balance of risk and reward. In most cases dividend — and dividend growth — is in the cards, yet not n

Week's Most Significant Insider Trades: Jan 29 - Feb 2, 2018

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Disposals: Procter & Gamble Co (NYSE:PG) insider Deborah P. Majoras sold 4,591 shares of the business’s stock in a transaction dated Friday, January 26th. The stock was sold at an average price of $87.48, for a total transaction of $401,620.68. The transaction was disclosed in a legal filing with the SEC, which is available through this link . Read more … Procter & Gamble Co (NYSE:PG) insider Kathleen B. Fish sold 10,192 shares of the company’s stock in a transaction dated Wednesday, January 31st. The stock was sold at an average price of $86.97, for a total transaction of $886,398.24. The transaction was disclosed in a filing with the SEC, which can be accessed through the SEC website .  Procter & Gamble Co (PG) opened at $85.52 on Friday. The company has a market cap of $217,663.39 and a PE ratio of 22.95. The company has a quick ratio of 0.79, a current ratio of 0.94 and a debt-to-equity ratio of 0.41. Procter & Gamble Co has a fifty-two week low of

Notable Analyst Upgrades and Downgrades for Week of January 29, 2018

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Upgrades Allergan (NYSE:AGN) was upgraded by analysts at Barclays from an “equal weight” rating to an “overweight” rating in a report issued on Monday. The brokerage currently has a $230.00 target price on the stock, up from their prior target price of $220.00. Barclays’ target price suggests a potential upside of 24.74% from the company’s current price. The analysts noted that the move was a valuation call. AGN has been the topic of a number of other research reports. Zacks Investment Research lowered shares of Allergan from a “hold” rating to a “sell” rating in a report on Tuesday, January 2nd. Deutsche Bank set a $251.00 target price on shares of Allergan and gave the stock a “buy” rating in a research report on Tuesday, October 17th. TheStreet downgraded shares of Allergan from a “c-” rating to a “d+” rating in a research report on Monday, December 4th. Piper Jaffray Companies set a $227.00 target price on shares of Allergan and gave the stock a “hold” rating in a r

Duke Energy Corporation (DUK) Analysis

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Duke Energy’s history dates back to the early 1900s, and the company is largest electric utility in the country today, serving approximately 7.5 million electric customers and 1.6 million gas customers across the Southeast and Midwest regions of the U.S. A blend of residential (33%), commercial (30%), industrial (20%), and wholesale (17%) customers make up the company’s mix. Regulated electric utilities account for 89% of Duke Energy’s earnings, but the company also has a fast-growing gas infrastructure and utilities business (8%) and a commercial portfolio of renewables (3%). Management sold Duke Energy’s international energy business (which was 5% of earnings) in 2016 to reduce the firm’s earnings volatility and focus the company completely on its core domestic operations. The company’s regulated utilities primarily rely on coal and oil (34%), nuclear (34%), and natural gas (28%) for its generation of electricity. Hydro and solar generate another 4% of the compan