Investing 102 - Page 120 - Lateral-g Forums

**GregWeld** · #**1191** 03-19-2012, 08:20 PM

Quote:

Originally Posted by CRCRFT78

With Apples announcement of their stock buy backs and dividend payouts, what should we expect to see happening now? Buy more, sell, sit back and relax its not that big a deal? Just curious. My 6 measely shares won't make or break me but I am curious how this will affect the stock.

I don't think any dividend hunters are going to back up the truck tomorrow - or anytime soon for a <2% dividend. It's just a kind of "peace offering" to the big holders that were screaming for some 'use of the cash hoard'.

The thing that is propelling Apple is it's products and it's stellar sales and profit numbers. As long as they have that growth and the stock is still "relatively cheap" on a P/E basis... and it has momentum. It should be just fine.

This is where I would remind people not to load the boat - or think that they're missing out not having MORE Apple. Remember the pigs get fat - hogs
get slaughtered. Be thankful if you own some and you're sitting fat and pretty.

**GregWeld** · #**1192** 03-19-2012, 08:39 PM

I'd like to make note of something that we've only touched on before -- and that's the INVERSE relationship of BOND YIELDS and STOCK PRICES....

Bond yields have risen quiet nicely (relatively) in the last couple weeks. When YIELDS on bonds go up -- they'll steal money from the stock market. People like a nice safe return...

I don't think anyone should REACT to this "news". I'm not going to. But I'm pointing it out that once you start hearing about this on the TALKING HEAD TV...
you can start to correlate the movement in stock prices.

If the yields go too high too fast -- they'll knock the legs out of the housing market... NOT GOOD.... and if they continue to rise... they'll knock the legs out of the stock market as well.

Remember that you'd still get your dividend... and that's what many are invested in... but a 4% stock dividend doesn't look as good when bond yields creep up to 3 or 3.5% etc. So then stock prices have to go DOWN to make the apparent yield go UP. A .35 dividend on a $10 stock is 3.5% -- but it's percentage goes up as the stock drops to $9 and higher still at $8.50

Just a "look, watch, and listen" reminder to the newbs out there. I want you all to learn from these events and to understand their correlation.

toy71camaro · #**1193** 03-20-2012, 09:45 AM

Got a good article in my email box from Seekingalpha today (part of the "pre-market summary" email they send out...)

anyhow, it re-emphasizes a lot of what we've all discussed here.

http://seekingalpha.com/article/4440...ortfolio&ifp=0

**GregWeld** · #**1194** 03-20-2012, 10:54 AM

Ahhhhhh..... The beauty of dividned inWesting.... I'm in AriDzona playing around and AstraZeneca deposits $9,750 into my account. LOL. Gotta love it!!

**Sieg** · #**1195** 03-20-2012, 06:52 PM

Quote:

Originally Posted by toy71camaro

Got a good article in my email box from Seekingalpha today (part of the "pre-market summary" email they send out...)

anyhow, it re-emphasizes a lot of what we've all discussed here.

http://seekingalpha.com/article/4440...ortfolio&ifp=0

That's the kind of noise I like to read!

This made me smile a bit:

Quote:

As the quarter comes to a close, in the next two weeks, I can't say that the market will continue to advance or that we will see a correction. Frankly, I don't care either way.

**GregWeld** · #**1196** 03-21-2012, 12:42 AM

If you read this article and see the results....

This is why --- after many years of experience in the market with all manor of styles of investing and trading... With all the pros tips and tricks (which generally is only good for THEIR wallets).

I've said to avoid all the hype -- the "hot stocks" -- and many other types of investments that seem (on the surface) far "sexier"....

The good old good ole' boys will get 'er done for ya!

toy71camaro · #**1197** 03-23-2012, 10:00 AM

here's a good read i found today. Good for us "beginning" investors that helps us see the benefit, even tho we arent one of the "big guys".

just another "feel good" article to help "stay the course", even if our dividends are minute.

http://seekingalpha.com/article/4513...ortfolio&ifp=0

toy71camaro · #**1198** 03-23-2012, 11:24 AM

and.... a little bit of free money... (bought this before finding this thread, one of my first Dividend stocks a few months back)...

3/23/2012 DIVIDEND DIVIDEND:LMT +$2.47

**GregWeld** · #**1199** 03-23-2012, 01:47 PM

Gotta love getting paid to sleep!!!

ErikLS2 · #**1200** 03-23-2012, 05:13 PM

Quote:

Originally Posted by GregWeld

Gotta love getting paid to sleep!!!

I work with a few folks that seem to have figured this out!