Prudent Yield Hog Focus: Vector Group

Vector Group (VGR) appeared in the StockScreen123 Prudent Yield Hog model, the more aggressive “pushing-the-envelope” envelope version I wrote about on March 3, and it still appears in the screen today. (See appendix below for details of the model.) This isn’t the highest-yielding stock in the list, but at about 9%, it’s still an eye-opener given current market conditions. We should start by considering this a tobacco company. So obviously, if you are at all inclined toward what’s known as “socially conscious” investing, this would have to be crossed off the list. (Especially considering that litigation risk, while still present, is not overpowering in light of how easily the company got off in a prior settlement involving most states that spares it the burden of making payments -- a fact that will likely irk many.) As to mainstream investing, I presume nobody has any illusions about the growth prospects for... Read more