Cramer's Stop Trading! Jamie Dimon: Let My Dividends Go! (2/16/11)
Stocks discussed on Jim Cramer's Stop Trading! TV Segment, Wednesday February 16. Comcast (CMCSA), JP Morgan (JPM), Airgas (ARG) Comcast (CMCSA) announced it would increase its dividend by 19%, but since Comcast owns NBC, a parent company of CNBC, Cramer stopped short of actively pushing the stock.Currently Washington is still putting restrictions on banks paying dividends, but JP Morgan (JPM) CEO Jamie Dimon is not going to take this obstacle lying down. "Dimon is saying 'Let my dividend go.' Dimon rocks!" said Cramer. Concerning Bernie Madoff's assertions that major banks knew about his... more
How Healthy Dividend-Paying Stocks Can Boost Your Portfolio’s Returns
Need more money? You're certainly not alone. Investors of all levels are scratching around trying to find decent income to supplement their other investments - especially now that food and other costs are starting to spike. Trouble is, with interest rates still so low, bonds, CDs and money market funds just aren't getting the job done for many people. As a result, investors are chasing yield-bearing stocks in order to generate the income they want. That's fine… as long as you remember that it's not just the amount of income generated that's important, but also the reliability. And if you're using the income to pay the bills, the stability of the dividend becomes even more critical. For example, let's assume an investor figures he'll need $40,000 per year in dividend... more
25 Dividend Stocks Raising Their Yield On Cost
There are income investors and Dividend Growth investors. While the distinction is rather simple, it slips past many casual observers. Income investors are investing for maximum current income, while dividend growth investors are looking to maximize income over an extended period of time - usually sacrificing current income for potential greater future earnings. Unlike fixed income investments, a growing dividend means a growing yield on cost. This week several companies raised their shareholders yield on cost by increasing their cash dividends: The Coca-Cola Company (KO) is the world's largest beverage company, refreshing consumers with more than 500 sparkling and still brands. February 17th the company increased its quarterly dividend 7% to $0.47/share. This is equivalent to an... more
Dividend Scan: SPAN, EMN, LO, MOCO, FBSS, TAP, NRIM, GPI, MFA, OCR
The US market is marching towards an yet another week of gains amid reports that China will not to use real exchange rates and currency reserves to measure global economic imbalances. Dow Jones Industrial Average added 0.20 percent or 24.75 points to 12,342.89. Nasdaq Composite gained 0.05 percent or 1.47 points to 2,832.95, and the Standard and Poor's 500 was up 0.03 percent or 0.46 points to 1,340.89. Amid the upward swing of the market, several companies declared their annual and quarterly dividends. Some notable dividend payers are discussed here. Shares of Span-America Medical Systems Inc. (Nasdaq: SPAN) lost 3.34 percent or $0.51 to $14.74 despite declaring a regular quarterly dividend of $0.10 per share, payable on March 9, 2011 to shareholders of record on February 28,... more
The 25 Highest-Yielding Stocks
Dividend investing is popular again. Investors have taken to heart Jeremy Siegel's studies, which show that higher-yielding stocks tend to offer greater returns over time than low- or no-yield stocks. The highest dividend yields can be very tantalizing. As long as a stock yielding 15% doesn't lose value, you'll make 15% in one year! In more cases than not, however, an astronomical yield is a bad sign for a stock. Since dividend yields and stock prices move in opposite directions, a high yield usually means that investors have begun to worry about the business and driven down its stock price.However, certain types of companies such as REITs have to pay out most of their income as dividends, so their yields will be higher than "normal." Dividends are not guaranteed; you need to make sure... more
The Most Promising Dividends in Waste Management
Dividend payers deserve a berth in any long-term stock portfolio. But seemingly attractive dividend yields are not always as fetching as they may appear. Let's see which companies in the waste management industry offer the most promising dividends. Yields and growth rates and payout ratios, oh my!Before we get to those companies, though, you should understand just why you'd want to own dividend payers. These stocks can contribute a huge chunk of growth to your portfolio in good times, and bolster it during market downturns.... more
6 Stocks to Hedge Your Inflation Risk
One shouldn't overstate the problem: Given the spare capacity in the economy, inflation is unlikely to be an immediate risk. However, investors shouldn't turn a blind eye to the medium-term risk: It's entirely possible (dare I say likely) that Fed Chairman Ben Bernanke has grossly overestimated his ability to stuff the inflation genie back into its lamp if it is unleashed. In that context, investors should consider now what sort of assets would offer effective protection against a loss in purchasing power. The new dynamics of wage inflationWith unemployment at 9%, only Chicken Littles are concerned about inflation. Think again. That 9% figure is misleading. If you believe, as I do, that the unemployment rate that represents full employment has increased during this crisis, the economy... more
Five High-Yield Dividend ETFs for Smart Income Seekers
Smart investors know that dividends can soften the blow to your portfolio in a market downturn. If you want diversification, and to avoid the headache of choosing individual dividend payers, ETFs are a good bet. Here are five attractive high yield ETFs for you to consider: Over 99 percent of companies in the WisdomTree Global Equity Income Fund (DEW) have market capitalizations of at least $2 billion. The aggregate P/E is right under 14. In 2010, the current yield was 3.47 percent, and the market price increased by roughly 6 percent. Year-to-date in 2011, the market price is up over 5 percent. The fund has names like Total SA (TOT), AT&T (T), Kraft (KFT), and GDF Suez (GDFZY.PK). The fund has been around since June 2006.... more
Retirees: 7 High-Yield Pharma Stocks for the Golden Years
Whether we’re talking pharmaceuticals, instruments, R&D or policy, we know one eternal truth about healthcare: we need it. How about a second truth? The older we get the more we need it. Take a look at population curves throughout the developed world and you’ll see a slowly rising behemoth of a wave. Add to that increasing incomes in developing countries where populations remain relatively young and you see the second and third waves of demand lapping in behind to support demand for everything the healthcare industry makes. What is another eternal truth we, as investors, know? When we retire, we’re going to need something to live on. That’s why today we’re providing a double whammy for the "golden years" - high yielding pharmaceutical stocks that will improve your golden... more
PepsiCo: Dividend Stock Analysis
PepsiCo, Inc.(PEP) manufactures, markets, and sells various foods, snacks, and carbonated and non-carbonated beverages worldwide. The company operates in four divisions: PepsiCo Americas Foods (PAF), PepsiCo Americas Beverages (PAB), PepsiCo Europe, and PepsiCo Asia, Middle East and Africa (AMEA). The company is a Dividend Aristocrat which has increased distributions for 38 years in a row.Over the past decade this dividend stock has delivered an annualized total return of 4.90% to its loyal shareholders.The company has managed to deliver an average increase in EPS of 10.90% per year since 2000. Analysts expect PepsiCo to earn $4.12 per share in 2010 and $4.61 per share in 2011. This would be a nice increase from the $3.77/share the company earned in 2009. The company has recognized that... more