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Help with portfolio
#12
(01-11-2015, 05:03 PM)EricL Wrote: Courier Corp. (CRRC) has had its dividend frozen at $0.84 per share since 2008 and has a market cap of just $165M. Average trading volume on the stock is less than 9,000 shares per day. It's in the book publishing business, which is a declining industry.

According to Yahoo Finance there is no analyst coverage for the stock.

With 1000's of companies to choose from and 100's of high quality dividend growers out there, I personally wouldn't want to invest in something like this. The yield is nice, but that's about all I see that is attractive with the stock.

I'd like to echo this. Why buy this small cap with over 100% payout ratio when there are some stocks which I consider more secure with a higher cap, more history and a more sustainable payout ratio.

You need to rationalise your purchases. For example I could justify exactly why I own all my stocks and believe strongly in them. Any risks I do take I'm aware of and only take them if I feel the market is rewarding me for this risk.

For example;

Would I take BP at a 3% yield considering oil $ atm and pressure on bottom line and it's mexico spill? No

at a 6% starting yield it's worth the risk (for me)

Sure I could go CVX as a SAFER investment buy then I don't get that high starting yield of 6%. (CVX is around 4% at the moment)

But then CVX has a slightly higher forecast dividend increase (in terms of %)
for next year.

There's WAY more to consider. I just scraped the surface in an attempt to inspire you to justify your purchases.

Regards
Lewys
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Messages In This Thread
Help with portfolio - by booze007 - 01-08-2015, 05:15 AM
RE: Help with portfolio - by DividendDragon - 01-08-2015, 06:52 AM
RE: Help with portfolio - by daat99 - 01-08-2015, 08:08 AM
RE: Help with portfolio - by booze007 - 01-11-2015, 01:32 PM
RE: Help with portfolio - by Dividend Watcher - 01-11-2015, 04:55 PM
RE: Help with portfolio - by EricL - 01-08-2015, 10:54 AM
RE: Help with portfolio - by DividendDragon - 01-08-2015, 12:17 PM
RE: Help with portfolio - by EricL - 01-08-2015, 12:24 PM
RE: Help with portfolio - by DividendDragon - 01-08-2015, 12:43 PM
RE: Help with portfolio - by EricL - 01-11-2015, 05:03 PM
RE: Help with portfolio - by DividendDragon - 01-11-2015, 07:38 PM
RE: Help with portfolio - by DividendDragon - 01-11-2015, 06:33 PM
RE: Help with portfolio - by hendi_alex - 01-11-2015, 08:05 PM
RE: Help with portfolio - by DividendDragon - 01-12-2015, 04:56 AM



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