(01-03-2020, 06:01 PM)kblake Wrote: What I don't get is why do people continue to invest in a dead stock like XOM? I get the dividend but that's not nearly enough to justify me buying it.  The stock has done nothing for many years. It even under performs when oil goes up LOL

History
2014 - 5.98%
2015 -12.57%
2016 - +19.62
2017 - 3.94
2018 - 14.61
2019 - +6.36%

The only reason why the stock was positive in 2016 and 2019 was because of the dividend.

I'm just trying to figure out why people continue to buy that name when there are better names out there, even in the oil sector.

Anyway added some names and bought some new ones

Added to STOR, MO, ABBV, and TXN
New positions in MPC and PSX

(01-03-2020, 05:26 PM)crimsonghost747 Wrote: What's up with this buying spree? I don't recall seeing this much activity here in ages!
Did everyone just win the lottery or is there another reason for this apparent higher than normal inflow of cash into ATH stock prices?

(01-03-2020, 05:26 PM)crimsonghost747 Wrote: What's up with this buying spree? I don't recall seeing this much activity here in ages!
Did everyone just win the lottery or is there another reason for this apparent higher than normal inflow of cash into ATH stock prices?

(01-03-2020, 06:01 PM)kblake Wrote: What I don't get is why do people continue to invest in a dead stock like XOM? I get the dividend but that's not nearly enough to justify me buying it.  The stock has done nothing for many years. It even under performs when oil goes up LOL

History
2014 - 5.98%
2015 -12.57%
2016 - +19.62
2017 - 3.94
2018 - 14.61
2019 - +6.36%

The only reason why the stock was positive in 2016 and 2019 was because of the dividend.

I'm just trying to figure out why people continue to buy that name when there are better names out there, even in the oil sector.

Anyway added some names and bought some new ones

Added to STOR, MO, ABBV, and TXN
New positions in MPC and PSX

(01-04-2020, 10:23 AM)divmenow Wrote: If you want to make money with XOM you need to buy 100 shares. The stock although a dead one lol will earn you $3480 over 10 years just in dividends. If your happy with those returns then the stock is for you. I hold the stock and always add to it under $68-69. I accumulated 327 shares now while holding it since 1994. I don’t mind the stock being in this range. It seems like every 5 years or so this stock will move finally  lol. It’s not a get rich stock. It’s more like a bond fund now.

(01-04-2020, 06:28 PM)fenders53 Wrote:

(01-04-2020, 10:23 AM)divmenow Wrote: If you want to make money with XOM you need to buy 100 shares. The stock although a dead one lol will earn you $3480 over 10 years just in dividends. If your happy with those returns then the stock is for you. I hold the stock and always add to it under $68-69. I accumulated 327 shares now while holding it since 1994. I don’t mind the stock being in this range. It seems like every 5 years or so this stock will move finally  lol. It’s not a get rich stock. It’s more like a bond fund now.

Here's another way to play it.  Sell a covered put and collect about 1% monthly premium until you get stuck buying the 100 shares at an attractive price.  Pick the expiration date carefully and you get forced in shortly before an X-div.  Dividend begins and sell a covered call every month or two and collect more income.  If it runs $5 quick and you lose your shares at a decent profit vs your basis, rinse and repeat.  If you're long you were just going to watch it pull back for the 20th time anyhow.  I do this with a half dozen higher div stocks in trading ranges.  Big oil is perfect for it.  Most years so are Utes and the more boring financial stocks.      

Or do it divmenow's way.  It really is about the same as a high yield bond fund these days.  You just have to watch your entry or it won't work out.

Looking at the options chain, I'd be inclined to sell an ATM (70) MAR20 put for  2.50 3.7% return for 76 days. Get put @ 70 or lower, sell the 72.50 Call for 1.20  9%+ return for 4.50 months. Not too shabby

Food for thought

(01-04-2020, 08:27 PM)NilesMike Wrote:

(01-04-2020, 06:28 PM)fenders53 Wrote:

(01-04-2020, 10:23 AM)divmenow Wrote: If you want to make money with XOM you need to buy 100 shares. The stock although a dead one lol will earn you $3480 over 10 years just in dividends. If your happy with those returns then the stock is for you. I hold the stock and always add to it under $68-69. I accumulated 327 shares now while holding it since 1994. I don’t mind the stock being in this range. It seems like every 5 years or so this stock will move finally  lol. It’s not a get rich stock. It’s more like a bond fund now.

Here's another way to play it.  Sell a covered put and collect about 1% monthly premium until you get stuck buying the 100 shares at an attractive price.  Pick the expiration date carefully and you get forced in shortly before an X-div.  Dividend begins and sell a covered call every month or two and collect more income.  If it runs $5 quick and you lose your shares at a decent profit vs your basis, rinse and repeat.  If you're long you were just going to watch it pull back for the 20th time anyhow.  I do this with a half dozen higher div stocks in trading ranges.  Big oil is perfect for it.  Most years so are Utes and the more boring financial stocks.      

Or do it divmenow's way.  It really is about the same as a high yield bond fund these days.  You just have to watch your entry or it won't work out.

Looking at the options chain, I'd be inclined to sell an ATM (70) MAR20 put for  2.50 3.7% return for 76 days. Get put @ 70 or lower, sell the 72.50 Call for 1.20  9%+ return for 4.50 months. Not too shabby

Food for thought