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Those are all great companies but just be careful buying any of those names. Most are at or near all time valuations. When I buy DGI companies I buy them at decent valuations or you will end up having to average down just to break even. Its better to buy when there out of favor. This way you get more bang for your buck. If you buying these now start out slow and dollar cost average in on every $5-10 dip.
There are however some names I would be buying now like APD, AMT, COST, AWK, WEC, ETR, MSFT just to name a few
Those are good paying dividend stocks that have come down lots from the highs and are getting to PE levels not seen in a while.
Anyway that's my 2 cents. I would have written a book here but the dividend stocks are too pricey for me now to go all in. Tech is over valued as well but with those names at least your getting growth and have a dip lol.
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03-07-2021, 08:52 PM
(This post was last modified: 03-07-2021, 08:52 PM by fenders53.)
That's been a problem for awhile if you suddenly desire a DGI port of size. The core portion of a successful DGI port needs to be very high quality as very long hold should be the plan. It can mean sitting on too much cash. Averaging in as a new investor works fine though.
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03-07-2021, 10:40 PM
(This post was last modified: 03-07-2021, 10:41 PM by ken-do-nim.)
A lot of advice to digest here. I'm quite nervous, because I recognize this is my one big chance to shape my portfolio so that it grows properly over the next dozen years. I won't necessarily retire at 60, but I want to be able to. I've got about a week before the money is available for investing, so that gives me some time to come back with an updated list and this time I will supply justifications for each. With this recent drawdown it feels like the funds are coming at the perfect time.
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There are some better DGI values now but they are still scarce. Is the broad market even down 5%? No need to panic buy. There should be a few deals to entertain you with some buys. A list WITH DD means there is a plan. Mike's 10% off idea already has a few candidates in stocks you have mentioned.
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03-08-2021, 07:52 AM
(This post was last modified: 03-08-2021, 07:53 AM by NilesMike.)
Take a look at IQT to help develop your idea of when a ticker is well priced or near the top based on historical dividend yield.
And full agreement with Fenders, money is made when you buy. Stocks, cars. real estate buy right sleep tight.
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Even looked at strictly from an income perspective, assuming 10% is the best deal you can find for your initial round of purchases on the good ones. Starting yield already includes next 1 to 2 div raises. 10% more shares owned for same money. Even in only 15 years that will compound notably.
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List updated with latest research. Can't believe I missed Taiwan Semiconductor on the first go.
Next up is a scoring algorithm. I saw a thread here in which Kerim made one, so I will find that and see what he did.
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(03-12-2021, 08:29 AM)ken-do-nim Wrote: List updated with latest research. Can't believe I missed Taiwan Semiconductor on the first go.
Next up is a scoring algorithm. I saw a thread here in which Kerim made one, so I will find that and see what he did.
MUCH better list than a week ago. Now pick your spots for entry. If you just gotta have a stock in your port and you missed the dip then buy a couple shares to humor yourself. If this is truly a long-term port you'll get another chance to add. You'll miss the bus on a couple doing that but just move on. You'll never get it perfect. It might take you a year to get it balanced and diversified. There is not a 30 day time limit to employ your cash. I say this for a reason.
I enjoy these threads. I'll share my favorites from your list soon but don't want to complicate this causing excessive indecision.
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As an aside, before I sent my old portfolio to my ex in the divorce settlement, I took a snapshot picture in Jan 2018 and saved it. One of my old stocks was Goldman Sachs, which really didn't do anything while I had it. But now, wow, it's really taken off. I doubt she still has it though; she hired a financial advisor to maintain the portfolio and I think he moved everything into mutual funds and etfs. But looking back, some of the stocks I will buy again were in the old portfolio like possibly GS, but also Hewlett Packard, Disney, Intel, and of course Johnson & Johnson. Though I don't think JNJ even with the vaccine will ever be the horse it once was.
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Hewlett Packard note: I think the company split into two or three or something. The one to buy now is ticker symbol HPQ, not HPE.
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03-15-2021, 09:15 AM
(This post was last modified: 03-15-2021, 09:16 AM by ken-do-nim.)
(03-06-2021, 12:17 PM)NilesMike Wrote: Make your list of quality DGI stocks, no limit as to the number of tickers.
Divide your available investment cash pile into 20 lumps.
When a stock on your list drops 10% off a prior high, you buy it with one lump. If it drops another 10% you spend the second lump on it.
Some will fall even lower of course but you have bought at reasonable prices and should be able to withstand some drawdown.
Others will pull back 10% and zoom, leaving you only 1 lump invested-for now.
Just be patient and buy what your analysis shows are quality stocks.
Pull up some charts on the Aristocrats and you will see how well this simple method works, especially if you have time on your side-unlike Fenders and me.
I have to admit I'm not disciplined enough to follow this strategy, and especially with tech stocks on sale right now. I will be diving right in, though I will not buy very much if at all from stocks that are only exhibiting growth because they started spiking in October. I want to see a continued growth trend in the 5 year chart.
Buying plan forthcoming.
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03-15-2021, 12:47 PM
(This post was last modified: 03-15-2021, 12:50 PM by ken-do-nim.)
Okay, here's my overall plan for the week, minus ETFs which will probably be the remainder.
Definitions
Junior position - $2,000
Full position - $5,000
Major position - $10,000
Unless otherwise specified, acquisition will be to a junior position
Strategy: looking to dip 1-3 companies into each sector
Semiconductors
Taiwan Semiconductors (Major)
Broadcom (Full)
Texas Instruments
Banking
Square
Mastercard
Visa
Utilities
NextEra Energy
WEC Energy
Xcel Energy
Hardware
Seagate
Hewlett Packard
Dell
IT
Accenture
Twilio
Okta
Retail
Target
Lowe's
Home Depot
Cloud
Oracle
Amazon
Palo Alto
Defense
Lockheed Martin
L3 Harris
Huntingon Ingalls
Construction
Sherwin Williams
Caterpillar
Food
Monster Beverage
Starbucks
Pharmaceutical/Biotech
Eli Lilly
top off Johnson & Johnson
Abbvie
Telecom
Verizon
AT&T
Robotics
iRobot
Intuitive Surgical
Internet
Shopify
Docusign
Cisco
Household tech
Apple
Alphabet
Entertainment
Disney
Carnival
Netflix
Income
Hercules Capital
Horizon Tech
I'm leaving out Financials, Cars, Cannabis, Tobacco, Gas, Travel, Industrials for now.
Not all of these are dividend companies, but most are.
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