CSCO

[EricL]

(12-11-2021, 04:17 PM)rnsmth Wrote: I own CSCO (cost basis $45.18).  Its 5 year dividend growth of 9% is acceptable to me, for a mid yield company (currently 2.5%).  Thing is, last year they rewarded shareholders with a paltry 2.8% dividend increase (Feb, 21).

I am thinking they are going to have to do at least double that to keep me from seriously looking for a mid-yield, faster dividend growth replacement for it.  There are the facts that its share price appreciation has been picking up some, and that its SSD dividend safety rating is up there in the Very Safe range

Any replacement would also need to be in that range.

AVGO just announced a nice increase and yields 2.6%. TXN yields 2.45%.

[rnsmth]

Thanks Eric,

I hold TXN (cost basis $113.48). I am unable to buy AVGO at its current valuation, but there are others out there. Like ATO, SNA and PB that I do not currently own and are are undervalued; and LMT and EOG that i do own and are likely undervalued.

All have Very Safe dividend safety ratings and Fast or Very Fast Dividend Growth as rated also by Simply Safe Dividends.

Point is, I would have choices.

[fenders53]

CSCO has been right on the edge for so long. Reliable business but just can't separate themselves from the competition. In some ways like INTC. I understand why someone might hold them for the yield but there would be scores of better choices when chips dip.

[rnsmth]

I do not think a 2,5% yield is much of a reason to hold CSCO, unless they start really upping their dividend increases.

2.5% yield with less than a 5% dividend increase is just not very attractive to me.

[fenders53]

(12-11-2021, 07:30 PM)rnsmth Wrote: I do not think a 2,5% yield is much of a reason to hold CSCO, unless they start really upping their dividend increases.

2.5% yield with less than a 5% dividend increase is just not very attractive to me.

Me either but folks just keep hoping they turn the growth back on.  The dividend keeps investors around because few tech stocks pay over 1%.  I have zero interest.

[rnsmth]

TXN has about 2.35% yield and just announced a 13% dividend increase this past September.

How is that for tech.

[Kerim]

Yeah, hard to get too excited about CSCO right now. Yield and payout ratio are ok / meh, while p/e, div growth, earning growth, etc are pretty uninspiring. I'm hanging on the few shares I bought in 2013 for about $22 each, but can't imagine adding soon.

[fenders53]

(12-11-2021, 08:09 PM)rnsmth Wrote: TXN has about  2.35% yield and just announced a 13% dividend increase this past September.

How is that for tech.

I am sure there are more but I can only think of a few tech companies I wish to own with a higher yield than TXN.  CSCO-INTC-IBM have work to do to get back on that list.

[ken-do-nim]

(12-12-2021, 12:05 AM)fenders53 Wrote:

(12-11-2021, 08:09 PM)rnsmth Wrote: TXN has about  2.35% yield and just announced a 13% dividend increase this past September.

How is that for tech.

I am sure there are more but I can only think of a few tech companies I wish to own with a higher yield than TXN.  CSCO-INTC-IBM have work to do to get back on that list.

From my port:

AVGO - 2.81%
HPQ - 2.77%
STX - 2.72%
TXN - 2.38%

[fenders53]

(12-12-2021, 08:05 AM)ken-do-nim Wrote:

(12-12-2021, 12:05 AM)fenders53 Wrote:

(12-11-2021, 08:09 PM)rnsmth Wrote: TXN has about  2.35% yield and just announced a 13% dividend increase this past September.

How is that for tech.

I am sure there are more but I can only think of a few tech companies I wish to own with a higher yield than TXN.  CSCO-INTC-IBM have work to do to get back on that list.

From my port:

AVGO - 2.81%
HPQ - 2.77%
STX - 2.72%
TXN - 2.38%

I knew you were holding a few.  There really aren't many considering the hundreds of tech companies.

[rnsmth]

AVGO's current yield at the close on Friday was 2.6%, but that is still higher.

[fenders53]

(12-12-2021, 10:20 AM)rnsmth Wrote: AVGO's current yield at the close on Friday was 2.6%,  but that is still higher.

AVGO is probably the best dividend paying tech stock among those that pay a real dividend today.  Not slighting MSFT but I'd need to buy a half a milly in shares for a real dividend check.  I'll be back in AVGO on the next hard dip.  IMO semis are less cyclical than they once were, but they are not immune from recession or just a flat economy.  One of those is always coming sometime some year soon I'll be patient.  I could see AVGO as my only tech dividend stock several years from now.    We'll see, as all the hardware stocks have nice looking divs when the stock price gets cut in half on a cyclical low.