10-18-2013, 12:30 PM
I remain pretty worried about INTC as well. I did end up selling about 12 percent of my shares. This was the first sale ever out of my DG portfolio, a move I don't take lightly. I continue to consider paring back even more. Even with the sale INTC is still a huge chunk of my portfolio. Fortunately, the current price is above my average cost per share, so I could scale back with a profit and no bad feelings.
The portion that I already sold was in an IRA, so I did not have to think seriously about taxes and accounting, but the remaining INTC that I've got is in a taxable account, so I'd have to specify which shares to sell and deal with accounting and tax consequences. No big deal, I know, but still bugs me.
Overall, I'm just getting the feeling more and more that tech names are not the best core holdings in a dividend growth portfolio. I think the long-term trend in tech is commoditization, and while there may be good plays out there, it is hard with most (all?) of them to be confident that they'll be around in a decade or two, much less still paying and growing the dividend.
The portion that I already sold was in an IRA, so I did not have to think seriously about taxes and accounting, but the remaining INTC that I've got is in a taxable account, so I'd have to specify which shares to sell and deal with accounting and tax consequences. No big deal, I know, but still bugs me.
Overall, I'm just getting the feeling more and more that tech names are not the best core holdings in a dividend growth portfolio. I think the long-term trend in tech is commoditization, and while there may be good plays out there, it is hard with most (all?) of them to be confident that they'll be around in a decade or two, much less still paying and growing the dividend.