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What Did You Buy Today?
(11-01-2018, 12:38 PM)divmenow Wrote: D is a great name to own. Nice dividend. I like AEP as well as XEL

BTW bought 30 IBM today. I haven't owned that name is over 12 years. But as this price and acquisition of RHT I like it very much at these levels. Pays a nice 1.57 dividend as well. Long term this price will look like a bargain.

We think alike on utilities.   I sold my XEL high during account transfer, now it won't let me back in but I will get it done under $48 on a bad utility day.  The dividend yield is just a little light until it drops a touch.  Selling puts on AEP, D and SO until I finally get forced in at a favorable price.  Not that I consider them longterm overpriced right now.  I am going to load my port up with these four utilities and hold on tight for years.
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With tech and other industries slowing down utilities will be one the few bright spots to hide in. AAPL is down big AH so they will bring the entire market down. I'm looking for another 5-7% correction from here in the market. Just too much uncertainty with election, tariffs, lower oil ect. Just look at all the 52 week lows in the past week. There was a pattern. This is why I think utilities will be hitting new highs soon. You may get a slight pullback here before a big run-up. Everyone will be going to safety. I wouldn't short utilities. To me that's dangerous. IF D gets under $69 I will add more. The fed cant continue to raise interest rates or we will be headed into a recession. Sure the economy looks good on paper right but something tells me we are headed for trouble in 2019. There's still a lot of people without jobs and many companies still don't offer 401k's.

I actually reshuffled my portfolio a month ago. I like stocks such as VZ, PFE, D, CVS, GIS, AMGN, HRL, KMB, MCD and MO over high flyers and high beta. I wont mention names.
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(11-01-2018, 09:29 PM)divmenow Wrote: With tech and other industries slowing down utilities will be one the few bright spots to hide in. AAPL is down big AH so they will bring the entire market down.

NQ futures up 100 overnight and ES up 20+
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Wont matter. Watch the market end red today. Jobs report was horrible as well. Nothing to justify the market being up that much this morning. All because of a tweet from Trump lol . I'm not full negative, but this market has more on the downside left. But there's always a bull market somewhere lol
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I'm not an economist, but I don't think there's a real reason for the market to be where it is. Trump bump in Nov 2016 based on no changes to any economic policy, and continued rising only based on decreased taxation and increased buybacks. Cheap money is drying up and little significant increase in profits so there's little reason for markets to continue to climb. It doesn't make sense to me.

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On another note KHC getting very interesting to buy at this $51 level
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Added to D this morning. Hit my limit of $69.15.
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(11-01-2018, 01:09 PM)EricL Wrote:
(11-01-2018, 12:02 PM)stockguru Wrote: Finally bought my first utility today. Bought 100 D at $70.90. Sold my TSCO

Nice work. No idea what you paid for TSCO, but guessing you did pretty well on that trade!

I did very well. Bought TSCO at $59.80. 

Yesterday bought BAX, ABBV and added another utility today in XEL. Seems a lot of you like that name!
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[quote pid='15465' dateline='1541167508']

I did very well. Bought TSCO at $59.80. 

Yesterday bought BAX, ABBV and added another utility today in XEL. Seems a lot of you like that name!
[/quote]

If you'll humor my old man stock story...........

XEL is my oldest equity holding.  It was called Northern States Power back then, and mostly a Minnesota utility.  How can you lose investing in the man that provides the heat during MN/Dakota winter?  That's not how it went for awhile. I took an intro position in the 1990s around $18 IIRC,  Around 2001 some bad events coincided.  XEL/NSP management screwed up some, a couple warm winters, and the stock market was still reeling from the 2000  crash.  The market acted like the power company was going out of business which I knew was false.  I was worried but purchased a lot more around $7.50 a share.  They have been solid every since and with dividend reinvestment over 20 years I got a 500% gain from a utility company!  That's good enough for low overall risk.  I always add to XEL when the yield hits 4%+ which isn't often anymore because they have been executing well enough for decades.  They are now investing in green energy like wind and natty gas over coal.  They understand the future political and environmental direction the US will take.  Utilities are a patience game.  They are very popular now because the market is scared.  The market is also fickle.  Rising interest rates will make other investments look attractive soon.  Don't get too exuberant and go all in except on dips.  There usually several dips per year and sometimes it makes no sense when it happens.  If/when short bonds easily yield 3%+ XEL will have to raise the dividend or an XEL buying opportunity will surely occur.  They are on the low end of their historical yield currently.
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Just purchased 25 shares of AAPL
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