One of the best times to buy shares of a company’s stock is at an IPO. Many major companies traded at their lowest prices during their first public offering and have never traded at these levels since. Google is a perfect example of this. Google’s stock was priced at $85 per share during its IPO and has never since returned to those levels. Today the stock trades at over $520 per share.
Archives for May 2011
There were a lot of companies announcing earnings over the past few weeks. Along with these earnings announcements, a couple of blue chip dividend stocks have recently decided to increase their dividends. This is good for investors that are looking to make some income in a choppy market. Giving more cash to shareholders is a good strategy for attracting new investors. Here are 4 blue chip companies that are increasing their dividends
A lot of people are often confused about the differences between a stock and a mutual fund. The two terms are often used interchangeably despite the fact that they are two completely distinct investments. Both asset classes can provide investors with growth but their are different risks and rewards for each.
I was contacted by a reader about the performance of 5 dividend stocks that I selected last May.The original article focused on Companies with outstanding dividend yields. He judged the performance of the five stocks over a one year time period. The 5 stocks that I selected were BP, Altria, Verizon, AT&T, and Total. Let’s see how my dividend picks did.
I watched an interesting movie on HBO last night titled Too Big To Fail. It was a docudrama about the financial collapse that took place in 2008. It was based on a book by Andrew Ross Sorkin. I always find investing related movies fascinating because the financial sector is one that I am so interested in. In the past, I thought that Wall Street and Boiler Room were two pretty good works of fiction.
When investing in the stock market, many investors only focus on the capital appreciation of investments only. While there is nothing wrong with seeking to make money over the long haul; many investors are sacrificing the possibilities of earning short term income. This income could come in the form of quarterly distributions.
The recent market pullback has caused a number of companies to see their share prices fall. These pullbacks are creating a few more values in the marketplace for investors. It is however important for investors to differentiate between value stocks and value traps so they don’t catch a falling knife. Let’s take a look at a few companies that have dropped in recent days and see if they are value stocks or value traps.
The insurance industry has been taking a beating in recent weeks as natural disasters have been unfolding all across the world. Property insurers and reinsurers have been forecasting losses from an expected rise in claims over the next few months. This will affect the cash flow of these companies and there ability to increase dividends for the year. There is however a medium sized insurance company that has a history of increasing its dividend in both good and bad economic environments.