Is it buy time? | TigerDroppings.com

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mach316
LSU Fan
Jonesboro, AR
Member since Jul 2012
1786 posts

Is it buy time?


Im gonna hold out for another 3-5% drop (hopefully) and start picking up stuff on the cheap. What say the financial gurus?






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Fat Bastard
New Orleans Saints Fan
Paradise
Member since Mar 2009
15627 posts

re: Is it buy time?


hopefully we just started a nice correction. Make money going down then back up.





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ThaBigFella
LSU Fan
baton rouge
Member since Apr 2006
2043 posts

re: Is it buy time?


off 5% from the top, I really can't see a bigger correction people aren't seeing these companies balance sheets. They're incredible these days, companies are sitting on more cash than ever and those with debt refinanced those debts at insanely low rates or issued bonds at dirt cheap rates.

Companies can do huge buybacks now if there is a huge correction, I personally think this is it, I think we still end the year at 16,000 on the dow and bernanke is still printing in january. Do you really think he's gonna allow a huge crash by ending the bond buying on his term?

talk is cheap, let me know when he stops talking about tapering and actually does it, from what i saw unemployment was UP today, not down like he said yesterday. New jobless claims were way higher than expected and this quarter is when we will see sequester effects......no way the bond buying tapered



This post was edited on 6/20 at 8:33 pm


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Vols&Shaft83
Tennessee Fan
Member since Dec 2012
11784 posts
 Online 

re: Is it buy time?


Here's my prediction for the stock market:


It will fluctuate.






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fishfighter
LSU Fan
Baton Rouge
Member since Apr 2008
17872 posts

re: Is it buy time?


I was looking at buying today, but now the futures are dropping. I still will watch to see if a can get into a quick day trade. I do have my eye on a few stocks to do this.





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jimbeam
USA Fan
University of LSU
Member since Oct 2011
29999 posts

re: Is it buy time?


quote:

Here's my prediction for the stock market:

It will fluctuate.
O wise one






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Beerinthepocket
LSU Fan
Dallas
Member since May 2011
560 posts

re: Is it buy time?


I added about 20% to my portfolio from cash I had sitting on the sidelines. 3 of the companies I had been watching crossed below the price I had decided I wanted to buy them at.





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fratmonster
Miami (FL) Fan
Member since Oct 2005
8648 posts

re: Is it buy time?


I added several positions at the end of the day yesterday also





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I Love Bama
Alabama Fan
Alabama
Member since Nov 2007
31913 posts

re: Is it buy time?


Still on the sideline. ..waiting for the real drop





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ThaBigFella
LSU Fan
baton rouge
Member since Apr 2006
2043 posts

re: Is it buy time?


i love bama.....not saying you are wrong, but why do you feel there will be a "real" drop.

We're 5% off the highs, companies have very solid balance sheets with tons of cash and debt refinanced at low rates. These companies are trading at very low valuations.

What's the big drop you see in the future? I see a big drop when treasuries return to 6% but I can't see that happening anytime soon






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jimbeam
USA Fan
University of LSU
Member since Oct 2011
29999 posts

re: Is it buy time?


quote:

5% off the highs
This for me.






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Ace Midnight
LSU Fan
Ball, LA - Home, Sweet Home
Member since Dec 2006
28955 posts

re: Is it buy time?


quote:

ThaBigFella


I'm in the game, brah. Bought PM at $87.46. Wish I was more liquid today, but I did what I could. My first single stock purchase, ever.






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ThaBigFella
LSU Fan
baton rouge
Member since Apr 2006
2043 posts

re: Is it buy time?


good ace midnight, you're making a wise decision with september's dividend increase expected to be around $3.75 you just bought a stock that will yield you 4.2% in september.

This same company is finishing up an $18B buyback and is the best performing ARM of the best performing stock of all time(altria). Like I said the spinoff was to release the international growth arm from the united states and the tobacco master settlement where altria pays billions annually to every state.With insane growth in the pacific rim specifically and a growing world population you....

You have just given your heirs millions of dollars if you hold and reinvest dividends for 30-40 years



This post was edited on 6/21 at 8:54 am


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Ace Midnight
LSU Fan
Ball, LA - Home, Sweet Home
Member since Dec 2006
28955 posts

re: Is it buy time?


quote:

You have just given your heirs millions of dollars if you hold and reinvest dividends for 30-40 years


That's the plan. I have to figure out how to turn on DRIP with Optionsxpress, but I guess I have a couple of weeks before that becomes critical - they have DRIP and fractional shares, which is good.

Next up will be MMM or F.






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ThaBigFella
LSU Fan
baton rouge
Member since Apr 2006
2043 posts

re: Is it buy time?


I mean on etrade you just type drip in the search bar and then they have "enroll" and you just check a box, dividend reinvestment is free....

now the question is how much will a few million be worth in 40 years....

KMI is a very good one too at a crazy low price in the high 35's, they boost the dividend per quarter and control all the major pipelines in the US, if you believe in the shale boom and america becoming an energy giant.....this is the toll road that transports it.



This post was edited on 6/21 at 11:32 am


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Ace Midnight
LSU Fan
Ball, LA - Home, Sweet Home
Member since Dec 2006
28955 posts

re: Is it buy time?


quote:

I mean on etrade you just type drip in the search bar and then they have "enroll" and you just check a box, dividend reinvestment is free....


OptionsXpress wants me to contact them. I'll figure it out - I'm a smart guy.

quote:

KMI is a very good one too at a crazy low price in the high 35's, they boost the dividend per quarter and control all the major pipelines in the US, if you believe in the shale boom and america becoming an energy giant.....this is the toll road that transports it.


Isn't the P/E a little scary on KMI right now? Or is that just because of an earnings lull?

I like the 4% - that's right at the top of the sweet spot. Dividata says their increases are only "fair".






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ThaBigFella
LSU Fan
baton rouge
Member since Apr 2006
2043 posts

re: Is it buy time?


well its "fair" bc they're a fairly newly formed company, KMP, has been around much longer.

The P/E ratio is really not relevant with KMI, they are simply a toll road, they collect money for things passing through their tolls. The media seems to be very keen on a US shale boom making us energy independent by 2020, if this is really true, this is who transports all that energy. Its a small part of my portfolio, but I do hold it, and looking all that I hold, it's the most beaten up right now alongside PM. I would've love to get visa under $175 but bc its not really a big dividend stock, it wasn't really sold off like the big dividend stocks recently..I double down on losers....I can't tell you how happy I am PM is down so hard this past week for $93 to $86, now my dividend will pay me over 60 shares!!! woohoo

as for KMI

Read this

LINK



This post was edited on 6/21 at 11:55 am


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AUtigerNOLA
Auburn Fan
New Orleans, LA
Member since Apr 2011
9610 posts

re: Is it buy time?


quote:

ThaBigFella


You mind giving a list of what you think are great dividend paying stocks over the long haul?






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jimbeam
USA Fan
University of LSU
Member since Oct 2011
29999 posts

re: Is it buy time?


quote:

past week for $93 to $86






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ThaBigFella
LSU Fan
baton rouge
Member since Apr 2006
2043 posts

re: Is it buy time?


autigernola....just stuff thats everywhere. I mean throughout history, you've had big market cap companies that crumbled

eastman kodak
bear stearns
Enron

so there's obviously no company that's truly "safe" but I read through alot of balance sheets and from what I'm seeing companies are sitting on mountains of cash and are financially stable beyond anything I've seen in years. When you talk about apple with $175B or whatever gigantic number it is it makes it comical thinking of a company have $1B in the bank, but do you realize what $1B is? That's a ton of cash my god.

Personally I like to buy things that I can't forsee the world not having, I mean, take kodak, the world is surviving just fine without "film", the world is surviving just fine without "enron", and the world is surviving just fine without "bear stearns" bc there are other banks to step in

Whose gonna step in and fill the roles of coca cola which owns so many big drinks? Coca cola has their foot inside every restaurant/nightclub/gas station and I don't really see how it would just vanish overnight, they have an incredible balance sheet and an ability to nominally increase prices every year to generate revenue growth. Coca cola and it's products are basically recession proof.....i mean even an unemployed person can afford what they sell, and when you consider their brand portfolio, every person on earth drinks a coke product even in sub-saharan africa.Everyone is out there searching for a needle in the haystick trying to get rich, when real wealth is simply buying solid companies and holding them for many years.

So I look for products like that will see growth with a growing world population that don't really face competition. See like walmart is nice, but I think they're gonna feel pressure from amazon.

Cigarettes(MO,PM)
Fast food(mcdonalds and yum which owns KFC and taco bell)
Procter Gamble( look what they own, its everything)
general mills(cereal monopoly, are we gonna stop eating?)
Mccormick(spices monopoly)
Visa(credit card market leader, 80% of the world is still cash)

Oil companies are nice, but they don't have the global outreach. Coke sells in china, but exxon/chevron don't china has sinopec, ATT is great until you realize most countries have their own telecom company. ATT has 100M users, china mobile has 700M users, so ATT isn't even the biggest telecom on earth. The big population growth is overseas, not here.

soft drink,cigarettes these are things that transcend borders and are truly global companies. You are essentially buying a mutual fund by purchasing pepsi or coke or phillip morris, I don't think people realize that.

The world population is growing, they will all drink sodas and alot will smoke cigarettes, they will all use oil and cell phones but they wont use companies like ATT,exxon,chevron only a smaller percentage will

So I like to go for global growth with the majority of my holdings. I like companies that can operate anywhere thats why I mention mcdonalds,coke,pepsi, phillip morris they can hit the majority of the 6B+ population. Dont get me wrong I love exxon, I have some and im sure natural gas will be big for them but as with any oil company there's always risk of declining prices or a spill.

I don't see any threats to consumer spending habits on a $1 happy meal or a 75 cent can of soda or cheap cigarettes. To me those are unaffected no matter how bad things get.





This post was edited on 6/21 at 12:32 pm


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