I just bought a bunch of DOW stock. If you see me shaking a cup at Christmas, be kind.

Divy is higher than the P/E ratio

Dow pays 6.39% annual dividend so $6.39 per every $100 you own.

PE is price/annual earnings per share. So current price is $43.55/$8.93 (estimated earnings per share) = PE of 4.87 which is quite low. The market PE is roughly 18.

Dow is a low growth company so it's not that unusual to be well below the market multiple but 5 is really low.

May have jumped in too early, you don’t want to fight the Fed. Until the Fed signals they are done raising rates, all asset prices will fall. Interest rates are like gravity, when they go up asset prices come down and the inverse is true. The yield is great but you could get a 1yr treasury paying 4.25 and That’s the risk free rate of return. So your dividend is 2% higher with the possibility of losing another 10% on the share price. Long term you will be fine ????

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The yield is great but you could get a 1yr treasury paying 4.25 and That’s the risk free rate of return. So your dividend is 2% higher with the possibility of losing another 10% on the share price.

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I'm so glad I figured this out MONTHS after it was too late Dividend stocks didn't have much allocative competition with interest rates being so low, forever. Now they do...but when you're months late figuring that out, what do ya do? Is there anyone left behind me who was this slow?

As someone who works for Dow, and is a share holder…

I would not have bought it lol

Probably would purchased a few hundred shares every other month with the way the market is going. The good thing is you didnt buy at the top

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As someone who works for Dow, and is a share holder… I would not have bought it lol

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Same. It will fall as long as the rest of the economy falls. I have a ESPP plan maturing in October, I’m selling as soon as I get it. But will try and buy back next year.

I think long term you are good as the company is solid. But it rides the wave big time, like every thing else.

The only issue is the forward looking earnings represent a significant decrease to earnings. Assuming the dividend is proportionate to earnings you will see that cut as well leading to a stock price decrease. Like it in concept and maybe one to enter in a staggered approach with 25% investment now and if it falls add more.