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Why do you guys like KHC? it doesn't seem to be trending in the right direction - Newbie here fyi
 

Jarrod32

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Why do you guys like KHC? it doesn't seem to be trending in the right direction - Newbie here fyi

It is largely a turnaround story. They had problems when the two companies merged, and there was some serious mismanagement at the time. The stock dropped and bottomed in 2019 at around 25. That is when the current CEO, Miguel Patricio, was hired. He has a strong track record and has the company back on the right track (in my opinion). They have paid down some debt, sold off some of their weaker product lines, and are expanding into overseas markets (particularly South America). The stock has been kind of stuck in the current range since 2019, but the ship appears to be righted at this point and set to grow into the future. Current P/E is around 19, dividend yield over 4%, and debt to equity is down to around 50% so everything appears to be trending right. Buying here is based on the premise that we are buying at the approximate bottom, looking for a steady uptrend (though not necessarily a major breakout) moving forward.

Just my general armchair analysis.
 

gnome

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I like it. The dividend will probably fluctuate but I bought like 50-150 shares, not quite sure. I'll let it recover some and use it to sell covered calls if they ever get a decent premium. Talk about revenue growth though it's up there with FB but given very little credit because it's "not sustainable".
As I stated earlier, my concern is slowdown of ore demand from China, largest consumer in the world by far. It's undervalued but wouldn't be surprised if it fell further. Then again, might just be priced in. I'll probably sell a near the money put and be happy whether I get assigned or not.
 

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There is not much premium there so I don't really see the point in selling options at the moment. I'll just nibble and collect some dividends if they come along. Yea, a big growth slow down would hurt but I'll have shorts that would do very well in that case. I need some more miners and inflation hedges, especially ones that could keep paying me cash.
 

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KHC - for me it's a dividend play. 4% is better than the 0.2% you get at the bank. Price is steady so risk if loss due to decline in price is minimal imho. If it goes up, great, if not that 's ok too.
 

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Home Depot at the moment is only yielding 1.67% but has doubled its dividend over tge past 5 year period. Over the past ten year period its dividend has grown almost 6 times over. While this is not one of the high yielders mentioned here its dividend growth has been impressive and the stock has shown considerable growth and carries an A quality rating from the various investment porn publishing companies. Those seeking a growth stock that also pays a decent increasing dividend might want to give this one a look. While the past is no guaranty of future results it has shown an ability to preform quite well in the retail market and with Biden's free printed money and the Feds actions of keeping interest artificially low HD should continue to grow if for no other reason.


( Note I have and do hold HD stock)
 

edsl48

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b9be496e3219c222938e8003fe326908


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Kraft Heinz Falls After Top Holder Offers $1.1 Billion of Stock​

The Kraft Heinz Co. fell 1.8% in postmarket trading on Wednesday after announcing one of its top holders was selling a portion of its stake.
Affiliates of 3G Global Food Holdings LP are offering 30.6 million shares through Bank of America Corp., the company said in a statement. Shares are offered at $36.00 to $36.56 each, according to a person familiar with the matter, with pricing expected before the market opens on Thursday.


Kraft Heinz has gained 0.3% since boosting its full-year adjusted Ebitda forecast on Oct. 27 amid inflation headwinds. The stake offered by 3G is worth about $1.1 billion based on Wednesday’s closing price.
 

Uglytruth

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Must think the 20% price increase is going to hurt market share.
 

edsl48

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The American cigarette companies had excellent marketing departments. They knew how to sell a product that was bad for your health in way that practically everyone got hooked on their product. So Phillip Morris was building itself into a food company and at one time ownedd Kraft. Kraft was a rock solid company with Phillip Morris' management and marketing expertise. I held MO for years that became my most sucessful long term hold. However when broken up it seemed like Kraft sort of lost its fizzle. I think KHC needs a better marketing strategy. I don't know what kind of strategy it lacks but when it was part of MO it hit on all cylinders the way I remember it.
 

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Home Depot at the moment is only yielding 1.67% but has doubled its dividend over tge past 5 year period. Over the past ten year period its dividend has grown almost 6 times over. While this is not one of the high yielders mentioned here its dividend growth has been impressive and the stock has shown considerable growth and carries an A quality rating from the various investment porn publishing companies. Those seeking a growth stock that also pays a decent increasing dividend might want to give this one a look. While the past is no guaranty of future results it has shown an ability to preform quite well in the retail market and with Biden's free printed money and the Feds actions of keeping interest artificially low HD should continue to grow if for no other reason.


( Note I have and do hold HD stock)

Retailers tend to have lower dividend yields. But if you have a dividend portfolio and want some retail (for sector diversification purposes), HD is near the top of the list. WMT, TGT, HD, LOW all pay a dividend and the dividend should increase over time. One in this sector that flies a bit under the radar is Tractor Supply (TSCO). Slow, steady growth and while the dividend yield is a bit weak (like other retailers), it is well covered and should increase steadily in coming years.
 

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Jarrod32

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Lots going on in the market; a lot of rotation in and out of different sectors. Whole thing is just kind of "meh".
Not seeing anything particularly interesting, and not sure what to do right now. So not doing anything. Other than sitting back and getting quite a few dividend payments this month.

"Don't just do something...sit there" - Jack Bogle.
 

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the pipelines are on sale. guess the smart guys in nyc dont see the 2022 election coming
 

MrLucky

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2021 is over. So how'd we do? Any ideas for 2022?

Generally my positions did well but that may be only because 2021 was such a banner year (compared to 2020). Forecast for 2022 appears to be rosy (depending on who you listen to). Anyone?
 

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Had a few good moves, and a couple that haven't really done anything for me. My best move...in early October I sold COP at around $71 and bought CVX at $106. COP is down since then, and CVX is up about $12...and I got a higher dividend yield and increased my dividend income quite a bit.

One of the weak ones was buying VZ early in the year at $55 thinking it was a good price. Been down since then. So, what do I do? Double down on my weak move and add more at $52 and change late in the year. The good part of this is a dividend yield just a shade under 5%.

Adding to CSCO on its mid November dip under $53 has ended up being a good move. Adding to PFE at $39 mid year was a good one as well.

Adding to MRK back in January has been a sideways move share price wise, but decent dividends there.

Just collecting the dividends and trying to find good places to reinvest...
 

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loaded up on the pipelines on the dip over the last few weeks - epd, enb, mplx, ceqp, wmb
 

MrLucky

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Thinking of dumping my KO and taking profits. Anyone think it has more to go? 52wk high was $56.48 at time of post it's $55.26. 7/13/21
I'm holding. It could well get to $60, but probably not anytime soon. It may very well see $50 again before it gets to $60, but should eventually get there. My yield on cost is just short of 4%, and while the dividend might not be increasing at a high rate...might just be a few pennies each year...the dividend appears to be pretty safe. So I'm gonna hold and keep collecting the divs. And this stock should hold up (particularly the dividend) well through any bear market. 7/13/21
Remember this? Who would have thought KO would see $60 again? I was having my doubts. But as usual I didn't sell even though I was tempted to. So win-win.
 

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Remember this? Who would have thought KO would see $60 again? I was having my doubts. But as usual I didn't sell even though I was tempted to. So win-win.
I want it to stay up over 60 for just a bit longer. I bought some about a year ago I think around the 7th of January when it dipped below $50 intraday. Need to clear the one year mark for long-term gains then it is gone....
 

Jarrod32

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I want it to stay up over 60 for just a bit longer. I bought some about a year ago I think around the 7th of January when it dipped below $50 intraday. Need to clear the one year mark for long-term gains then it is gone....

Aaaaaaaaand...it's gone.
 

MrLucky

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Aaaaaaaaaaaaaad.....it's back.
1641835526474.png


Unless by "it's gone" you mean you sold it, not that it dipped below $60..
 

Jarrod32

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No...I meant that I sold it. Right about there. Gone. I think the dividend increases in this one are going to be pretty paltry going forward. Just barely enough to keep the dividend increase streak alive. I took a decent gain; increased my cash position as I expect some buying opportunities from increasing volatility in the near future.
 

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cool chart

1642301497062.png
 

Uglytruth

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Jarrod32

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Year one, a lot of uncertainty is gone. You know who the president and congress is, but the policies of the new administration have not yet taken effect. Year two, regardless of republican/democrat or whether you think the changed policies are good or bad, the economy has to adjust to changes. You will see sector rotation in the market and reallocation of resources based on changed tax and regulatory policy (good, bad, or otherwise). Year three the economy and businesses have adjusted, there is more certainty in the market and economy as a whole. Year four fades back a bit based on uncertainty revolving around presidential elections, usually moreso later in the year.
 

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Year one, a lot of uncertainty is gone. You know who the president and congress is, but the policies of the new administration have not yet taken effect. Year two, regardless of republican/democrat or whether you think the changed policies are good or bad, the economy has to adjust to changes. You will see sector rotation in the market and reallocation of resources based on changed tax and regulatory policy (good, bad, or otherwise). Year three the economy and businesses have adjusted, there is more certainty in the market and economy as a whole. Year four fades back a bit based on uncertainty revolving around presidential elections, usually moreso later in the year.

year one - hope of something
year two - dashed hopes
year three - lost the house of reps, new hope betting against old failed hope from year one
year four - hope that the wanker is voted out
 

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starting to nibble on the gun stocks as they've come in. smith wesson, ruger, vista

ruger pays the best dividend - it's variable - really high over last two years. this is my largest position of the three

anticipate capital gains when the communists start their gun grabbing sh-t again
 

specsaregood

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It currently doesn't pay a dividend -- it has in the past and it will in the future: CLF
It has a pretty decent buying opportunity this morning; I had been waiting to add more.
 

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bought or added today - ATLO, CBRL, APAM, DOC, DOW, BKE

a bank, a restaurant, a financial, a medical reit, a chemical company, and a fashion retailer

also picked up some 6 year cd's paying 1.9 percent. these can be sold for profit if interest rates go down. beats fidelity money market that pays .01 percent
 

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for the past 13 months i've been doing something i call 'dividend drifting'

i've taken a portion of my income funds and dedicated it to that

i watch/own about 50ish div stocks. i drift around among those. sometimes collecting divs, sometimes cap gains (ie, trading divs)

here's how it works -- buy div stock for the dividends. stock goes up in price, the equivalent of a dividend.....or four dividends. i sell it and move on. it's been alarmingly successful - far outperforming the majority of my money parked in holding div payers

i have mental buy points on all of the stocks i drift through. if there's none in the buy zone, i sit and wait. i usually have 2 to 10 stocks with drift money in them. many of them i own for long term too

when a drift stock does down -- you still own a stock you like, and it pays a fat div. i often average down if it moves against me.

been surprised at how well it's worked during the first 13 months of trial. the true test will be 2022 - it looks like a correction/collapse is going to play out

everyone's heard the old axiom - dont turn a trade into a long term investment. drifting is turning a long term investment into a trade
 
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MrLucky

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Interesting approach. Are the stocks you sell, long term holds (over 1 year) or short term holds? If short term, would be curious how this method holds up against short term tax gains taxes.

My approach at this point in life (winter) is to hold for divs. Will average down if deals get good. I have about 20 stocks in the portfolio atm don't really need new ones, just acquiring more of what I already have. About half are on div/reinv so actually I'm constantly buying. If I need funds (eg for a large expense) I just sell some of them and get taxed as long term.
 

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stock goes up in price, the equivalent of a dividend.....or four dividends. i sell it and move on.
It makes sense. Your price/earnings just went up, so take the capital gain and get out.
 

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Interesting approach. Are the stocks you sell, long term holds (over 1 year) or short term holds? If short term, would be curious how this method holds up against short term tax gains taxes.

My approach at this point in life (winter) is to hold for divs. Will average down if deals get good. I have about 20 stocks in the portfolio atm don't really need new ones, just acquiring more of what I already have. About half are on div/reinv so actually I'm constantly buying. If I need funds (eg for a large expense) I just sell some of them and get taxed as long term.

i'm doing it in an IRA. within the ira the drifting has outperformed the holding by a wide margin. it would win in a taxable acct too.

i'm hesitant to do it in a taxable acct - take on all of that record keeping/tax crap. still cautious about the results too. only a 13 month test, after 2022 i'll have better feel for if it's real or not.

it's kind of a dogs of the dow approach - on steroids. as sectors come in and out of favor - on a daily/weekly basis. one week i'm buying oil, selling reits. the next week i'm selling chemicals and buying reits. throw in some retailers, restaurants, tech, telecom, financials.......most of the time some big dividend stocks are out of favor.
 
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Jarrod32

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Looks like the news on the T spinoff is out. When the Time Warner assets are sold off, shareholders of T will get about 1/4 share of Discovery (DISCA) for every share of T. T will set their annual dividend going forward at 1.11 (down from 2.08). At the current share price, it still looks like a dividend yield in the 4.5% range going forward.
 

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Looks like the news on the T spinoff is out. When the Time Warner assets are sold off, shareholders of T will get about 1/4 share of Discovery (DISCA) for every share of T. T will set their annual dividend going forward at 1.11 (down from 2.08). At the current share price, it still looks like a dividend yield in the 4.5% range going forward.

looks like they matched the div yield of vz

i bet the spinoff is involved in a takeover in the next year or two
 

Jarrod32

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*sigh*. Bought some Viacom/CBS/Paramount (however they are identifying themselves this week) on the dip this morning. If I can get a quick bounce back up, I might be out of this one quick. But it is enough of a dividend that I can be patient if I have to as I am getting paid to wait. VIAC
 

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there are some decent reits that are down b/c of bonds going down (up in yield)

my drifting has brought me to doc, mpw, and stor. i'm also playing around with leg

out on the risk scale, gun maker rgr, and sporting goods retailer bgfv
 

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QYLD is down 10% from its recent highs with the takedown of tech. Suggest you sell out of the money puts against it until you're "forced" to buy all the shares you want at much lower prices...and higher yields.
 

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That QYLD hasn't grown at all in 5 years with a bunch of high flying tech. I don't think they understand how covered calls are supposed to work. Not real impressive unless they are just paying way too much in dividends.