Monday, June 12, 2017

Is Apple A Buy After Recent Sell-Off?

With a market value of nearly $750 billion, Apple is by far the most valuable and well known technology companies today. In terms of its stock price, it has had a great run for the past 12 months with a one year return of around 20%. In comparison, S&P 500 has returned about 15% for the same period.

Apple also pays a current dividend yield of 1.74% and has recently increased its dividend in access of 10%. Barring the low yield, the dividend increase is quite good and qualifies it as a high quality dividend growth stock that is also a fast growing technology company.

Saturday, June 10, 2017

Lessons To Be Learned From My Stock Sale History

I believe, there is some truth to the following investment quotes:
More money is lost selling stocks than just keeping the shares and enjoying the ride through ups and downs of the market.
Your stock portfolio is like a bar of soap, the more you touch it, the smaller it gets.
Over the years, I've monitored and managed my investment risks by selling or trimming certain stocks in my portfolio that I deemed as too risky or not conforming to my investment goals or principles.

In this blog post, I want to review my own selling behavior to determine whether I'm being too aggressive with my stock sell criteria and hurting growth of my overall stock portfolio and dividend income.

In doing so, I would look at my sell record over the past one and a half year to see if there is any truth to the above quotes and whether there are any lessons to be learned.

Tuesday, May 30, 2017

Consider These Issues Before Investing In Foreign Stocks

Market pundits and investment experts have been telling us to start investing in foreign stocks. This is mainly because the US stock market is at its all-time highs and due a major correction whereas foreign markets have been lagging considerably for the past few years and now are primed to grow again in double digits.

If you look at the 5-year chart below which compares developed international stocks fund MSCI EAFE ETF (blue line) with US S&P 500 Index (green line), you will notice that international stocks have been grossly lagging US stock market since about mid 2014 and it is only recently that they have started to grow again.

Source Yahoo Finance
Just on dividend basis, the MSCI EAFE ETF pays 2.9% dividend vs. S&P 500's 1.9%. Cumulatively, foreign stocks are paying a higher dividend by almost a percent when compared to US stocks.

There is some truth in what these experts are saying; however, before you go and start investing in foreign stocks or ETFs, you should consider the following implications:

Tuesday, May 23, 2017

Having A Stock Watchlist Can Help You Become A Better Investor

What is a stock watchlist?

Stock watchlist is simply a list of stocks that one wants to buy when the conditions are right. Buy conditions can be triggered by a short-term company issue or industry specific downturn, but many times they can also be triggered by a broader market correction.

My watchlist contains stocks that I've already researched and interested in buying at sometime in the future when they are trading at the right valuation or price.

Monday, May 15, 2017

Which department store stock should I buy?

A value investor is always looking for bargain stocks to buy. With the US stock market trading at a P/E of around 22, it's hard to find cheap good quality stocks.

However, if you have been paying attention to the retail business environment, you may have noticed that retail industry is not doing so well as more and more stores are closing their doors and have been reporting dwindling sales for the past several quarters.

Wednesday, May 10, 2017

How do you define a high quality stock investment?

At least for me, a high quality stock investment is the one that exhibits the following three qualities:

1. High Quality Financials
2. High Dividend
3. High Dividend Growth

I'm a value and dividend growth investor which means I only invest in stocks of companies that are of high quality and pay a growing dividend.

You may ask why I only invest in dividend paying stocks?

Friday, April 14, 2017

Why I Never Answer Calls from Investment Advisors

I got another call yesterday from one of the investment consultants at a brokerage firm that I have an account with. They seem to be calling me quite a bit lately. It seems almost every week I get a call from these financial experts across all three of my brokerage accounts.

They leave a message for me to call them back, but I never call them back. Normally, their message would be something like this:

Sunday, April 2, 2017

My First Quarterly Investment Report for the Year 2017

I like to do a comprehensive evaluation of my investments at the end of each quarter to track my investment returns including dividends and dividend growth and all the buy/sell transactions I made during the quarter.

I also look back at any changes/improvements I may have made to my investment tracking system which includes tools and investment guidelines.

Therefore, as the first quarter (Q1) of 2017 has just ended, it is time to review how my portfolio has performed and what improvements I've made to my investment tracking system.

Monday, March 20, 2017

My Personal Activity Happiness Tracking

They say true happiness is found in doing things that you enjoy the most and least time spent on things you dislike. So, I went on an exercise to see what daily chores or activities I like or dislike and how they rank on my happiness score.

Happiness Score of 10 - I love it!
Happiness Score of 1 - I would rather go back to work (unretire) than do this.

Friday, March 3, 2017

Where to find free stock research material for your investment needs

I've been somewhat lazy when it comes to updating my blog. Well they say, spend more time doing things where you get the most returns and less time on things that give least returns. Therefore, I spend more time on my investments and improving my health than on blogging. Nevertheless, I still like to keep my blog alive with occasional updates.