The FAL Files  

Go Back   The FAL Files > News & Political Discussion > Economics & Investing

Notices

Reply
 
Thread Tools Display Modes
Old January 05, 2018, 11:59   #1
Bawana jim
Registered
 
FALaholic #: 17482
Join Date: May 2005
Location: west coast
Posts: 19,557
Stock market

Some shares of stocks are getting out of reach for the average guy to buy. In the past to bring in more money they would split stocks to get more buyers. Which stocks do you think will split soon?
__________________
yellowhand "Six*men*can shut down the whole state"
Bawana jim is online now   Reply With Quote
Old January 05, 2018, 12:51   #2
bubbagump
Stand-Up Philosopher
Silver Contributor
 
bubbagump's Avatar
 
FALaholic #: 21705
Join Date: Nov 2006
Location: Marietta, Georgia
Posts: 10,149
Quote:
Originally Posted by Bawana jim View Post
Some shares of stocks are getting out of reach for the average guy to buy. In the past to bring in more money they would split stocks to get more buyers. Which stocks do you think will split soon?
Dunno. I've said it many times but it's worth repeating, if individual stocks are too pricey for ya you're probably better off in mutual funds anyway. In fact IMO that's good advice even if you do have the cash to burn. There are only two kinds of folks who consistently do really well buying a single issue, insiders and incorrigible liars. I know I am neither and this is likely true of you as well.
__________________
Urban free range hippies are pushovers. Especially with a D-9 Cat. -L. Haney
If God wanted us to carry Glocks, John Browning would have invented them. -shooter_37
Do or do not. There is no try. -Yoda
bubbagump is online now   Reply With Quote
Old January 05, 2018, 12:59   #3
tdb59
Are We Awake ?
Bronze Contributor
 
tdb59's Avatar
 
FALaholic #: 63177
Join Date: Mar 2011
Location: ironsman.com
Posts: 10,262
Quote:
Originally Posted by bubbagump View Post
Dunno. I've said it many times but it's worth repeating, if individual stocks are too pricey for ya you're probably better off in mutual funds anyway. In fact IMO that's good advice even if you do have the cash to burn. There are only two kinds of folks who consistently do really well buying a single issue, insiders and incorrigible liars. I know I am neither and this is likely true of you as well.
^

This.


Stock splits mean nothing.

Either you have money invested, or you do not.

See Berkshire Hathaway Class A




..........................
__________________
Inasmuch as ye have done it unto one of the least of these my brethren, ye have done it unto me.

...............
tdb59 is online now   Reply With Quote
Old January 05, 2018, 13:22   #4
wanneroo
Registered
 
FALaholic #: 74891
Join Date: Oct 2014
Location: Tioga County, PA
Posts: 1,371
I have done well over the years buying individual stocks. I do try to time my purchases in the sense of when a particular market is down, I'll buy in. I bought in on mining stocks and oil stocks a few years ago when commodity prices went down. For the most part I buy solid companies that consistently make money and pay dividends. A few others might be speculative capital investment purchases hoping a company might be big 10-20 years from now such as Alibaba. I own companies like Rio Tinto, BP, BHP Billiton, Intel, Verizon, Shell, etc.

Now to balance it out, one place I do work for pays me as a W-2 and I have a 401K with them that I shovel money into and that is all various index funds and a few other assorted funds.

Once I buy in on certain stocks that pay dividends, my goal is to hold as long as they keep making money and paying out while reinvesting my dividends along the way. I don't get too perturbed about the market going up or down or the stock going up or down as long as they keep making money. My aim after another 25-30 years is to have a substantial amount of holdings that pay dividends and then live on the dividends in retirement.

I have known a variety of old folks that employed that strategy and they had comfortable retirements.
wanneroo is offline   Reply With Quote
Old January 05, 2018, 17:05   #5
bubbagump
Stand-Up Philosopher
Silver Contributor
 
bubbagump's Avatar
 
FALaholic #: 21705
Join Date: Nov 2006
Location: Marietta, Georgia
Posts: 10,149
Quote:
Originally Posted by wanneroo View Post
I have done well over the years buying individual stocks. I do try to time my purchases in the sense of when a particular market is down, I'll buy in. I bought in on mining stocks and oil stocks a few years ago when commodity prices went down. For the most part I buy solid companies that consistently make money and pay dividends. A few others might be speculative capital investment purchases hoping a company might be big 10-20 years from now such as Alibaba. I own companies like Rio Tinto, BP, BHP Billiton, Intel, Verizon, Shell, etc.

Now to balance it out, one place I do work for pays me as a W-2 and I have a 401K with them that I shovel money into and that is all various index funds and a few other assorted funds.

Once I buy in on certain stocks that pay dividends, my goal is to hold as long as they keep making money and paying out while reinvesting my dividends along the way. I don't get too perturbed about the market going up or down or the stock going up or down as long as they keep making money. My aim after another 25-30 years is to have a substantial amount of holdings that pay dividends and then live on the dividends in retirement.

I have known a variety of old folks that employed that strategy and they had comfortable retirements.
... a good plan. Buying when the market is down dovetails pretty well with the classic contrarian approach which is to buy when the majority of investor sentiment is running against a sector. The idea is that when the market is pulled down the good stuff gets hit along with the bad and is artificially discounted. You capitalize on that. Will Danoff has done extraordinarily well with Fidelity Contrafund using, among other things, exactly this market strategy. And he isn't the only one.

To me the hardest thing is figuring out when to sell. As long as the rolling stone is gathering moss I'm loathe to get in the way of it. Something I still need to get my head around.
__________________
Urban free range hippies are pushovers. Especially with a D-9 Cat. -L. Haney
If God wanted us to carry Glocks, John Browning would have invented them. -shooter_37
Do or do not. There is no try. -Yoda
bubbagump is online now   Reply With Quote
Old January 05, 2018, 18:09   #6
wanneroo
Registered
 
FALaholic #: 74891
Join Date: Oct 2014
Location: Tioga County, PA
Posts: 1,371
Quote:
Originally Posted by bubbagump View Post
... a good plan. Buying when the market is down dovetails pretty well with the classic contrarian approach which is to buy when the majority of investor sentiment is running against a sector. The idea is that when the market is pulled down the good stuff gets hit along with the bad and is artificially discounted. You capitalize on that. Will Danoff has done extraordinarily well with Fidelity Contrafund using, among other things, exactly this market strategy. And he isn't the only one.

To me the hardest thing is figuring out when to sell. As long as the rolling stone is gathering moss I'm loathe to get in the way of it. Something I still need to get my head around.
The way I look at it is companies like Shell or Rio Tinto, they are not going out of business anytime soon and if commodity prices fall and the stock goes down, good to time to buy at a value price, hold and then rake in dividends for decades.

To me selling and then taking out the proceeds would be like eating yourself. Selling and reinvesting another thing. I do look at the portfolio all the time and if I'm just not feeling it anymore on a certain company then I will sell out and reinvest. I had Wal Mart for a long time and it made dividends but I felt like it had plateaued as a mature company that would hold what they had but not have big future gains or growth. So I sold for a profit and moved onto Alibaba which I felt had more room for growth. So far that's been a successful move.
wanneroo is offline   Reply With Quote
Old January 05, 2018, 23:21   #7
SAFN49
None
Platinum Contributor
 
FALaholic #: 73015
Join Date: Dec 2013
Location: No Where
Posts: 8,759
I've added an MLP ETF in energy, AMPL, it is affordable and pays well. MLP ETF's can also be held in IRA's, unlike a LP such as EPD.

https://www.fool.com/investing/2016/...-mlp-etfs.aspx

People are always going to need fuel and natural gas. It goes nicely with RDS-A that I also have as part of my energy sector.

Round those out with some pharma, manufacturing, and a little material supply and you get a 5% return every year.
SAFN49 is offline   Reply With Quote
Reply

Thread Tools
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is On

Forum Jump


All times are GMT -5. The time now is 22:00.


Powered by vBulletin® Version 3.8.7
Copyright ©2000 - 2019, vBulletin Solutions, Inc.
©1998-2018 The FAL Files