Dividend-stock fans say the unusually strong performance is likely to last as long as volatility driven by Europe's debt crisis and the global economic fits and starts continues to grip financial markets. Stocks that pay steady dividends tend to fall less than others when times are tough.
I completely disagree with this rationale, all this dividend focused jargon is BS. First of all, the trade is over. Not to mention making INVESTMENTS on the basis of ... "hey, I won't lose a lot" is insane. This fad will pass, but it sells well right now. In fact, most of these defensive/no-growth names trade at a significant premium to the S&P. Think about that for a minute - the 'yielders' so frequently recommended on business-porn television, with their huge debt loads, unfunded pension liabilities, and engineered earnings growth, trade at a premium to businesses with real revenue, earnings, and free cash flow growth. Por exemplo.... P&G is at 16's forward earnings and Google trades at 10x's. Hmmm. Because P&G has 'yield support'?
This yield 'strategy' is an easy sell to retail investors - hence the push by managers and the Street - who create/sell products around conventional wisdom. Bottom line - its too late. The chart in the article mentioned, showing the 'Dividend Aristocrats' outperforming, reinforces my point.
Sanford Bernstein research analyst Toni Sacconaghi was referenced in this weekend's Technology Trader section of Barron's, making the following point with regard to Apple's cash position:
Dividend-stock fans say the unusually strong performance is likely to last as long as volatility driven by Europe's debt crisis and the global economic fits and starts continues to grip financial markets. Stocks that pay steady dividends tend to fall less than others when times are tough.
I completely disagree with this rationale, all this dividend focused jargon is BS. First of all, the trade is over. Not to mention making INVESTMENTS on the basis of ... "hey, I won't lose a lot" is insane. This fad will pass, but it sells well right now. In fact, most of these defensive/no-growth names trade at a significant premium to the S&P. Think about that for a minute - the 'yielders' so frequently recommended on business-porn television, with their huge debt loads, unfunded pension liabilities, and engineered earnings growth, trade at a premium to businesses with real revenue, earnings, and free cash flow growth. Por exemplo.... P&G is at 16's forward earnings and Google trades at 10x's. Hmmm. Because P&G has 'yield support'?
This yield 'strategy' is an easy sell to retail investors - hence the push by managers and the Street - who create/sell products around conventional wisdom. Bottom line - its too late. The chart in the article mentioned, showing the 'Dividend Aristocrats' outperforming, reinforces my point.
Sanford Bernstein research analyst Toni Sacconaghi was referenced in this weekend's Technology Trader section of Barron's, making the following point with regard to Apple's cash position:
http://247-articles.com/Art/221033/102/Precisely-why-You-Should-employ-the-service-of-a-professional-carpet-cleaning-provider.html
http://a1articles.org/?p=496068
http://allaboutarticles.info/?p=217795
http://aminuu.com/home-family/pets/why-you-should-seek-the-services-of-a-qualified-carpet-cleaning-provider/
http://andarticles.com/why-you-should-employ-a-skilled-carpet-cleaning-service.html
http://apicsud.com/precisely-why-you-should-retain-a-high-quality-carpet-cleaning-provider/
http://articleabc.info/why-you-should-seek-the-services-of-a-qualified-carpet-cleaning-provider/
http://articleamc.info/why-you-should-seek-the-services-of-a-qualified-carpet-cleaning-provider/
http://articlegallery.us/index.php?page=article&article_id=43742
http://articlehbo.info/why-you-should-retain-an-experienced-carpet-cleaning-service/
http://articlemtv.info/so-why-you-should-retain-the-services-of-a-skilled-carpet-cleaning-provider/
http://articlenba.info/so-why-you-should-use-a-skilled-carpet-cleaning-provider/
http://articlenbc.info/so-why-you-should-retain-the-services-of-a-skilled-carpet-cleaning-provider/
http://articleparadigm.info/arts/exactly-why-you-should-work-with-a-professional-carpet-cleaning-company/
http://articlesahead.com/why-you-should-employ-a-specialized-carpet-cleaning-service.html
http://articlesf.com/the-reason-why-you-should-employ-the-service-of-a-high-quality-carpet-cleaning-service/
http://articleshoped.com/the-reason-why-you-should-retain-the-services-of-a-skilled-carpet-cleaning-provider/
http://articlethecw.info/so-why-you-should-use-a-skilled-carpet-cleaning-provider/
http://articletnt.info/the-reason-why-you-should-hire-an-expert-carpet-cleaning-company/
http://articlewatt.com/Art/273243/102/Why-You-Should-hire-a-specialized-carpet-cleaning-service.html
http://articlewwe.info/so-why-you-should-retain-the-services-of-a-skilled-carpet-cleaning-provider/
http://basearticles.com/Art/790653/102/Exactly-why-You-Should-seek-the-services-of-an-experienced-carpet-cleaning-company.html
http://info.bizolink.com/index.php?page=article&article_id=256617
http://network.mediayuan.com/index.php?page=article&article_id=262484
http://oxarticles.info/so-why-you-should-get-a-professional-carpet-cleaning-provider.html
http://rangearticles.info/precisely-why-you-should-employ-the-service-of-a-professional-carpet-cleaning-provider.html
http://regulartrends.com/exactly-why-you-should-get-a-professional-carpet-cleaning-service/
http://rssniches.com/index.php?page=article&article_id=570297
http://terlampir.com/why-you-should-use-a-qualified-carpet-cleaning-provider
http://www.articlecontentpages.com/arts/so-why-you-should-retain-the-services-of-a-skilled-carpet-cleaning-provider/
http://www.articlecounty.com/index.php?page=article&article_id=1725113
http://www.articleexpress.org/?p=4680
http://www.articlemuseum.com/so-why-you-should-retain-the-services-of-a-skilled-carpet-cleaning-provider.htm
http://www.articlepiles.com/business/exactly-why-you-should-retain-an-experienced-carpet-cleaning-company.html
http://www.articlescrib.com/Art/405563/102/The-reason-why-You-Should-retain-the-services-of-a-qualified-carpet-cleaning-company.html
http://www.articlesglow.com/precisely-why-you-should-employ-a-specialized-carpet-cleaning-company.htm
http://www.articlesonly.info/exactly-why-you-should-hire-an-expert-carpet-cleaning-company/
http://www.articlesurge.com/Art/290584/102/So-why-You-Should-work-with-an-expert-carpet-cleaning-service.html
http://www.basearticles.com/Art/790642/102/Exactly-why-You-Should-use-a-qualified-carpet-cleaning-company.html
http://www.bluewaterarticles.com/arts-and-entertainment/so-why-you-should-hire-a-qualified-carpet-cleaning-service.html
http://www.caffeineindexing.com/the-reason-why-you-should-get-a-professional-carpet-cleaning-service
http://www.cyberarticles.com/why-you-should-retain-an-experienced-carpet-cleaning-service.htm
http://www.earticlesdirect.com/Art/328408/102/The-reason-why-You-Should-retain-the-services-of-a-skilled-carpet-cleaning-company.html
http://www.ffci.info/so-why-you-should-get-a-professional-carpet-cleaning-provider.html
http://www.fieldarticles.com/the-reason-why-you-should-use-a-qualified-carpet-cleaning-company.html
http://www.findarticles.co.za/exactly-why-you-should-use-a-qualified-carpet-cleaning-company/
http://www.freecontentarticles.net/index.php?page=article&article_id=464463
http://www.freedirectoryweb.com/articles/20111226215074/why-you-should-seek-the-services-of-a-qualified-carpet-cleaning-provider.html
http://www.gooolk.com/2011/12/so-why-you-should-use-a-skilled-carpet-cleaning-provider/
http://www.khanaleem.com/2011/12/why-you-should-retain-an-experienced-carpet-cleaning-service.html
http://www.lugarticles.com/?p=154424
http://www.maxref.com/archives/446430
http://www.wikiarticleshare.com/2011/12/why-you-should-work-with-an-expert-carpet-cleaning-service/
http://www.wkccradio.com/business/exactly-why-you-should-get-a-professional-carpet-cleaning-service
http://www.yourguide247.com/index.php?page=article&article_id=417827
No comments:
Post a Comment