The markets traded mixed for much of the day, ending an
otherwise subpar week as far as the averages go. 2012 has been a
solid year thus far and once again for dividend investors.
Monthly retail sales and jobless claims numbers came out this
morning, and much of the data was positive. Some of today's bigger
retail sector winners included TJX Companies (
TJX
) and Ross Stores (
ROST
). Non-dividend play Bed Bath & Beyond (
BBBY
) spiked 8% higher following a big earnings beat. I have to think
the company will consider implementing a dividend program at some
point.
As for retail names not faring as well following monthly sales
updates, The Buckle (
BKE
) and Kohl's (
KSS
) ended the day in the red. Elsewhere, we did see investors
continue to gravitate toward key brands such as Mastercard (
MA
) and Starbucks (
SBUX
), as these two names tend to catch the attention of momentum
traders on a daily basis.
Quick note:
The market is closed for trading tomorrow due to the Good Friday
holiday, and will be back to its regular schedule on Monday. We'll
still be sending out a Friday newsletter as well as the normal
weekend newsletter to Premium subscribers.
Purpose Inspires People
Most people may not know that natural foods superpower Whole
Foods (
WFM
) began as a vegetarian food store in an old Victorian home. The
company now has more than 300 supermarkets and 48,000
employees.
CEO and Founder John Mackey had three goals from the onset: make
a living, have fun, and help a few people live healthier by eating
better. He had a focus and kept it simple as long as he could, but
when the opportunity came to grow, he took it and ran. The company
is now worth over $15 billion by today's share price. Success
didn't come overnight, however, as his dream all began with that
one small store back in 1978.
People often have a much-too-short timeline in which they expect
to see big results. Quick hits are few and far between, so after
spelling out your main goals (such as owning your own business,
generating six figures form new income sources, retiring as early
as possible, etc.), be sure to allow yourself a long enough time
runway to let things materialize.
Jumping from one career to the next and not putting in the roots
to learn the niche you believe will bring you the fortunes you
crave is not the right roadmap. Have a purpose and build several
strategies around your field of interest as you set forth in your
journey.
You Have to Think Anyway, so Why Not Think Big?
You may wonder who uttered that phrase. Well, it was none other
than Donald Trump himself. You certainly can never deny Mr. Trump's
ability to go big in most everything he does. Sometimes it works
and sometimes it doesn't, but the point is, he's never going to be
content to fall to the bottom of the pack in any industry he gets
involved with. He rode the real estate cycles up and got hurt some
when they went down. But he did bounce back from the down times and
rebuilt his empire, eventually spreading his brand over other
verticals. Like him or not, you can't argue that he is
well-recognized and well-respected when it comes to the world of
business.
For many of us who one day hope to get a good sliver of success,
we can do well by ourselves to adopt a "think big" approach when
opportunity presents itself. You can't think big if you lack the
experience in your field that can cement your place among the top
players, so putting your time in is key. That said, all the while
you are paying your dues, you should never take your eye off the
big prize.
Keep this in mind as you carry on your mission to get to a place
you feel financially and professionally secure in your
achievements.
New MLP Report Just Released!
In
The Essentials of Investing in MLPs
, we outline the do's and don'ts of investing in high-yield Master
Limited Partnerships (MLPs). Our exclusive new MLP report outlines
everything you need to know about these popular high-yield
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- Understanding their unique company structure
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Head to the
Dividend.com Premium
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25 Years of Dividend-Increasing Stocks
We recently updated our list of dividend stocks that have been
paying out dividends for 25 years or more. Be sure to check out
the latest list of names here
.
Dividends Really Matter
Financial blog DailyReckoning.com recently took a look at the
difference dividend payouts made in the overall return investors
saw throughout the prior decades. Here are some of the
highlights:
- The Nasdaq is down 28% since the end of 1999. Even the "blue
chip" S&P 500 stocks are down 15% during that time frame…until
you add back those "boring" dividends. With dividends included, the
S&P 500′s 15% loss flips to a 6% gain.
- Without dividends, the S&P 500 index would have produced a
loss for the 25 long years from August 1929 to August 1954. Then
again, without dividends, the S&P 500 produced a 5% loss during
the 13 years from September 1961 to September 1974. But with
dividends included, the S&P's loss became a 46% gain.
- Over the course of the last half-century, dividends have
contributed more than half of the stock market's total return -
56%, to be exact.
Of course, you can't discuss the potency of dividend investing
without making mention of how awesome compound returns are. I can't
stress enough the power of compound interest: you take a small
amount of money and turn it into a large amount over time. Finding
the right companies at the right price points which not only grow
earnings, but also grow their dividend payouts as well!
New Watchlist Article Out Today
Be sure to check out our weekly Top 50 High-Yield Watchlist
Names post that is out today, exclusively for
Dividend.com Premium
members. This list gives readers a good idea of what stocks we're
watching behind the scenes here for potential upgrades.
Go Beyond This Newsletter
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remember that with our
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service, the newsletter is just one small component of what we
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Watchlist
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payouts of the particular stocks you care about.
- Finally, we offer the most complete and easy-to-use dividend
data on the web. Many subscribers use this data as part of a
"Dividend Capture" trading strategy, but long-term investors can
use it to keep track of impending payouts. Just visit our
Ex-Dividend Calendar
for a complete outlook on which companies will be paying out
soon.
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Thanks for reading, and I'll see you tomorrow!
Be sure to visit our complete recommended list of the
Best Dividend Stocks
, as well as a detailed explanation of
our ratings system here
.