More private equity buzz came into the markets today as Family
Dollar Stores (
) received a bid this morning. Ironically, the "bargain" retailer
appears to be getting an offer at "full-retail" price!
Speaking of takeover possibilities, we just added a new name to
our recommended list today that offers an interesting risk/reward
scenario, considering the brand and near 3% dividend yield. As we
put that name on, we took off a higher-yielding smaller market cap
"aggressive" name off our list. We don't usually lean toward
aggressive high-yield plays, but we had liked the name a while
back. Remember, when we remove a name from our recommended list, it
is not a sell call, but we always urge investors to keep an eye on
their portfolio names that fall 25% from their 52-week highs. That
is when we would examine the names closely for any potential
fundamental worries that would warrant trimming or selling out of
the positions. Be sure to check out the link for these changes
if you did not read the e-mail alert we sent out earlier.
Earnings and dividend increases were in the news this morning.
) and P.F. Chang's (
) reported earnings results as well as dividend increases. One of
our favorite "aggressive" names, Deere (
), reported solid numbers and traded higher. Another name we like
that just announced an 8% increase in its dividend payout is
Reynolds American (
). Sherwin Williams (
) gave a slight bump to its dividend payout this afternoon as well.
We will have a summary of all the changes later this afternoon in
our nightly "Dividend Payout Changes" post. Cablevision (
) bucked the uptrend and finished lower following this morning's
In a recent DailyFinance.com article, it was reported the top
20% of the American populace holds roughly 93% of the country's
financial wealth, and the top 1% of the country holds approximately
43% of the money in the U.S. Meanwhile, the middle class (middle
20% of population) holds only 6% of the country's total assets.
Clearly, it's time for the middle class to start putting money to
work for them, instead of the other way around. A lot of things
need to change, especially when it comes to consumption, spending,
and especially money education. Our main goal for Dividend.com is
to motivate individual investors to get started generating new
income and put themselves in a position to build tremendous
long-term wealth. It's time to generate your own nest egg, and it
doesn't take a fortune to get started.
Talking about money with your children can be difficult,
especially if you grew up in a family that did not discuss these
matters openly. As a kid, I remember our money conversations were
limited to whether my dad's barbershop was busy or not on that
particular day. We never got into the details of what things cost
and what kind of budget we were operating on. Old-school Italians
(like my parents) have always been notoriously close to the vest
when it comes to finance revelations, but I am determined to break
that with my kids as they now get older and get them in the loop on
how the world of money operates. You'd be surprised how quickly
financial accountability begins to take hold when the spotlight is
on everyone. Teaching what we know is the biggest gift we can pass
on to the next generation.
Automating your saving and investing is one of the best ways you
can get yourself and others you are hoping to teach about money in
the right direction from day one. What you don't have to touch can
really accumulate over time, especially when the money you invest
is in quality dividend-paying stocks (compound interest is an
investor's best friend for life).
Also, don't be afraid to fail when it comes to career or
business opportunities. As long as the steps you take don't
endanger the financial foundation of your family, you should always
give serious thought to how you can better yourself professionally
and financially. It is a common misconception that the smartest
investors are always right and the best athletes always come
through in the clutch. No one is born great. There are plenty of
Joe Montanas and Michael Jordans that never did pursue their
fullest potential, maybe out of sheer laziness or lack of
motivation. There are plenty of people that have skills and talents
in things outside sports as well, that never pushed themselves.
Look at how many people are amazed when you see older contestants
in talent shows all over television wow audiences with talents they
always had, but never took advantage of the opportunity to pursue
them. When you look back at a famous athlete's career, you will see
plenty of times they have failed in a spot where they could have
been the difference. Failing gets you one step closer to
succeeding. Take full advantage of opportunities that have great
rewards and share that mindset if you have any children or younger
people in your lives.
Don't forget to check out our library of
"Learn to Be Rich"
articles which give you snippets about personal finance maneuvers
you should know about. And as always, check out our
"Best Dividend Stocks" List
for the top dividend names to put money into right now.
Thanks for reading, and I'll see you tomorrow! P.S. Please pass
this post on to someone you think can use some financial
motivation. Thanks again!
Be sure to visit our complete recommended list of the
Best Dividend Stocks
, as well as a detailed explanation of
our ratings system here