The beginning of earnings season is upon us, and investors
should expect the unexpected. Some companies' reports will
disappoint, but the shares will rise anyway. Others will report
blowout earnings, but shares will pull back on the news. We will be
sorting out the winners and losers throughout this process as we
look for new candidates to add to our
Best Dividend Stocks List
, and re-evaluate names we currently like to see if they should
remain on the list.
As for today's action, earnings results started off this
holiday-shortened trading week mixed. Well Fargo (
) shares were up slightly on
, while shares of Citigroup (
read more here
) and M&T Bank (
) moved lower. Shares of cruise-ship operator Carnival Corporation
) got hit following
this past weekend's ship accident in Italy
. Competitor Royal Caribbean Cruises (
) was also down.
The higher beta dividend names showed some strength, led by
shares of Wynn Resorts (
), Cummins Inc. (
), and MasterCard (
). Despite the early euphoria, we did see pockets of weakness
develop, especially from negative analyst chatter that focused on
shares of Phillip Morris International (
), and J.P. Morgan (
even more here
). Concerns about recent share price strength have analysts
questioning current valuations for these names.
The Success Manuscript
I read a great piece about Green Bay Packers quarterback Aaron
Rodgers a few weeks ago in the New York Times. The article talked
about how Rodgers patiently waited in the wings for a few seasons,
eagerly anticipating his chance to take over for the legendary
Brett Favre. How he conducted his business during that process was
Mr. Rodgers would often practice at game-like conditions,
sometimes to the dismay of his coaching staff. The coaches wanted
him to ease up on his teammates as Sunday approached, to help them
conserve energy for their weekly game.
Rodgers was obsessed with being fully prepared for when his
number was called (which finally came at the beginning of the 2008
season). As you can see by his career results, which include one
Super Bowl championship are a 15-1 regular season record in 2011,
Rodgers' hard work has certainly paid off. Although his obsession
with being prepared may have annoyed some teammates early on, the
Packers' championship run last year left no doubt that his way was
the right way.
The reason behind Rodgers' obsession with preparation is his
extreme desire to win. We've seen other great athletes in the
recent past exemplify this same approach with much success. NBA
great Michael Jordan, by all accounts, was a very difficult person
to play with. He was known for berating teammates who made mental
mistakes or gave a lackluster effort. I'm sure there were days
where he went overboard, and coaches may have had to step in and
calm some of the tensions, but when all was said and done, Jordan
had a career that most players could only dream about.
Speaking of basketball, I've been a New York Knicks fan all my
life. Perhaps the greatest Knick of all time, Hall of Fame center
Patrick Ewing, came close to winning an NBA championship several
times, only to fall short. Eventually, he retired without winning a
single title. Ewing is often defended by his fans as not having a
strong enough supporting cast to win it all, but even Michael
Jordan really only had one great player alongside of him (small
forward Scottie Pippen). Jordan, however, was known for making many
of the role players on his team better. He accepted only 100%
effort and tireless preparation from his teammates.
Ewing, on the other hand, wasn't known for that sort of
hard-line leadership. Perhaps if he were a bit more demonstrative
at times, the Knicks could've brought home an NBA title during his
tenure. Unfortunately, we'll never know.
Regardless, we can all take the lessons of players like Aaron
Rodgers and Michael Jordan to heart in our own lives. Anyone who's
ever achieved anything truly great was obsessed not only with
preparation, but on results. Anyone who reads my newsletters can
probably surmise I have that same sort of obsession with success,
and with helping others achieve financial piece of mind. I'll
continue to shares stories in that vein that I hope can inspire you
to reach your own wealth-building goals.
Beat The Markets with Dividend Stocks
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I hope everyone had a chance to check out our
members-only weekend articles, including new features that
highlight some of the biggest winners and losers from the week that
was, such as analyst upgrades/downgrades and earnings/story stocks.
These articles are a great way to catch up on the week that was in
the markets. We also have a rundown of how various Dividend ETFs
performed on the week.
Thanks for reading everybody. 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