One of the few with a legit forecast

Intel announced a few days ago that their 10 nanometer development is behind even further than was thought. We aren't going to see a rug pull from AMD anytime soon

Risk / return. Personally, I think there are better options available. Casinos have been hit equally as hard, and are guaranteed to rebound. I've done zero financial research on cruise companies, so take my comments on their resiliency with a grain of salt.



What's interesting is that a lot of high-yielding dividend names are trading cheap. Altria's yield is 8%, and a number of other names are yielding far higher than normal. It makes sense when you think of the growth-stock bubble we're in right now, but once that fades I'd expect to see money start chasing reliable returns.

This post was edited by bogie160 on Jul 28 2020 06:13pm

love dividend stocks, that said a lot of companies are cash-poor right now (not sure about Altria’s position)

also % yield usually goes up when share prices sink, doesn’t mean they will then go pay that when it comes time to. it can end up being a difficult cash obligation, and although debt is cheap right now to keep up the dividend payments it’s still a risky play for many firms. i got shafted a little bit by royal dutch shell for instance when they slashed dividends this year (made it up with stock price appreciation from its lows, but you get my drift)

It's hard to find safe money anymore. I learned that when you have really high wealth inequality, like what we've been developing the last 30 years, you end up with the equivalent effect of government "crowding out" except with large cash private investors. We're basically in the middle of that right now which partially explains why things like Theranos and WeWork can get such high evaluations even without meaningful products, why real estate is basically in another bubble, etc. etc.

Interesting thing to read about.

This post was edited by Thor123422 on Jul 28 2020 06:26pm

Traditionally and historically yes. A high-yield is a red flag because it often implies unsustainability. I don't think that's what's happening right now. There are a number of companies that have solid, cash generating business models whose share price never fully recovered after the Covid-19 panic. Stocks can normally remain out of favor for long periods of time, but with dividend paying names, that's less likely to be the case. If they're equipped to weather the storm (that can be a big if), the price will rebound because a high-yield secure investment is going to be impossible to resist.



I think the growth bubbles are more to do with retail ("robinhood") investors. They're chasing growth names because they're flashing and they want 2x, 3x, 4x returns. I can't explain Tesla's rise any other way. ~5 years ago high-yielding dividends would responsibly pay 3-5%. The crowding effect you're talking about was in effect. For a number of reasons, they've fallen out of favor, but in most cases the underlying business models are sound.

Check out GAIN for dividend stock, paid July’s dividend in full.

for sure. i was talking in generalities and like you said its going to depend on the business/sector they operate in.
for instance REITS got hammered stock price-wise, their divvy yields went to the moon but commercial real estate is FUBAR for the next few years (if not for a long time). residential real estate on the other hand..

and lol at TSLA. despite all the difficulties it keeps making profits and stacking cash (how i do not know but that's a different story). trust me i love Musk, the stock, and the company but it remains the mystery that people try to understand when there is nothing to understand because its the retail investors cryptocurrency (for lack of a better term). you could understand it back in 2013 when Musk finally got it right with the Model S and the stock quadrupled in a year based on results and the imagination of the future, but now its all been years of hype driven by arguably the greatest African-American since MLK JR and Rosa parks. that said Musk could have sat on his billions from paypal and instead decided to build cool things that are the future.

Doing a short AMD put around open, figure there’s going to be profit takers from the after hours pump, getting out right afterwards.

This post was edited by obisent on Jul 29 2020 07:28am

i bought 30 shares at $16, as i was just starting to mess with stocks. wish i bought a few thousand shares now

edit: of AMD that is

This post was edited by TheWhiteTower on Jul 29 2020 09:04am