Why not?
-
Hey, guest user. Hope you're enjoying NeoGAF! Have you considered registering for an account? Come join us and add your take to the daily discourse.
Stock-Age: Stocks, Options and Dividends oh my!
- Thread starter koam
- Start date
Large Professor
Member
I use the same strategy but now I'd like to see the volatility pick up before writing any more options.
RumblingRosco
Member
-
The thing is every company hits a wall and I think it's dumb of wallstreet to panic when earnings are slightly weaker despite being strong such as the case with Google last week.
Of course offering a dividend is a good incentive I think Apple does not care to as it has a long term strategy.
Which is why I sort of want to hold it for longterm depending on how tomorrow goes because I predict some big things are going to be happening.
It happened last quarter. Missed consensus by 2.5%, at which point the stock went from $420 all the way to $360 before rebounding.
As for this quarter...I called it as far back as October. Still, it's amazing that AAPL is "only" up 7.5% after-hours, as it means despite again blowing away expectations its trailing P/E is significantly lower than it was a few hours ago. Getting dangerously close to the single-digits here...
Cook and Oppenheimer both hinted that they'll eventually come up with a way to give money back to shareholders. $97 billion in the bank is just insane, especially considering that's $16 billion higher than last quarter.
Because gold is an investment bubble that's why. Plus, it hasn't done well for the past six months.
In the short term (if Greece defaults on March 21st) it might be a wise investment but, if the EU gets their house in order then it will be very foolish move. More money will flow into equities and late gold speculators will be left holding.
There was good article in Barrons about this: http://online.barrons.com/article/SB50001424052748704900804577170672872489942.html?mod=BOL_hpp_emc#articleTabs_article=1
Ether_Snake
å®å®å®å®å®å®å®å®å®å®å®å®å®å®å®
Gold has been great for me. Been stable, and I'm not worried about it. At worst it will fall down to 0%, but at least it won't burn my money like STP and SWY did.
I would ride it out, they may declare a dividend soon next quarter and price will only drive up further. If it dips in near future I may load up on more.
This or a split in the next year hopefully
I've never dealed with a split, would it be advisable to keep shares before the split or sell em off and rebuy?
Practically speaking there isn't any difference. In reality, a split tends to provide at least a short-term boost to the stock as people previously scared off by the high nominal price finally buy in. Unless you need the funds or there are other negatives impacting the stock I'd hold it through any potential split.
Does that matter if I'm holding it for a year?
I have 10k split four ways, 2500 in gold already.
Thanks, the only experience I have with splits is reverse splits where they are usually for low priced stocks and the end result is often pretty bad.
That's because companies that do reverse splits usually are already in trouble (hence the low and falling stock price), and their troubles don't magically disappear after the split. It's likely that the stock would have fallen by the same amount (in relative terms) without any split.
There's nothing inherently negative about a reverse split (just like a normal split has no effect whatsoever on the price all other things being equal), they're completely neutral but they do change people's perceptions of the stock, exacerbating existing trends. But you've got to be confident that the company can turnaround in the long run, otherwise it can indeed be pretty risky to hold a stock that's gone through a reverse split.
Thanks for that link, that was a pretty good read!
isn't that usually just a last-ditch effort to save the stock which ends up failing anyway?
That would be a reverse stock split. Although Cook mentioned possibly using that money to give back to shareholders, Apple is still growing and a stock split seems unlikely. I would like to see them use that cash hoard to acquire other companies, or maybe purchase more patents(patent wars yo), invest in R&d.
I don't know if "last ditch" is always apt. It's definitely a way to try to massage perceptions, though. But there are also practical reasons for a reverse split. Stocks trading below certain thresholds (usually about $5) are often barred from being held by many larger funds. I think there's also some evidence that, all else equal, smaller nominal stock values increase volatility. Because every company wants people investing for the long term, a reverse-split might be practical. Whether or not it winds up benefiting shareholders in the end I have no idea.
Ether_Snake
å®å®å®å®å®å®å®å®å®å®å®å®å®å®å®
Hey tell me what to invest in!
They already do that, and they do it really well. There wouldn't be much sense in making a larger acquisition as integration would be a nightmare due to Apple's very strong and unique corporate culture. Their strategy of acquiring smaller companies that give them an edge in terms of components is working just fine at the moment.
As for patents, Apple spent $2 billion last year in the Nortel bid, and that's on top of their already strong patent portfolio. They also spent on patents they expect to actually need, like the exclusive license to Liquidmetal's products.
In reality, there is only one massive acquisition I could ever see as profitable to Apple (but even that's pure fantasy): Disney. They have this massive content distribution structure in iTunes and they're looking to expand into the living room, a content production arm would give them a great edge in this respect. Not to mention that the two companies are already very, very close since Steve Jobs was on Disney's board and its largest individual shareholder; and Bob Iger, Disney's CEO, is on Apple's board.
Of course, that'll never happen either because, as Cook says, divisions aren't part of Apple's corporate philosophy, but...it's the only company that remotely makes sense.
haha man I couldn't say atm. the stocks I'm usually watching haven't been moving as much as I'd like them to. I'm having some trouble picking stocks for the upcoming investment competition with my university.
Ether_Snake
å®å®å®å®å®å®å®å®å®å®å®å®å®å®å®
I'm thinking of Aeropostale, or adding more to BHI.
Research Ford and see if that may interest you. They are expected to post big earnings yet again on Friday, will probably be upgraded to investment grade soon, are reissuing a dividend and is considered very under bought as it is getting close to 13. There are many thinking that it has a good shot to get to 20 even though the 1 yr estimate is around 16.
The new Fusion and Escape are probably going to sell gangbusters and people are going to be buying more cars this year due to the aging US fleet. Average passenger vehicle is 10.8 years in the US and it is expected that 1 million more cars will be sold this year.
I bought in at 10.05.
The new Fusion and Escape are probably going to sell gangbusters and people are going to be buying more cars this year due to the aging US fleet. Average passenger vehicle is 10.8 years in the US and it is expected that 1 million more cars will be sold this year.
I bought in at 10.05.
why aeropostale?
Hmm, I currently hold 100 shares bought at just a little above that. Maybe I should get more...
edit: Went ahead and doubled my holdings in Ford. I've been wanting to do this for a while anyways. Strange that TDAmeritrade now just averages the purchase prices.
I bought in at $13.44 last summer. Very small holding, about a dozen shares, but it's been in the red ever since I bought; I'm currently debating whether I'll sell when I make my money back or if it's worth holding out longer.
I think it'll continue gaining market share, giving it potential upside, but I really don't think it'll materialize within the next year. In the long term, it'll do well, but I'm doubtful about the current price targets for the next 12 months. Even $16 is about 25% from here.
Ether_Snake
å®å®å®å®å®å®å®å®å®å®å®å®å®å®å®
Just cause I think it has been low compared to past performance
ERTS is a more likely buy for me soon. Just needs to drop a bit more.
Yeah...I wish I had enough to buy any significant amount of that. :/
Just cause I think it has been low compared to past performance
ERTS is a more likely buy for me soon. Just needs to drop a bit more.
IDK, I would probably avoid that like the plague. All analysts are indicating to sell or strong sell. No one is even mentioning a hold even.
I looking to get out between 16-18.
Yeah kind of pissed I didn't hold on I bought in under 60 but sold out around 90ish after they had that rebound pop.
Tell me about it. I'm LOSING money right now. fuuuck
Yeah, it's inched back up and I'm overall in the green. Albeit losing 2% today.
Yeah, back up to -2% on the day.
So F missed estimates by about 5c a share... gotta love those analysts!
source: http://www.autoblog.com/2012/01/27/ford-reports-biggest-profits-since-98-still-fails-to-meet-estim/
source: http://www.autoblog.com/2012/01/27/ford-reports-biggest-profits-since-98-still-fails-to-meet-estim/
Seriously sometimes I just want to save fuck you to the wall street hive mind.
It's not too bad though and I still think in the long run it will be fine but I was hoping to make some quick cash with this.
*edit* Didn't realized they were paying a dividend today.*
They don't pay today, it just goes ex-dividend, which means you won't get the dividend if you buy in between now and when the next dividend is declared. Depending on your broker it'll probably just be deposited into your brokerage account as cash. The dividend is $.05 a share, so you'll get $10.00.
Most brokerages will let you reinvest that dividend in further shares of Ford for free. So instead of getting cash you'll get however many fractional shares $10.00 will buy you on 3/1 when the dividend pays. Reinvesting dividends on companies that continue to pay and raise their dividend is my preferred method of investing, because it mostly means that I'm always hoping for these kind of irrational pullbacks to buy more and get a higher yield! Makes for far less stressful investing.
Ok, that makes sense. Not too worried about $10, lol. I'm only down .5% overall and I'm sure F will rebound next week.
I wouldn't be surprised. That said, I don't think Ford will power ahead much if the broader market pulls back or just trades in a band for awhile, which it may be ready to do. I'd still be a buyer though. Any pullback just lets you get in at a better price. ASPs are up and input costs might be moderating, which is what really hurt them this quarter along with Europe. To me there's almost no argument that Ford is making the best cars in the U.S. right now and by quite a large margin. The just announced Fusion looks great.
F is my one long term stock. I am debating keeping AA as a long term stock too, but I'm currently up almost 12% on them so I might sell to jump into something else.
I think I'm going to buy some MCD just because it seems safe, pays a nice dividend and is better than keeping my money in a bank account. What site offers the cheapest trades (and is a respectable trading site with decent features)? Etrade is $10, so there is $20 gone I don't feel like paying.