Yup, for you the booboo was unloading your UTG. Mine was the NZT, which I bought last year for $6.75 and sold when it had gone up in value by 10% thinking I could lock in a year's dividend gains. Little did I know that NZT would keep increasing in value to about $10.00 per share now, while still paying a dividend. Oh well, live and learn.
Thanks for your vids, and know that are doing a real service for our community. Hoping that you keep up the great work. Cheers, GZ
Version of net free cash flow I like to use: Net income(I) + Depreciation and Amortization(C)+ Deferred Taxes (B)- Debt Payments(I) - Preferred Dividends (B)- Common Dividends (B) - Capital Spending (C)
This tells you how much the company has to build it's business after it has paid off its critical obligations. You can compare price to free cash flow as another metric along with PE ratio.
@JInks232 Yep. The risks can be mitigated down and you mention a great one. Just keeping an eye on a company can often tell you what the likely chance of a dividend's future will be. Good comment.
With dividend stocks. I like to keep a sharp eye on the financial integrity of the business. I think one of the most telling metrics outsiders have is net free cash flow. Companies with large frequent capital expenditures, I think, is a red flag. Buying companies in which the consumer's purchase decision tend to boil down to "lowest price" is another red flag to me. I think what I just said is the cornerstone of my due diligence, yet a fraction of the entire process.
I'm not certain you blame bad investments later on doubling your money selling UTG. But in general you're 100% correct. Hell 110% ;-) Plan the work and work the plan. Emotions will hurt your account and money will induce emotions. Work the plan.
@cosmosgato UTG wasnt really a bad investment I agree. There are much worse positions to be in then in cashing out a 100% gain or keeping a 12.5% yield on cost investment. In the end though it went against my plan and thusly I was driven by emotional reasons to sell.
Yup, for you the booboo was unloading your UTG. Mine was the NZT, which I bought last year for $6.75 and sold when it had gone up in value by 10% thinking I could lock in a year's dividend gains. Little did I know that NZT would keep increasing in value to about $10.00 per share now, while still paying a dividend. Oh well, live and learn.
Thanks for your vids, and know that are doing a real service for our community. Hoping that you keep up the great work. Cheers, GZ
godzillaunchained 8 months ago
@godzillaunchained Thanks for the compliment. Its appreciated.
Pullingmyselfup 8 months ago
Version of net free cash flow I like to use: Net income(I) + Depreciation and Amortization(C)+ Deferred Taxes (B)- Debt Payments(I) - Preferred Dividends (B)- Common Dividends (B) - Capital Spending (C)
Location in Financial statements (I)-Income statement (B) Balance Sheet (C) Cash flow statement
This tells you how much the company has to build it's business after it has paid off its critical obligations. You can compare price to free cash flow as another metric along with PE ratio.
JInks232 8 months ago
@JInks232 Yep. The risks can be mitigated down and you mention a great one. Just keeping an eye on a company can often tell you what the likely chance of a dividend's future will be. Good comment.
Pullingmyselfup 8 months ago
With dividend stocks. I like to keep a sharp eye on the financial integrity of the business. I think one of the most telling metrics outsiders have is net free cash flow. Companies with large frequent capital expenditures, I think, is a red flag. Buying companies in which the consumer's purchase decision tend to boil down to "lowest price" is another red flag to me. I think what I just said is the cornerstone of my due diligence, yet a fraction of the entire process.
JInks232 8 months ago
Hmm...
I'm not certain you blame bad investments later on doubling your money selling UTG. But in general you're 100% correct. Hell 110% ;-) Plan the work and work the plan. Emotions will hurt your account and money will induce emotions. Work the plan.
And it wasn't luck you were looking.
cosmosgato 8 months ago
@cosmosgato UTG wasnt really a bad investment I agree. There are much worse positions to be in then in cashing out a 100% gain or keeping a 12.5% yield on cost investment. In the end though it went against my plan and thusly I was driven by emotional reasons to sell.
Pullingmyselfup 8 months ago