Because we are heavily invested in Tech already and want something to balance it out.
If you were an Amzn or Aapl or FB employee with more than 50% of income as stock, you would want to balance it out with something that doesnât have your companyâs stock.
As I said previously, buy dividend aristocrats at low price, make sure the payout ratio is less than 60%, lower the payout better they are on growth.
The simple idea is dividends are coming out of company financials, but growth normally we see from market pricing. Between Sep 2018 and now, AAPL is priced from $232 to $145, a lot of dependency on market pricing (supposed to be inline with company financials), but dividend is maintained.
I have 50% in ABBV, VZ, T, JNJ, GIS, BA,SYF and AAPL for dividend returns. if I happen to hold them longer term (who knows !), they may provide ever lasting dividend, keeping my original amount intact.
I gave the list for information purpose, but please search google for dividend aristocrats.
Just like FED not concerned about market volatility, WBâs focus is on real company ROIC. You will know by Feb 15, 2019 how much WB plunged his billions into this Down market in recent days.
BRK/B is still lowest P/E above 200 Bilion companies
See here how he is !
He bought Seeâs Candies for $25 Million in 1972 and now it gives 100 Millions/year profit (just like your AAPL).
No dividends. What is the purpose of accumulating? Is not much different from VOO. I bought some BRK/B long ago, just for discount in GEICO auto insurance. VOO distributes dividends Surprisingly positive gain Guess is because I use GTC set at possible supports (bottoms ) , auto-triggered to buy in increasing quantity at lower prices so my cost basis drops drastically, lowest is $219, miss the $214 low, didnât expect it to go that low.
I missed $187 price, my bad, I did not allocate on 12/24 for BRK ! Any way, I added only 100 shares as this was the only amount left !
Berkshire has 1/3rd investment in public companies like AAPL, JPM, WFCâŚetc, but they have 2/3rd investment in privately held companies like Seeâs candies.
The cash flow generation is too good, daily 400 Millions cash flow, and that can be realized when you hold BRK/B.
Berkshire holding wonât normally jump daily like TSLA, but they will once the results are announced.
See the recent quarterly report, how BRK/B came up ! Of the 200B+ club, there are 12 stocks below P/E<15 and only one stock below P/E<10 that is BRK/B.
Over the last 10 years, BRK is matching S&P500, but over 20 years BRK exceeds S&P. The only index that can beat both BRK & S&P is nasdaq.
Operating profit in the third quarter doubled to $6.88 billion from $3.44 billion a year earlier, and higher than the $6.11 billion expected by Wall Street, according to IBES data from Refinitiv
Anyway, these are good for investors like you, but I am trying to see whether I can become like you someday.
F10 +5.7% Up 3.5% over last week
AAPL -17.45% Down 15% from last week
GOOG +17.17% Up 3.5% over last week
NFLX +78.06% Up 25% over last week
AMZN +66.53% Up 10% over last week
DimSum -9.67% Up 2.5% over last week
hanera missed many times TSLA at $300, even for trading he could have gained lot of money with TSLA !
He need not sell AAPL, but could have made use of TSLA volatility !
No where near for been in this super place that you guys love. Singapore has zero capital gain tax. Trade as much as you want. Please advise me how to get out of this prison