Oil Production is Booming, Fueling Dividends Up to 8.1%

Our Archive

Search completed

Oil Production is Booming, Fueling Dividends Up to 8.1%

Drill baby, drill is driving vanilla energy investors nuts. Drilling permits spike one month and plunge the next. Crude oil itself is sitting in the $60s, too low for producers to make real money.

Our contrarian solution? Focus on the energy toll collectors—particularly a dividend duo dishing up to 8.1%.

Pipeline owners are paid every time oil and gas flow through their pipes. The latest headlines about GDP, drilling permits or (heck) the Federal Reserve don’t matter here, because there are plenty of hydrocarbons that need to move.

Big picture, US oil output has doubled since 2008. Back then, we were pumping about 5 million barrels per day.… Read more

Read More

How to Get $24,876 in Dividends (and Know the Exact Day They’ll Hit Your Account)

There aren’t many things we can say for certain these days, but there is one: We dividend investors are far better off than the mainstream crowd!

Consider the poor souls holding “America’s ticker”—my name for the SPDR S&P 500 ETF Trust (SPY). I call it that because, well, pretty well everyone owns it. These folks white-knuckled it through the April “tariff tantrum” and are now on a knife edge as the ETF bobs around near all-time highs, boosting the odds of yet another sharp drop.

Of course, pullbacks are a constant in investing (and something we contrarians love to tap for bargains!).… Read more

Read More

Protecting Our Retirement Portfolios During Times of War

I wish I didn’t have to write this column ever, let alone every couple of years. But this is ground we have to cover, like it or not: dividend stocks during war.

We invest in dividend stocks. There are wars and conflicts that affect our money. That’s reality.

Let’s start with last Saturday, while my daughter was in the middle of their monthly Girl Scouts meeting. I gulped at the headline on my phone: Drones heading towards Israel. Ugh.

So, on the drive to pick up my daughter, I flipped on the news in the Dadmobile. My sweety jumped into the car.… Read more

Read More

Back Up the Truck for This 7.6% Yield and 425% Dividend Grower

Happy Valentine’s Day, my dear contrarian. On this day of love and (let’s be honest) fake affection, we are going to take a pass on the Hallmark holiday and focus on something more profitable.

Disgust.

Natural gas did it again! It fell below $2 per million BTUs. These washout levels typically represent a floor for nat gas prices.

Every time it drops below this $2 linoleum level, the price eventually pops and tests the ceiling. Now that we have this ideal setup again, let’s back up the truck!

Death, taxes and the cyclical nature of natural gas are the only three things we contrarians can be certain about!… Read more

Read More

5 “Economy Lot” Dividend Stocks: $9 or Less Yielding Up to 11.8%

Cheap stocks are fun. We can buy a lot of shares without shelling out too much dough.

Generally speaking, most single-digit stocks are “cheap for a reason”—they are losers. But we contrarians leave no discarded stone unturned. Especially in our search for dividends that we can retire on.

There are a few inexpensive stocks that actually pay. And a select set of them that are even worth buying for their dividends.

In a minute we’ll discuss five “economy lot” yield plays that pay from 6.3% to 11.8%. These are all single-digit share prices that sell for $9 or less today.… Read more

Read More

Make 5% to 9% Annually in the Oil Patch

Energy prices have rallied furiously, but they likely have further to go. Oil and gas prices last peaked around 2014 and sunk slowly until the black goo hit negative prices in the spring of last year.

A six-year bear market takes more than 13 months to unwind. Which is why energy dividend stocks remain quite attractive.

Oil and gas stocks are 4% yielding on average, which is nearly a full percentage point more than we can get out of real estate investment trusts (REITs) at the moment. And as I’ll show you in a moment, we can squeeze yields of between 5.0% and 9.2% from “Texas tea” if we know just where to look.… Read more

Read More

These 4 Reopening Stocks Pay 4% to 10% (with 40%+ Upside)

As we Americans reemerge from our homes, select “return to normal” dividend payers are poised to deliver big gains. I’m talking about upside of 40% in addition to their 4% to 10% current yields.

But aren’t recovery stocks already expensive? We recently discussed how Americans aren’t exactly sleeping on the American vacation. The Invesco Dynamic Leisure and Entertainment ETF (PEJ), which includes restaurants, hotels, casinos and more, has gone skyward of late—and it’s not alone.

A quick look at some of the best ETFs over the past three months shows where investors believe the reopening money is heading:

Unfortunately for income investors, these industries tend not to pay dividends.… Read more

Read More

Categories