How to Trade 5%+ Dividends for 75% Yearly Gains

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How to Trade 5%+ Dividends for 75% Yearly Gains

Earlier this year, we added Synovus (SNV) to our Contrarian Income Report portfolio. We’ve enjoyed 36% total returns—including a couple of fat dividends—in the six months since. On a yearly basis, these gains annualize to 75%.

“Can we do this every time?” subscribers have asked?

That’s asking a bit much, but it doesn’t hurt to ask. (My young daughters know this well, because they are not shy about asking to eat ice cream at every meal!)

After all, if we reach for 75% yearly gains and have to “settle” for 17.5% profits, we’ll take that. It’s really about the process and stacking the probabilities in our favor on each given dividend purchase.… Read more

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This 10% Yield is Trash (Plus 3 More Dividend Traps to Sell Now)

The S&P 500 has just set new all-time highs, and so has the Nasdaq. It’s no coincidence that stocks are back to historically high valuations, and yields have been flattened back to historically low levels.

If you’re an income hunter, you know it’s a difficult time. I’m here to tell you that it’s a dangerous time, too.

Buy High and… Sell Higher?


Source: Multpl.com

Tight income environments like this make dividend investors “reach for yield” at their own peril. They forget that a stock’s yield is only as good as its cash flow because, after all, a dividend is nothing more than a promise from a company.… Read more

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4 Dividend Stocks You’ll Regret Holding in 2019

What good is a 2% or 3% annual yield if you can lose it in a single trading session?

The Nasdaq and Russell 2000 are officially in bear markets, which means they’re down 20% from their peak. But bear markets don’t have to stop at 20%.

They can just keep on collapsing. And the weakest links can fall much, much farther than 20%.

In fact, they often do. Just take a look below at the 444 S&P 500 components that were part of the index during the 2007-09 selloff. Only a handful fell even close to the bear-market minimum.

Meanwhile, almost a quarter hemorrhaged 70% of their value or more!… Read more

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