The Cheapest Dividend Stock on the Planet?

The Contrary Investing Report

Investing and Trading News, with a Contrarian, Sarcastic Twist!

I’m proud to report that, for the first time in months, I “only” paid $100 for gas.

There was a catch. The pump had a $100 credit card limit!

Which begs the follow up question: Does your dividend strategist intentionally pump gas in the sketchiest neighborhoods he can find?

As a big guy in a Bills hat, who tends to traverse before the streetlights come on, perhaps I’m game for an adventure.

Fortunately for my wallet, my “soccer dad mobile” traverses a narrow grid. To the kids’ school. The gym. The park. Grocery store. One mile at a time.

A tank can last for weeks, which is helpful.… Read more

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Fed Chair Jay Powell is probably going to hike us straight into a recession—and even then, Jay still may not get the 2% inflation he’s hunting for.

Why? Because the supply-chain chaos we’re dealing with now is not going away. It’s part of a megatrend I expect to last the rest of this decade, and well beyond.

I’ll name two stocks we can tap to reap strong gains and fast-growing dividends from what many are calling the “end of globalization” in a moment. First, let’s dive into this critical shift, because it will drive, well, pretty well everything in our lives for years to come.… Read more

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If you’re like me, you regularly hear from friends who brag about how they’ve successfully timed the market in the past. What these folks will never tell you is the number of times they’ve missed the boat!

Take last week, when millions of folks were parked on the sidelines, terrified (thanks to scaremongering media reports) that the July CPI print would come in worse than expected, triggering a selloff.

Of course, we now know that the exact opposite happened—and I’m guessing you won’t hear from your friends who failed to grab that bounce!

Look, when other folks do manage to pull off this trick, I salute them.… Read more

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Dividend-paying energy stocks are probably going to be the best place to collect income for the rest of the decade.

This is great news because the rest of the stock market is expensive and overheated again. Never thought we’d see it with the Fed tightening, but here we are.

Fortunately we have a dip to buy in energy dividends. These stocks have taken a breather after running up at a blistering pace since April 2020.

(Back when oil prices dropped below zero—to negative $37 per barrel. As contrarian dividend investors, we’ve seen it all together, haven’t we?… Read more

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Like many who are passionate about investing, I am a numbers guy. And like many people who are serious about facts and figures, it’s hard to bite my tongue when I run across egregious errors in financial media that might mislead the investing public.

Here are a few that have irked me lately that you should watch out for:

Stock splits:  Arguing that Alphabet Inc. (GOOGL) is different after its July stock split is like arguing that cutting a pizza into more slices somehow changes the quality of the crust. The value of a company or its total profits doesn’t change just because there are more shares (or slices) to go around.… Read more

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American novelist William Faulkner once said, “In writing, you must kill your darlings”. It was a warning to other writers not to get too attached to their manuscripts, or their characters, because you always need to be willing to edit and cut down your work to make it truly brilliant.

That advice applies to investing, too. I’ve seen too many investors get emotionally attached to their stocks and funds, which causes them to hold on to losers for too long—or fail to accept that the world has changed. But if we want to minimize our losses (and of course, we always do!),… Read more

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It’s a bull market in military budgets, to put it lightly. So, let’s talk about my favorite defense stock dividend for the rest of 2022 and, really, the 2020s.

The US defense budget for 2022 is a record $777 billion. Over 3% of GDP.

We are, however, only one of nine NATO countries to spend 2% or more of our GDP on military spending. This has been a stated goal of NATO since 2006, a standard currently met by less than one-third of members.

With Russia’s invasion of Ukraine entering its sixth month and China lobbing missiles over Taiwan last weekend, higher military spending across the globe is on the way.… Read more

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Just a couple weeks ago, many folks thought they had lots of time to grab beaten-down stocks like Amazon.com (AMZN) and Microsoft (MSFT). Since then, these blue-chips have really popped:

Techs Bounce—But We Can Still Buy Cheap (With 7%+ Dividends, Too)

Fortunately there is a way we can still buy AMZN and MSFT at “pre-launch” prices. And collect 7%+ yields, too!

We’re not buying the shares directly. We’re smarter than that. We’re picking these stocks up with the types of 7%+ dividends we favor in Contrarian Income Reportat steep discounts to their market prices.

This “dividend discount” method lets us “turn back the clock” and buy the dip after the dip has already happened!Read more

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I’m always shocked when dividend investors ignore tech stocks. Which means I’m shocked a lot, because pretty well all income-seekers do it!

That’s because most folks still think of technology as the home of profitless startups, crumbling crypto platforms or zero-dividend names like Tesla (TSLA) and Amazon.com (AMZN).

But the truth is, big caps dominate the tech space, and on the whole, the sector is sitting on some of the biggest cash hoards on Wall Street. Apple (AAPL), of course, holds a legendary $202 billion. As of February, that amounted to more than 7% of the cash holdings of all S&P 500 companies!… Read more

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REITs (real estate investment trusts) are still delivering roughly twice the income of the broader market. And that’s just the sector average.

Four highly profitable REITs in particular are yielding 4% and up today. We’ll discuss them in a moment.

Interest rates are rising, and “common wisdom” says it’s a bad time to buy REITs because they behave like bonds. Wrong.

As long as the economy keeps chugging along, and these specific rents are getting paid, then the dividends are going to continue being dished. Period. And we’re all about the dividends here at Contrarian Outlook.

S&P Global research notes that rising interest rates “are frequently associated with economic growth and rising inflation, which can indeed be a boon for the real estate sector.… Read more

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