Archive for March, 2009

Tobin’s Q weighs in on market’s value

I’ve mentioned Shiller’s PE10 stock market valuation model in previous posts and how it had recently fallen to levels that historically have coincided with attractive long-term buying opportunities. Now another valuation model – Tobin’s Q – offers another take on the market’s current valuation. Tobin’s Q is calculated as the combined market value of all [...]

Two companies about to raise their dividends

As today’s widely predicted dividend cut by Alcoa [[AA]] shows, it’s not especially difficult these days to identify companies who are about to slash their dividends. But what about predicting the companies who are about to raise their dividends? David Peltier, manager of the Dividend Stock Advisor, does just that in the following short video [...]

Magic Formula’s top ten high-yield dividend stocks

Recently, MagicDiligence – a site dedicated to finding investment opportunities using Joel Greenblatt’s Magic Formula investing stock strategy – compiled a list of the top ten Magic Formula dividend stocks, sorted by dividend yield. The strategy, as detailed in Greenblatt’s “The Little Book That Beats the Market” tries to identify good businesses selling at bargain [...]

Another take on Shiller’s PE10

A modified S&P 500 valuation model based on Shiller’s PE10 data agrees with the original model that “stocks are currently at valuation levels that historically have proven to be quite attractive.” The modified PE10 model, described in an article on Minyanville, takes into account additional variables like real and nominal interest rates, economic volatility, GDP growth, [...]

Dividend investing advocate sells everything

Looking for signs of a bottom? How about when the author of a book championing buy-and-hold dividend investing throws in the towel and sells everything he has in his retirement income portfolio? Derek Foster – who retired several years ago at age 34 to live off his investments – has done just that. The author [...]