Stock Tip

[ingmansinc]

There is a stock, Frontier Communication Corp. FTR, trading on the NYSE that is paying a 13.05% annual yield. The per share dividend is $0.25 and the x-date is tomorrow. The PE is 19.9x and it trades at $7.59.

Buy today before 4pm and get a nice dividend......

 

[loutent]

but won't it just be worth 25 cents less tomorrow when it goes ex?

 

[Andy Griffith]

I thought you were going to tell us where to get some cheap walnut!!!

 

[ingmansinc]

Who knows, it might go up. What ever the case when it goes up sell and when it goes down buy it back. 13.05% yield. I don't buy and hold.

 

[neiljrosen]

Don't forget, you have to pay taxes on the dividend.

 

[Airpark]

Been buying tax liens since about 1988...they routinely pay 18 percent or I get the real estate.

Like Will Rogers said, "By land...they ain't making any more of it."

 

[Horace Smith]

Snip from Wikipedia:

"It is relatively common for a stock's price to decrease on the ex-dividend date by an amount roughly equal to the dividend paid. This reflects the decrease in the company's assets resulting from the declaration of the dividend."

The value before and after dividend day makes for a wash.

I consider that a high P/E for the stocks I look at.

 

[Horace Smith]

Been buying tax liens since about 1988...they routinely pay 18 percent or I get the real estate.

Like Will Rogers said, "By land...they ain't making any more of it."

The ones I looked into had unpaid taxes for many years. I think no one want the actual home because the owners are under water on them. Lots of folks are walking away leaving the house and the back taxes to the dismay of the mortgage backers.

 

[bobelk99]

Stocks are neat

if you pick the right ones.

Anybody buy GE when it was 6$

 

[doublesharp]

Anybody that always buys the bottom and sells the top will lie about other things, too.

FTR is interesting. Risk = High div. and communications stocks are risky. There is money to be made servicing rural areas and that seems to be Frontiers specialty. Though 13% seems too good to be true, they have been consistently paying their dividend and if the stock doubles it won't be 13%.

I'm glad OP mentioned this stock as it wasn't on my radar at all. I seldom tout stocks, though. If someone buys on my advice and the stock goes up, well it was supposed to but if it goes down then I'm the bad guy. About all I'll do is tell where I've put my own money and I'm also not much on flipping or taking short term profits. Taxman hits the profit as ordinary income but if you hold it 1 year then its capital gain currently at 15% rate.

I was in the beta test area for Excite @home cable broadband back in 2000. I knew bb was great and the future so I invested in the company. In too soon. Lost my butt. Excite was absorbed by Insight communications. I bought that stock, too. Slow learner. It ran up pretty good and then the owners took it private in a forced buy out. I made good money.

 

[pharmer]

if you pick the right ones.

Anybody buy GE when it was 6$

Averaged $7.50. Sold the last of it last week and bought a 2010 1500 Silverado with the money. I try to buy American, even stocks. Joe

 

[mtgianni]

I trust the Guvmint for my stock tips. In 1978 they sent a pamphlet to all residents of my County warning us that water on fresh manure may be slippery. Since the number of cows outnumbered citizens 4-1 we figured that out at an earlier age.

 

[ChadW]

Bummer, it went down yesterday...

I like the penny stocks for non-investing short term stuff.

One I'm in, HFBG went up 150% yesterday for example... SW460, here I come!

 

[doublesharp]

I'm in at 7.28.