The hottest Dividends Substack posts right now

And their main takeaways
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Top Finance Topics

The Last Living Value Investor's Portfolio

QTR’s Fringe Finance • 21 implied HN points • 02 Mar 26
💰 Finance Dividends
  1. The market looks like a big bubble with stretched valuations that could snap back hard if conditions change. A fair-value PE near 17.6x implies roughly a 30% drop from current levels if earnings don’t rise.
  2. The portfolio stance is defensive and skeptical: largely on- and off-net short to protect against a bubble popping, though shorts can be temporarily covered for specific catalysts like geopolitical events.
  3. There are five deep-value long positions (two added recently), and three of those longs yield over 6% in dividends, reflecting a preference for high-yield, fundamentally cheap opportunities inside an overheated market.

Ticker Take: a weekly newsletter on investing.

Jon’s Newsletter • 159 implied HN points • 29 Jun 24
💰 Finance Dividends
  1. AI is really changing the game for billionaires, with many seeing huge increases in their wealth this year. Nvidia's CEO, Jensen Huang, has gained $65 billion thanks to this trend.
  2. Investors are seeing big changes in the stock market due to AI. Companies tied to AI are outperforming others significantly, which hasn't been seen since the dot-com boom.
  3. Dividends are an important part of investing, and there are companies that have been paying them for over 100 years. These can be good long-term investments since they show a commitment to returning value to shareholders.

Ticker Take: a weekly newsletter on investing.

Jon’s Newsletter • 119 implied HN points • 05 May 24
💰 Finance Dividends
  1. Selling stocks in May may not be the best strategy, as historical data shows it only works about a quarter of the time since 2008.
  2. The current stock market is looking healthier, with positive earnings and potential interest rate cuts, which might lead to steady gains this year.
  3. Investors are keeping an eye on dividend stocks and marijuana stocks, as both sectors show potential for growth and steady income.

Just one word: Dividends

Lewis Enterprises • 353 implied HN points • 19 Nov 23
💰 Finance Dividends
  1. Dividends are a natural outcome of business ownership and distinct from share repurchases.
  2. The shift towards buybacks over dividends may have a significant impact in the real economy.
  3. A new paradigm of higher interest rates will prioritize cash returns and challenge the reliance on buybacks for funding consumption.
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Ticker Take: a weekly newsletter on investing.

Jon’s Newsletter • 59 implied HN points • 01 Jun 24
💰 Finance Dividends
  1. The stock market often rises after hitting record highs, so there's less to worry about than some investors think. History shows the S&P usually has a positive return in the year after an all-time high.
  2. Many major companies are currently valued below their usual 5-year averages, meaning there might be good buying opportunities. It's worth looking at stocks like Amazon and JP Morgan as potential investments.
  3. Investing in dividend stocks is still important, but many options are becoming less attractive compared to bonds. Focusing on companies with lower dividend payout ratios can help mitigate risk.

What is a Real Estate Investment Trust (REIT)?

Concepts of Finance 🧠 • 279 implied HN points • 28 Nov 23
💰 Finance Dividends
  1. A Real Estate Investment Trust (REIT) lets you invest in real estate without actually owning properties. You buy shares in a company that owns and manages real estate, earning money from the profits.
  2. REITs generally pay high dividends because they are required by law to return 90% of their taxable income to shareholders. This makes them appealing for income-focused investors.
  3. Investing in REITs gives you access to commercial real estate, offers liquidity like stocks, and can diversify your investment portfolio without the hassle of property management.

What is a dividend?

Concepts of Finance 🧠 • 279 implied HN points • 20 Oct 23
💰 Finance Dividends
  1. Dividends are payments companies make to shareholders from their profits. If you own shares in a company that pays dividends, you can earn money regularly just for holding those shares.
  2. Companies pay dividends for various reasons, such as rewarding shareholders, attracting long-term investors, and boosting their stock value. A steady dividend can show that a company is financially healthy.
  3. Investing in dividends can provide income, but the returns can be limited unless you own a lot of stock. It's important to choose companies wisely and consider whether you prioritizing dividends or stock performance.

Stock Talk - a newsletter on investing.

Jon’s Newsletter • 79 implied HN points • 23 Mar 24
💰 Finance Dividends
  1. When you buy a stock, write down three reasons for your purchase and a price target. If the stock reaches that target, check if those reasons still make sense for you.
  2. Dividends can significantly boost your overall returns, so consider stocks that provide steady dividends, as they can make a big difference over time.
  3. Look for dividend stocks that are at bargain prices and offer good growth potential, as they're often undervalued and can provide good yields.

The Mindset Value Fund Q2 2023 Investor Letter

Mindset Value • 216 implied HN points • 17 Jul 23
💰 Finance Dividends
  1. The Mindset Value Fund had a strong performance, up 14.2% in Q2 2023 and 33.3% for the year.
  2. HireQuest, a staffing company, saw a 25% stock increase after entering the Russell 3000 index.
  3. Grown Rogue, a cannabis cultivator, is positioned for significant growth and revenue increase.

Stock Talk - A Newsletter About Investing

Jon’s Newsletter • 59 implied HN points • 16 Mar 24
💰 Finance Dividends
  1. Traders are worried about the stock market because they expected the Federal Reserve to cut interest rates soon. However, some experts believe the economy is stable enough for stocks to grow without rate cuts.
  2. Some major tech stocks, known as the 'Magnificent 7', are currently valued lower compared to their past. This suggests they might be a good buy compared to their earnings.
  3. Many companies are likely to increase their dividends significantly in the next few years. Investors might want to look at these dividend-growers for better returns.

The niche software company going toe to toe with Adobe

Net Income • 78 implied HN points • 23 Jul 23
💼 Business Dividends
  1. Investment mistakes of omission can have lasting impact, like missing out on high-return opportunities.
  2. Software companies with leverage through build-once-sell-many model can generate significant cash over time.
  3. Smart investments create asymmetric upside where potential gains outweigh potential losses.

Why investors love Apple's stock.

Jon’s Newsletter • 39 implied HN points • 28 Nov 23
💰 Finance Dividends
  1. Apple makes a lot of money from selling devices like iPhones and services, giving them a huge cash flow.
  2. Investors love that Apple shares its profits through dividends and stock buybacks, which puts money back in their pockets.
  3. Even with big expenses, Apple still has plenty of cash left over, and experts believe this will keep growing in the future.

New Model Portfolio: "Decent Dividends"

Theory A : Visualize Value Investing • 3 implied HN points • 19 Feb 23
💰 Finance Dividends
  1. New model portfolio 'Decent Dividends' aims to find companies with healthy cash flow and commitment to returning excess cash to shareholders.
  2. The portfolio includes stocks like ABBV, VZ, and EOG that show potential for dividend yield and price appreciation.
  3. Using Theory A allows investors to screen and analyze stocks based on various financial factors for long-term investment decisions.

January 2016 Data Update 7: Dividends, Potential Dividends and Cash Balances

Musings on Markets • 0 implied HN points • 27 Jan 16
💰 Finance Dividends
  1. Dividends are an important part of investing, as they represent the cash that companies return to their shareholders. A company's ability to pay dividends often depends on its cash flow and investment opportunities.
  2. Many companies are now using stock buybacks, along with dividends, to return cash to shareholders. This trend has become popular globally, especially in the US.
  3. Companies' cash balances can show how dividend policies are affecting their financial health. Some companies might hold a lot of cash instead of paying dividends, which can lead to inefficiencies or missed opportunities.

Emotions, Intrinsic value and Dividend Clienteles: The Apple trade postscript

Musings on Markets • 0 implied HN points • 07 Apr 12
💰 Finance Dividends
  1. Emotions can play a big role in investing decisions. Sometimes people buy or sell stocks based on how they feel, not just on facts.
  2. The value of a company can change based on its investors. If a company attracts the wrong kind of investors, it could hurt its overall value.
  3. Management's ability to handle pressure from different types of stockholders is important. If they respond poorly to investor demands, it could negatively impact the company's future.

Apple: Know when to hold 'em, know when to fold 'em..

Musings on Markets • 0 implied HN points • 04 Apr 12
💰 Finance Dividends
  1. Apple's stock has become a momentum-driven play, meaning its value is based more on past performance than on any new information about the company. This makes it hard to predict future growth.
  2. Institutional investors now favor Apple, and they can quickly change their opinions. If many big investors like something, it might be time for individual investors to think twice.
  3. With the introduction of dividends, Apple is attracting a new kind of investor who may clash with long-term growth investors. This could create tension if things don't go as planned.

Apple: Thoughts on bias, value, excess cash and dividends

Musings on Markets • 0 implied HN points • 02 Mar 12
💰 Finance Dividends
  1. Apple has a huge cash reserve, but it's not necessarily hurting shareholders. The cash can earn low returns, but many investors find it neutral and feel safe with Apple's management.
  2. There are concerns about how Apple uses its cash. With the fear of poor investments, some options like buying companies are being looked at skeptically, while returning cash to shareholders could be a better move.
  3. Apple's best step might be to buy back some of its shares. This would show confidence in its value and manage its cash well, while continuing to focus on creating innovative products.

Dividend Policy for the 21st century

Musings on Markets • 0 implied HN points • 18 Feb 11
💰 Finance Dividends
  1. Companies are often hesitant to cut dividends because it sends a bad signal. They prefer to keep dividends stable, even if their earnings fluctuate.
  2. With more global competition and uncertainty, sticking to fixed dividends might lead to lower payouts as companies retain more cash for safety.
  3. There are alternative dividend policies, like tying dividends to earnings or cash flow, which give companies more flexibility and can reduce the risks of being locked into high payouts.

The Shift to Buybacks: Implications for investors

Musings on Markets • 0 implied HN points • 01 Feb 11
💰 Finance Dividends
  1. Many companies are moving from paying dividends to doing stock buybacks. This means fewer stocks will pay dividends, but those that do may be more reliable.
  2. If you're not focused on dividends but want cash returns, consider stock buybacks as a way to profit. Just remember that buybacks can be risky and are not guaranteed.
  3. For long-term growth investors, buybacks can be a sign of maturity in a company. Look for firms that might grow in value because of buybacks, but be cautious when such announcements come.

High dividend stocks: Do they beat the market?

Musings on Markets • 0 implied HN points • 04 Oct 10
💰 Finance Dividends
  1. Investing in high dividend stocks can potentially yield higher returns compared to index funds, but it comes with risks. It's important to carefully choose companies that have stable dividends and solid financial health.
  2. Dividends can be cut by companies, meaning they aren't always reliable income sources. Investors should consider the potential for companies to reduce or eliminate these payments.
  3. Investors should aim for a diversified portfolio of high dividend stocks to minimize risk. This can help protect against downturns in specific sectors or companies.

Sticky dividends!

Musings on Markets • 0 implied HN points • 27 Dec 08
💰 Finance Dividends
  1. Many companies stick to their dividend payments, even during tough times. This shows their commitment to returning value to shareholders.
  2. In recent months, some companies have started changing their dividend habits due to market challenges. Pfizer, for example, didn't increase its dividend for the first time in over four decades.
  3. The uncertainty in capital markets is making companies more cautious. They are now prioritizing having cash reserves to weather potential financial troubles.

Dividend Yield and T.Bond rate

Musings on Markets • 0 implied HN points • 24 Nov 08
💰 Finance Dividends
  1. When the dividend yield on stocks is higher than the treasury bond rate, it means stocks might be a better investment. This is particularly true if dividends are stable and predictable.
  2. Some worry that companies may cut dividends during tough economic times, which could lessen the appeal of stocks. This could happen if companies want to conserve cash.
  3. Focusing on companies with high dividends, little debt, and large cash reserves could be a smart strategy right now. These companies may offer better returns than safer investments like bonds.

January 2017 Data Update 9: Dividends and Buybacks

Musings on Markets • 0 implied HN points • 06 Feb 17
💰 Finance Dividends
  1. Companies often decide on dividends based on what cash is left over after making other investments. Ideally, they should focus on their overall financial health first before determining how much to return to shareholders.
  2. Many companies are shifting from paying dividends to doing stock buybacks, meaning they are buying their own shares back instead of distributing cash directly to shareholders. This is becoming common in many markets around the world.
  3. The cash that companies hold can be a sign of either financial prudence or poor management. While having cash can protect a company during tough times, too much cash held back might mean that managers are not returning wealth to shareholders effectively.