Category Archives: Dividend Watch List

We start by looking back at last year’s list which contain only limited amount of companies because of an explosive move from March low. It should not surprise anyone that value oriented strategy such as low P/E and low P/B out performed. These strategies tend to outperform at market bottom.

Best performing stock was State Auto Financial Corp (STFC) which rose 77% driven by acquisition by Liberty Mutual. On the opposite end of the spectrum is AT&T (T) which lost 5%. Chasing high yield proved to be less desirable strategy.

U.S. Dividend Watch List: October 8, 2021

It was a positive week for the market but a pattern of lower high and lower low could be on the horizon if the S&P 500 can’t break 4,450. We are seeing more companies on our watch list which could also signal a weakness in the internal market. A careful consideration of long-term investment from this list would be a good starting point. Continue reading →

Overall, the market appears to be cooling off a bit and we are seeing both the Dow and S&P 500 failing to make all-time high. The Dow is off the peak by 3% while the S&P 500 is off by 2.35%. One should not take this as a sign that a market will crash and a healthy bull market require pull back on a periodic basis. Recent pull back in the market pushed the number of companies on our watch list to 74. Continue reading →

The market ended the week virtually flat after hitting all-time high on Monday. The Transport and the Russell continue to struggle to move higher and test the peak. At the end of the week, they are nearly 10% off from the high. Below is the dividend watch list for the week. Nearly a third of the companies on this list are Dividend Aristocrat which would be a great start for anyone seeking high quality companies with strong record of dividend payments. Continue reading →

The market continue to push all-time high. At the end of this week, the Industrial and S&P 500 closed at all-time high. The Nasdaq is off by a fraction of percentage. However, the Transport can’t seems to push back up to the top and remain nearly 10% off the high. Despite this concern, there are numbers of good companies to consider as part of building investment portfolio. Continue reading →

The S&P 500 and Dow Jones Industrial is attempting to test the new high at the end of the week. Despite that, more companies are appearing on our watch list this week. Continue reading →

It was a volatile week for the market as the S&P dropped as low as 3% but rebounded to close the week virtually flat. The market condition, according to our proprietary market indicator, continue to be bullish. That being said, we are following this signal closely for any sign of divergent.

Below is the dividend watch list for this week. Continue reading →

The market briefly reached all-time high on Thursday but retreated on Friday. While the sell off on Friday may look concerning, all sign point to continuation of bull market. Some concerning sign, if any, would be the failure for Nasdaq to participate and reach all-time high. Below is this week dividend watch list. Continue reading →

This bull market continues to defy gravity as the S&P 500 and DJI closed the week at their all-time high. Despite the strong up trend, there are great companies with strong dividend track records that lagged the market. Below is a list of companies on our watch list this week. Continue reading →

We ended the week with S&P 500 crossing a major milestone of 4,000 which is also its all-time high. This market continue to push forward despite any minor correction along the way. One year ago, it wasn’t obvious that we would make all-time high or reach the 4,000 level. Our list from last year performed extremely well but so did the market. Below is a snapshot of various fundamental strategies compared to the broader market.

Best performer was buying low P/B companies which rose 137.3%. One thing to note that coming out of the bear market, companies with extreme valuation, one that under-perform, will out-perform on the way up. Take Invesco (IVZ) as an example, the stock reached the high of $38.40 in 2018 and reached the low of $6.70 in May 2020. That decline of 82% is drastic and the market was closing to pricing Invesco as if they would be out of business. The stock is currently at $25.75 which is 284% from the low but that is still far from the $38.40 level we saw in 2018. All this is to suggest that the risk and reward are high under that circumstances.

U.S. Dividend Watch List: April 2, 2021

As we mentioned before, the market continue to make its way higher. However, there are pocket of areas to watch out for. The Nasdaq has lagged the other indexes in making all-time high. For more detail on our analysis of the current market, review out NLO Market Indicator. Continue reading →

This week mark a year into COVID-19 pandemic. We saw tremendous drop in equity value followed by extreme rebound. The shift to bear market and shifted back to bull market was likely the fastest one in history. One year ago, our watch list had nearly 200 companies on it. S&P 500 rose 70% in one year and some strategies produced exceptional return far greater than the market. However, this is expected as March 23rd was virtually the bottom of the market. Some companies were trading as if they were going out of business. Below are various strategies performance.

High yield, low P/E, and low P/B produced exceptional gain due to the risk factor coupled with how low their stock price went. As an example, Lincoln Financial (LNC) went from $65 to $17 (-73%) in one month. Unum (UNM) went from $30 to $10 (-65%) in one month. Bigger drop produced bigger rebound.

U.S. Dividend Watch List: March 19, 2021

We pushed through all-time high on major indexes but they couldn’t follow through on Friday. A consolidation at this level would be healthy for the bull to continue its course. There appears to be a shift from growth to value name. If that’s the fact, we see no better place to start your research than with our watch list which contains blue chip name trading at or near their low. Continue reading →

It was a choppy ride for the market this week as some gains were given back from prior weeks. Looking back one year ago, February 28th was the first sign the market was beginning to crack.

There were 195 companies on our watch list last week. In addition to that, the Dow Transports broke its support line and pushed our Dow Theory Indicator into negative territory on March 3rd (more on this indicator).

The best strategy was low Payout Ratio stocks which produced +22.90% return with the best performing stock being WSFS Financial (WSFS) with gains of +54%.

In the same group, Vornado Realty Trust (VNO) lost nearly -20% in a year. Vornado Realty Trust had the lowest P/E ratio at 3.3 on our list. The company earned $16.21 per share at this time last year but those earning evaporated as Vornado is now losing –$1.83 per share. Below is a breakdown of various strategies.

U.S. Dividend Watch List: February 26, 2021

The spiked in bond yields could be contributing to the recent market sell-off. We started February at +1.09% on the 10 years note and closed the month at +1.44%, a 32% increase. As people start chasing fast money with penny stocks, one might find better values from companies on our watch list below. There are plenty to choose from as a starting point for your research. Continue reading →

The bull market continues to push forward as we end the week with the Dow Jones Industrial Average and Dow Jones Transportation Average closing at their all-time high. The recent bullish Dow Theory signal should not be ignored.

Reviewing our list from last year, the best performing strategy was high P/B with gain of +24.30%. Gains were driven by two stocks with high P/B, Xilinx (XLNX) +62% and Erie Indemnity (ERIE) +60%. On the opposite spectrum, High P/E had the worst performance with State Auto Financial (STFC) declining –44%. Reviewing the table below, the growth strategy  continues to outperform.

U.S. Dividend Watch List: February 12, 2021

Bull markets leave little room for companies to trade near their 52-week low. Because of that, we have to broaden the range of stocks that we track from within 10% of the 52-week low to 20% of the 52-week low.

Despite that, there are plenty of great companies with long track records of dividend payments and increases on this list. Continue reading →