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Wealth  Investing in the market

daviddreamer

Tool-Bearing Hominid
Tool-Bearing Hominid
Joined
Jan 5, 2014
Messages
172
I will be updating this thread with stock advice and so forth I love investing in the market.
 

daviddreamer

Tool-Bearing Hominid
Tool-Bearing Hominid
Joined
Jan 5, 2014
Messages
172
I am a long-term investor. I don't day trade and I am not impatient. I don't care what the market will do in the future. These things are unpredictable and more often then not the market works in a cycle - years of bull and years of bear. The winners in the market don't try to time it or fight it. They invest patiently in the long-term and invest in great businesses that over-time give out dividends and sustain long-term growth.

My current investments are

VOO (Vanguard S&P 500 Index ETF)
PEP (Pepsi Corporation)
MTB (M&T Bank)
KRFT (Kraft Foods)
T (AT&T)

If you want to invest in any of these companies do your own due diligence. This means that you research why you think it will be a good investment. My reasons for investing are not the same as your reasons for investing and so forth...I will not be held accountable if I suggest a investment and you take it and lose money.
 
you miss 100% of the shots you don't take

daviddreamer

Tool-Bearing Hominid
Tool-Bearing Hominid
Joined
Jan 5, 2014
Messages
172
Marty,

Pepsi I believe is a great investment as a long-term hold. In recent news, they have just raised there dividend for the 42nd time in a row. There current dividend increase of 15% puts them at a dividend yield of 3% for the year. I also find that when doing a discounted cash flow analysis for Pepsi Corporation there intrinsic value is roughly $107 a share and with current shares at $87.17 (I bought the majority of my shares in the low $80s) this gives you a 18% discount on current shares. Also remember that DCF is very subjective depending on the variables used and the person doing the calculation.

For me its all about Pepsi's financial strength and strong track record of results. Pepsi has great track record of increasing earnings for shareholders, revenue, and dividends. (EPS: Earnings per Share) The past 5 years have shown:

2013: $4.32 EPS, $2.24 dividends per share, $66,415(m) in Revenue
2012: $3.92 EPS, $2.128 dividends per share, $65,492(m) in Revenue
2011: $4.03 EPS, $2.025 dividends per share, $66,504(m) in Revenue
2010: $3.91 EPS, $1.89 dividends per share, $57,838(m) in Revenue
2009: $3.77 EPS, $1.775 dividends per share, $43,232(m) in Revenue

Also Mountain Dew Kickstarts are quite tasty. I always see them sold-out on shelves and they taste great.

The numbers above were taken from Nasdaq.com

I plan on holding Pepsi for quite a long time. For me as long as dividends, earnings per share, and revenue continue to increase the stock price will follow. I will let compound interest do its job. Pepsi is not a investment if you're looking to double or triple your money or anything like that in the near term. They're quite a big company. I tend to study and invest heavily in the food and beverage industry (One of my prior investments National Beverage Corporation Sym: FIZZ made me some good cash last year) because even if economy goes through a rough period it is these stocks that tend to hold there value. People always gotta eat no matter how bad the economy gets but they don't always need the new car, the new latest technology gadgets, new clothes, etc...if you're looking for a more riskier-higher return companies I would suggest tech start-ups and small cap companies (companies whos market value is under $500m).

Also apologize if I get a little sidetracked making these posts. I absolutely love stock investing and I love being a student of this game.
 
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