Sunday, April 15, 2012

"Simmer Down Now" We have all been intoxicated in the last 6 months with these momentum stocks with good fundamentals. It is time to "Simmer down Now", and look at some quality dividend stocks to balance your portfolio"

Dow Jones Industrial Average  12,850 (Down) Week Ending 04-13-2012

Nadine from Burger Castle in the SNL (Saturday Night Live) skit offers some sound financial advice. She says "Simmer down now"."Simmer Down Now Skit on SNL" .  Some of you will go off now on a YouTube tangent into oblivion , never to be seen again. To those folks we say another SNL line, (Ba-Bye!).

 It is time to do a little balancing of the ecology of your portfolio and add a little green. You should probably have 15 -20% of your investments in high yielding dividend stocks. Not so exciting, but very effective.

So today I will present a few good dividend stocks , their trading symbol and their annual dividend yield. The first place we look is as at Natural Gas Pipeline Master limited partnerships.

Here are a few names: Kinder Morgan Energy Partners LP , symbol KMP, 5.65% ,(and a Jim Cramer favorite), Boardwalk Pipeline Partners L.P. , symbol BWP, 7.97%, (and a Freewilly favorite) and Mesa Royalty Trust, symbol MTR, 8.07%,  (and a Boone Pickens favorite).  
Another place to find some high dividends is with container ships which require allot of capital and ocean oil rig drillers.  Two I like are Box Ships, symbol TEU, 13.94% and  SeaDrill LTD. symbol SDRL, 8.63%.    
Simmer done now! No Lululemon (symbol LULU) here. You can also look to the bank preferred stocks and financial instruments.

Wells Fargo & Co , symbol WFC'J ,  6.77%,  JPMorgan Fixed-to-Floating Rate Security, symbol  JPM-PZ,  7.6% variable,   Morgan Stanley Capital Trust III 6.25% Capital Secs, symbol MWR, 6.44% dividend yield.   I will also throw in here cash cow Verizon Communications Inc., symbol VZ,  5.37% dividend.
Donna Summer , Queen of Disco

Jester Fries? Simmer, simmer down now. Castle Kids meal with no figurine? Simmer down now. The Queen of Disco's name in the phone bookSummer, Donna. Stretch it out now, please.

I am always being asked about "Small ball" stocks with low prices, and a little more speculative so that folks can buy more shares. These stocks are like a nice juicy Burger Castle cheeseburger with fries, they can taste really good but then make your stomach hurt really bad!

But alas, I will give you a five pack:   Standard Pacific (symbol SPF) a housing stock doing business in Texas, Arizona, and California. Telular Inc. (symbol WRLS) in the wireless security business. Tenet Healthcare (symbol THC) in the hospital business and just won a settlement.             My two favorites though in this area are, Alcatel Lucent , symbol ALU, owner of Bell Labs and Clearwire Corp. Class A, symbol CLWR , owner of lots of up and running 4G, LTE and Wimax network infrastructure and service.

Freewilly would like to thank Cheri Oteri and the whole SNL team, and special guest Toby McGuire for such  timeless comedy material.

Make Simmer down now! , and buy some dividend stocks!!!


1 comment:

  1. A Freewilly correction: Clearwire has deployed in test markets LTE but will require further financing to full deploy it.

    "LTE Advanced is a 4G technical standard that calls for peak download mobile speeds of at least 100 Mbps, which far exceeds today’s commercial networks. Our LTE network will be “LTE Advanced-ready” meaning that it will use an ultra-high-capacity spectrum configuration that is superior to the typical configuration of the slower, more capacity-constrained commercial LTE network designs in the United States today.

    Our LTE implementation plan, which is subject to additional funding, contemplates deploying Time Division Duplex (TDD) LTE technology and reusing our flexible all-IP network architecture as well as upgrading base station radios and some core network elements (which means we can save a lot of money on capital expenses). This will include the use of multicarrier, or multichannel, wideband radios that will be carrier aggregation capable. Carrier aggregation is a key feature of LTE Advanced that will enable us to further leverage our vast spectrum depth to create larger “fat pipes” for deploying mobile broadband service.