my cost basis on MAIN = $28.60. Current PPS = $27.69. not good and underperforming the DJI and a negative pull on my portfolio. dividends not making up for capital loss. i see MAIN is down 22% since March 11. i hear all this positive stuff on this message board but, the truth of the matter is, you all should have sold a couple months ago. in the meantime, the market is up 8% since March. how do you reconcile that and, if you are playing MAIN long, why do you stay? obviously, more have sold and left than have bought. MAIN investments don't look enticing. geez, Phantom Fireworks? tons of those cheap stores littering interstates. they come and go belly up. what keeps you interested in MAIN? i don't like taking losses on investments but bite the bullet and minimize losses when necessary. am thinking of doing that with MAIN if a turnaround doesn't occur soon. I even read one poster saying sell, make the stock drop so he can get his DRIP at a lower cost basis. unreal. should he hope to see MAIN trade at $10? while dividends are determined by profit, capital gains/losses occur due to demand of stock. Divies are not making up for your capital losses and then you get opportunity costs as well by not profiting with an alternate investment. investment community obviously "Down on MAIN". i am interested in hearing feedback and would appreciate your comments (constructive comments). thanks.
I dont invest with such a short term view. I originally about MAIN at 26 then took some profits at 32. Now that it has had a correction, I have been buying again. Im more then happy to hold this stock for the great dividend. If you know what you own then you would be better equiped to make decisions on weather a correction like this is a buying oppertunity or time to get out. This stock is getting hit because of interest rates moving up. If you believe rates will continue to move higher then you should be a seller. For me i think rates have only had a short term move and the economy isnt no where ready to run on its own with out FED help so im buying.
I see MAIN as about 10% down from its average price the first quarter of 2013, i.e. roughly from $31 to $28. High dividend companies, even stable ones like MAIN, have some volatility. You should know that going in. I feel the dividend more than compensates for the volatility, which is actually unusual with this company. I am breaking even at the current nav, but it is not a problem for me. This stock is a long term hold and is a "cash machine" as others have also said. Pulling out now would not be wise as you would lose the special dividend for July.
guys, thank you for your replies. on 3-14 MAIN closed at $34.38. today, PPS now at 28.32 which is an 18% drop. yes, that is somewhat offset by dividends. i dumped all my utilities and was doing my DD and decided to simply hold MAIN. altho i bought heavily with WY and SE, i needed to offset that loss to dividend stream from utilities and decided to buy more BDC's. altho i passed on MAIN i went with BKCC whose yield is currently at 11%. so, will stay the course with MAIN, reap the DRIP and hold until interest rate effect has settled somewhat. looks like utilities are taking the brunt as treasuries become more favorable. BDC's aren't being hit as bad but, they will be hit. hope to see more action on MAIN message board. i always value others opinions because most are brighter and more experienced than mauh. my sentiment is hold.