Well I bought at 6.08 and actually thinking of selling here...these things seem to run in a pretty tight cycle but this could be good to 50 or so before the next drop off. But you know the best company EVER to play this cyclical stuff is GT. Not boasting but I made more off of that than any other investment. I literally put every cent in when it tanked because it had to go up again. GT will never go BK...anothe one was PCG but I missed most of that one... You don't get anywhere chasing a yield. Don't listen to people who do. I would rather have a 2, 3 or even 100 bagger in the bank htan chase a very low double digit yield that doesn't have a long history of payout. If you must do the yield thing just buy a CVX or an ATT...those yields are totally sure and they have very very long histories of uninterrupted and undiminished payouts. Tankers are just idiotic...reits are as well....
Ha! Well it got me to retirement at age 53, and provides me with a 6 figure income sitting on my duff all day. I can live with that.
Fact is that dividend paying stocks have outperformed those that don't during the course of history. That is not to say that those who can spot tops and bottoms can't do better by trading more volatile stocks that pocket or reinvest profits. But, I've seen those guys come and go with the breeze.
That's why I mentioned CVX and T in my post - they are the best div payers out there from a long term perspective and that's of value because you grow can grow your capital position over decades with confidence. Sure you may find some high yield plays but they aren't as stable. But yeah if you are retired it's all about income so I would in that case go for the higher yield if I had income requirements that were very high. But I don't want the higher tax bracket either nor do I need a huge income...what for? I have a large appetite for risk so like to spot companies that are solid but way undervalued. Citibank has already gone 300% from it's March lows and BAC even more...that they had a yield for many years is irrlevant now but that they have appreciated enormously since March isn't. I only wish I had bought even more in March of Citi - a director bought over 10 million shares at a buck!!!! He didn't care about yield and his gain now ere he to sell would exceed all yield in all tanker stocks ...gain versus yield..I'll take the gain thanks. Plus the tax system is kinder to gains than yields over the long run. I just think your approach to dividends is a little restrictive and constrained by the current market. It works but not right now.. Ok that should give you plenty to respond to....
You must have no history on TCK either...because what they paid $12B for was a company called FDG that paid all its cash flow in the form of a distribution, and that stock was a 7 bagger as commodity prices rose.
You sound like a neophyte on the stock market and the history of it, but perhaps you are a very good stock picker. Congrats if you are.
No because I held CP from 1998 then got FDG then that crazy deal happened and I DIDN'T cash out. Mistake - so I go this and got very frustrated so chased my "loss" and bought some..hey we all make mistakes and this may be another one. I may sound like a neophyte but am not. I do have a history on TCK. Ok that's answered.