Was given 2 shares of NSP 25 years ago for a wedding present. It was worth $30.00 +- at that time. Was audited for not declaring the few cents I recieved for a dividend. Have held onto it all these years and actually have increased # of shares. Now Xel and first time since then I've seen it trade at this level. Is that what the pundits meen by buy and hold?
I bought 1,000 shares of Xcel when they were in financial trouble in 2002. My cost basis was between $10-$11 pps, for a little over $10,000. Over the last eleven years I have let the dividends reinvest themselves into more Xcel shares, so now I own 1770 shares. At today's current pps of $31, that makes my shares worth over $54,000. Plus, Xcel currently pays me over $1,900 annually in dividends, which I continue to reinvest. This annual divvy payout represents about 19% of my original cost basis. I continue to reinvest the divvys into Xcel and will leave the shares for my heirs.
I believe that's what they mean by long term buy and hold investing in conservative utility stocks.
I'll bet you wish you would have bought more! My lowest cost on Xel is $17 and I thought that was a deal. I reinvest the dividend as well and that has really paid off. Xel seems to be doing a lot right lately.