I am a LT investor. I am curious of the overall sentitment of other LT investors regarding adding new money into SO.
I understand the concept of dollar cost averaging so please do not go there. I am more interested in those who have been LT investors of SO for 10+ years or more and if you continue to invest or if you are holding for a pullback?
Also if you are willing to share are you investing:
1 monthly via DRIP, or quarterly etc.
2 and what other utilities are you actively investing in for LT.
Sentiment: Strong Buy
I have been investing in SO since 1998 and used DRIP until about 2005 when I started using it for income. I also hold GPEPRA, preferred which gives me about 6% return.
I also hold Dominion Resources bonds and shares of T because it gives 5% return..
I have been in since 96. I like the area it covers. Dont read the articles about utilities. I have laughed at 30 different articles since 96 saying SO was a bad investment because of "x" reason. The current CEO and management is progressive as far as looking to the future and conservative as far as balancing the energy mix. All I can say is ADD WHEN IT GETS CLOBBERED and smile when it goes up, while you collect your increasing dividend. The KEY to investing is diversifying and not being fooled by the "bad" news. As far as SO for a long term, I cant think of a better utility. I increase my position but only as my portfolio grows. I think when I started I had about 40,000 dollars and im over a million now. Only sold a few russian carriers due to putin acting up in all the years of stocks. I can live off my dividends but dont need all the money coming in. Not bragging , just telling the young ones here to not be afraid to invest in yield. I like some of the REITS for income and many other utilities , and of course the whole dow is pretty good lol! just dont let the down times get to you and youll be fine
Best of luck
I currently have SO and D for utilities I am doing very well with both. Have owned both for 10 years, not quite at the level your at but adding every quarter. I am looking for 1 more utility, I am looking at WEC ( Wisconsin Electric ) is currently paying 3.30% and ED ( consolidated Edison ) is paying 4.40% I believe those are the numbers. I am curious of other utilities you have beyond SO.
I haven't been here for 10 years. I first bought 1/28/13 at $44.40.
I missed reinvesting the first dividend but have since then. And I bought 125% more at $40.51.
This is my first utility. Im inclined go reinvest dividends long term unless the stock were to rally to $55 or something. Then I might stop the reinvestment.
Im not inclined to add more beyond the DRIP except on significant weakness.
I would probably like a larger position here but not sure on the timing of buying more.
Oh and Im doing the dividend reinvestment via my broker which is different than doing it via SO, I believe.
Thanks smaycs4 if you are looking for other utilities you should check out Dominion D
I have been in D for as long as I have been in Southern and it has done very well by me just as Southern has, I hope to collect the Dividends for another 10 + years.
Sentiment: Strong Buy
For long term investing. All you do is buy and set up a DRIP. the dividends account for most of the gains. Over the long term the price you pay really isn't as important at the yield your getting. Once you have your position and the DRIP set up then you still have to monitor the company to ensure its preforming well and nothing is happening that can put the dividend at risk.
I have only owned SO for a couple of weeks but I have owned NGG, PPL, DU, VZ and a couple of REITS to the point where they have paid for themselves (Since 2002) and several other dividend paying stocks. I am retired, debt free, own my own home, car(s), have money in the bank and live comfortably....I'm 78. I have been a "Buy and HOLD" investor for decades and it seems to be paying off. I simply 'adjust' my portfolio when needed and continue the good life. Try it, You'll like it.
Thanks floodkid2130. I have owned SO since 2010, it has done nicely for me and those dividends keep going up, and I re-invest. I am close to retirement and will have a nice flow of income from my 10 or so dividend paying stocks. It will be a nice supplement to my SS and the plan is not to touch the principal I have in my 401K just pull the divys as they are paid. Thanks