Thursday, May 5, 2011

Wish List - Dividend Machine additions

          Income Investors, when the market goes down, I always tell you to keep your wish list handy.  Since this blog is not about stock picks I do not provide the pick of the day.  However, I encourage you to consider adding to certain positions.
         For instance, I like to add to quality dividend machines if I am under water and the fundamentals still warrant the company to be a dividend machine.  I also may add to positions in companies where  my gain is enough to consider setting a stop to lock in profit.  And, I may consider adding to a position when I have a little gain, the stock has a high beta, and I believe an opportunity to write covered calls may come in the future.   .

          I looked through the 23 dividend machines profiled so far on this blog and I find a compelling buy in Westwood holdings, symbol WHG.  When I profiled WHG it traded at $37.65.  Today WHG  closed at $35.67.  Folks that is a 5% discount and increases the yield to 3.87%.

Very Truly Yours,


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