Tuesday, December 6, 2011

What to do with Darden Restaurants (DRI)

It is hard to do, but income investors have to insulate themselves from price fluctuations, otherwise you should not invest in stocks to create income.   If you bought Darden Restaurants (DRI) when it was profiled, you cannot help but be unhappy that the stock price is down about 10%.  What should an income investor do?

I bought DRI when I profiled it so I had to  make a decision about my position.   I like the dividend pattern DRI dividend history.  While the news is that DRI will have slower EPS (earnings per share) than previously expected, I still like four percent growth of earnings.   Therefore, I am going to add to my position.

Very Truly Yours,