Saturday, April 19, 2014

Looking at the Home Despot



In the near future, we're going to have a slightly more experienced investor to take a look at our portfolio and offer some suggestions.

We're buying 6 shares of PG this week, and we will have another buy about ready soon.

We still want to invest in some Consumer Discretionary and some sort of Tech.

Taking a look at Home Depot, we found a few articles. The first one is a bit confusing, what with all its statistics and number stuff. The second one is a little friendlier. There was yet a third article, and this one focused on dividends with Home Depot and Lowes. As a reminder, dividends are the dollar value paid out for having a stock, whereas a dividend yield is the percentage payout. As the price of a stock increases, the dividend by default doesn't change. This would lower the yield, since a fixed amount would be a smaller percentage of the value. Home Depot has increased the yield to keep up with their increasing stock price, which is nice. Home Depot probably increased the dividend to attract more investors, which in turn increased the price. However, there might be a bit of a chicken and egg scenario going on here. The point of all this is that there seems to be some potential with HD, however measured, and it might be a viable long-term investment.

Oh, and here's another article.

Profit!

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