PMs or Financials...Which is Best?

Not bad choices at all. However, I'd add one more metric into the mix with those you've picked. Only MSFT and AAPL pay dividends. If AMZN and GOOGL start returning some earnings to their shareholders I'd think about them too. Until then, I like MSFT and AAPL, among a host of others.

I tend to heavily weight my portfolio towards the G&I stocks in the classification of dividend kings and aristocrats. DRIP the dividends and watch the portfolio grow.

 

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Yeah Microsoft pays the best dividend of them all.

The rest are mostly for growth. Amazon has a price target of $5,000/share which I believe it will hit eventually. Google has a price target of $2500 which I also believe it will hit eventually.

Especially if they both start paying dividends in the future.

But I do have other stocks that pay better dividends like ATT, Abbvie, etc.,

However sometimes growth can be more profitable than dividends.

 

When ABBV dropped to $68/shr last March I actually doubled my existing position. I liked it when I bought it at $78/shr, why wouldn't I like it more at $68/shr? Obviously I've done well with it.

I also own quite a bit of T. Very nice dependable dividend.
I've done well with JNJ.
BMY hasn't shown me great growth, but once again, the dividends are dependable.

Another stock I've done very well with is a monthly dividend payer, O (Realty Income Corp.). I got in low so the yield has been outstanding for me. It's quite a bit higher now, so the yield isn't as great, but the dividend is awesome, and MONTHLY It's a REIT, so by law it is required to return 90% of its income back to shareholders as dividends. Monthly compounding is awesome.

 

And as far as GOOGL and AMZN, plenty of our mutual funds have them in the portfolio. So we're covered there too.

 

Yeah AT&T pays a really good dividend of $0.52 per share but each share is only like $30 so it's $2/year dividends which is amazing.

I just have my dividends reinvested so when they are issued the money is used to buy more shares and thus more dividends and repeat.

As Albert Einstein once said: "Compound interest is the eighth wonder of the world. He who understands it, earns it ... he who doesn't ... pays it.”

 

This week's BARRON'S has 10 stocks for dividend-seeking retirees.

 

I haven't looked. Should I venture a guess?

 

T.....KO....ED.....IBM...JNJ.....K....PG....SLG...USB....VZ

I own now, or would have interest in adding: AT&T, Coke, JNJ, PG, and VZ.

 

I am heavy into T and JNJ.
I've been watching KO, K, PG for a long time.
I've got one for you. Watch IIPR. Do some dd and see where that takes you

I'm hesitant to put more than the bi-weekly 401K contributions in at this time. The market is severely overvalued for more than the allotted 401K money IMO. I bought heavily last year in March/April. You know the ole Buffett adage, buy when everyone is selling. I'll hold off on my watch list until the correction happens. Then I'll jump in on the new purchases.

 

IIPR is basically focused on medical cannibis, very niche-oriented which kind of scares me. I would only consider a small % in a portfolio.

I do like the REIT approach to pot rather than investing in the companies directly.

 

They actually are into leasing the grow space and equipment to legal growers. 90% return to shareholders. Very attractive dividend/yield now. Only more states will join the legalize bandwagon now that they're all virtually running in the red because of the economic shutdown and the sales taxes collected decimated.

Just a heads up.

 

The profits go up in smoke lol. I doubt any Medical Cannibis Facility is in the RED at all. There are lines around the buildings in Quincy Ill. I looked at a receipt from the Faciltiy (Rise) a Cannibis selling store the total amount was 600.00 plus dollars but the Medical Recreational tax for the state was 245.00 one purchase. there was twenty in line at 9:00 am.. They have been a legal State for what a year now or so.. There was 3 stores in Quincy Ill, all had people standing 6 feet apart along the outside of buildings.. Its crazy They say it puts you in the green but it drags other problems with it I am sure.

 

As you can see, I was referencing the states are running in the red, deficit spending, due to the economic shutdown. Not the cannabis facilities