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Re: Weekly Stock Market Observation

By: Zimbler0 in 6TH POPE | Recommend this post (0)
Sun, 06 Mar 22 9:46 PM | 26 view(s)
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Msg. 30066 of 60008
(This msg. is a reply to 30060 by Decomposed)

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Decomposed > I do however wonder if you've evaluated your performance versus inflation?


No, I haven't actually compared my holdings to inflation. However, up till this current bout of high inflation I would have said that overall I was staying well ahead of inflation.

Some of my holdings are probably not holding up to inflation . . .

But others, like MKC are outperforming.

Ten years ago McCormick share price (according to BigCharts) was under $30 a share and today it is over $100 a share. The dividend is listed as going from about 15 cents a share to over 30. There was also a 2:1 stock split looks like in 2020.

Just so you know, I starting buying my McCormick back in 2007. Today it is worth an even four times what I paid for it. Plus about a third more for the dividend checks I have received and spent.

Clorox? Somewhere around $70 a share ten years ago to $140 today. CLX dividend was $2.4 (annual) a share ten years ago - and $4.62 today. (It also looks like CLX EPS is down . . . )

Which is why I like investing in companies that are 'Dividend Aristocrats' and 'Dividend Kings' - companies with a long history of increasing dividends. Because those 'income increases' (my income) give me a hedge against inflation.

Zim.




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Mad Poet Strikes Again.


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The above is a reply to the following message:
Re: Weekly Stock Market Observation
By: Decomposed
in 6TH POPE
Sun, 06 Mar 22 2:55 PM
Msg. 30060 of 60008

Zimbler0:

Re: “Clorox and McCormick also
went up.”
Well done. You're doing much better than the typical investor. I do however wonder if you've evaluated your performance versus inflation? Even now, in what's been a really good stretch for you, are you staying ahead of prices? If not, then your gains are illusory.

Gold is in that very situation. It's up, but not much over the last ten years. Relative to inflation, I expect it's down. I, however, view gold as more of an insurance policy than an investment. Its rise would be expected when things get really bad - like they are right now. Long term holders of gold WON'T get wiped out. If that's your thinking too then you're doing great.






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