Posted on | November 4, 2011 | Comments Off
With the market rally off the lows in recent months, stocks are up and that includes several of our dividend stocks such as Microsoft, Philip Morris and Walmart.
Interestingly, Walmart may have hit a turning point as it revealed US same store sales have rebounded and they might report their first quarterly increase in same store sales in a couple years. This is definitely bullish for the stock in the near term. Walmart is a great buy at current levels, but obviously I liked it better around $50 versus $57. Another reason why you have to pounce on Walmart stock when it drops – if you recall, I last bought WMT under $50 in early August. That is GREAT value and is how you have to play this game.
Microsoft recently upped its dividend and has been trading well, although it has mostly been going up and down with the general market which leads me to believe there will be good buying opportunities in the future as the volatility in the market is likely not over.
As I continue to say, wait to buy Philip Morris Int’l (PM) until we get some panic selling based on the news in Europe. No, we haven’t hit it yet despite the constant volatility. There are major challenges in Europe and we haven’t seen it climax until something big happens like Greece bailing on the Euro or even Italy. That is when you want to buy PM. It is coming. Be patient.