Stocks

Pepsi Increases its Dividend

by Glenn Busch May 3, 2012
Thumbnail image for Pepsi Increases its Dividend

The equity portion of our fund, the Fallen Angels Income Fund (FAINX), primarily invests in companies that we view as undervalued. We also are looking for stocks that pay a dividend, usually between 2-5%, and have the ability to grow their dividends over time. So it’s music to our ears when a position we own in the fund announces a dividend increase. Today Pepsi Co. (PEP) announced a dividend increase.

[Read the full article...]

Phillips 66 Spin-Off to Join ConocoPhillips in S&P 500

by Glenn Busch April 26, 2012
Thumbnail image for Phillips 66 Spin-Off to Join ConocoPhillips in S&P 500

ConocoPhillips (COP) has been a position in the Fallen Angels Income Fund (FAINX) and our Enhanced Dividend Strategy for a while now. One reason for it’s addition into both portfolios was ConocoPhillips’ announcement to spin-off its refining business, Phillips 66 (PSX), to shareholders. We will receive our shares in Phillips 66 after the close on Monday, April 30. An added short-term bonus will be the addition on Phillips 66 to the S&P 500, joining ConocoPhillips in the index.

[Read the full article...]

Target Corp. Covered Call Trades and April Expiration

by Glenn Busch April 24, 2012
Thumbnail image for Target Corp. Covered Call Trades and April Expiration

By the end of February, Target (TGT) was the one position that looked stretched. It’s RSI was in overbought territory, the MACD looked like it had peaked and was about to roll over, and the stock had moved so far from its moving averages that it looked perfect for at least a consolidation move. Target begged to have a call written against it and I did at a strike of $57.50.

[Read the full article...]

Position Update: Bank of New York Mellon Passes Stress Test

by Glenn Busch March 22, 2012
Thumbnail image for Position Update: Bank of New York Mellon Passes Stress Test

Bank of New York Mellon is one the world’s largest custody banks and it is a position in our strategic dividend strategy and in our mutual fund, The Fallen Angels Income Fund (FAINX). Bank of New York Mellon is first and foremost a position in both strategies because we believe it to be undervalued. Second, it is a position in both strategies because of its current dividend and the potential for Bank of New York Mellon to grow its dividend.

[Read the full article...]

Position Update: JP Morgan Passes Stress Test and Raises Dividend

by Glenn Busch March 15, 2012
Thumbnail image for Position Update: JP Morgan Passes Stress Test and Raises Dividend

JP Morgan (JPM) is a position in our strategic dividend portfolio and a position in our Fallen Angels Income Fund (FAINX). The equity portion of the Fallen Angels Income Fund and our strategic dividend strategy focus on finding not only finding undervalued dividend paying stocks but stocks that have the potential to grow their dividend. Entering this year we saw the financial sector, predominantly the large banks, having the potential to greatly increase their dividend payouts. They just needed to pass the Federal Reserve stress test and get any new capital plan approved by the Fed too. JP Morgan did both.

[Read the full article...]

Position Update: Exelon Clears a Hurdle

by Glenn Busch March 13, 2012
Thumbnail image for Position Update: Exelon Clears a Hurdle

Exelon (EXC) has been a laggard in both our strategic dividend portfolio and in the equity portion of the Fallen Angels Income Fund (FAINX). Besides depressed natural gas prices and a renewed negative sentiment on nuclear energy, Exelon’s share price has been dragged down by the status of its potential merger with Constellation Energy (CEG).

[Read the full article...]

Hewlett-Packard Continues to be Disrupted by Apple

by Glenn Busch February 24, 2012
Thumbnail image for Hewlett-Packard Continues to be Disrupted by Apple

Tablets, by providing an easy and intuitive way of viewing documents are reducing our need to print. And by increasing demand for ebooks, digital magazines, and digital newspapers tablets are reducing commercial printing demand too. As The Financial Times reports, printing is in danger of no longer being the cash cow it once was for Hewlett-Packard (HPQ).

[Read the full article...]

Covered Call Trades on ConocoPhillips and Eli Lilly in our Enhanced Dividend Income Portfolio

by Glenn Busch February 6, 2012
Thumbnail image for Covered Call Trades on ConocoPhillips and Eli Lilly in our Enhanced Dividend Income Portfolio

The end of 2011 provided a lot of opportunities to sell covered calls against our oil and energy positions. We already sold one covered call against our ConocoPhillips (COP) position that expired worthless in November of 2011 and in January of this year we had another one.

[Read the full article...]

RealD a Real Downer for Regal Entertainment Group

by Glenn Busch January 12, 2012
Thumbnail image for RealD a Real Downer for Regal Entertainment Group

Regal Entertainment Group (RGC) owns 1,222,780 shares of RealD (RLD), maker of digital 3D cinema systems. At one point, Regal’s holdings were worth $42.8 million. Now? Not so much. Shares in RealD are trading around $8.78, a 74% decline from its highs set back in May of 2011. Regal Entertainment Group’s stake in RealD is now worth around $10.7 million.

[Read the full article...]

The DNA Sequencing Revolution

by Glenn Busch January 10, 2012
Thumbnail image for The DNA Sequencing Revolution

The industrial revolution was sparked by the declining cost of engines and their increasing efficiency. Soon other businesses other than mining operations, like textile manufacturing, were transformed by the application of cheap and efficient power. The same thing is happening today with our data revolution.
Cheaper and faster data is and will have profound effects on businesses other than computing, like healthcare.

[Read the full article...]

← Previous Entries