Dividend Stock news for January 31st 2013

Pitney Bowes Inc.(NYSE:PBI) end the day up over 20% on better than expected earnings. Their current dividend yield is 10.41 percent. Many investors have used caution in recent months due to the expectations of lower and lower earnings. Pitney Bowes having beat the expectations moves up 20% meaning any recent investors got a solid jump.

WMS Industries Inc.(NYSE:WMS) flies high up over 50% on the day after news of a buyout by scientific games was annouced current share holders of WMS will receive $26.00 per share in cash for every share of WMS that they currently own. There is talk of investigation and questions as to whether or not the board shopped around enough to get the best possible price for WMS Industries inc. Generally speaking though anytime you see a buyout there will be some sort of investigation. This stock currently carries no dividend but still having gained over 50% in a day seemed relevant.


Fortinet, Inc.(NASDAQ:FTNT) stock price rose almost 22% in trading on Thursday after the producer of computer networking security systems reported fourth-quarter sales that were above analysts’ estimations. Fortinet has been back and forth in the past 52 weeks from as low as 17.53 to as high as 28.82. They do not pay a dividend and carry a very high P/E ratio. Although their Forward P/E ratio is looking much better now.


Liquidity Services, Inc.(NASDAQ:LQDT) lost big time today in trading losing over 22% of its value due to
the online auction company cutting its earnings projections based on a weak economic outlook.
Liquidity Services, Inc also stated that they plan to invest more in their technology and products sector to grow their business.They are currently trading at 31.87 a share with a market cap of around 1.0 Billion.


This was for the trading day of January 31st 2013 although not all of them were dividend investing opportunities it's still healthy to keep an eye on all stocks. Hopefully everyone of you had good days in the market but if you didn't rememberthat tomorrow is a new day with new opportunity to gain. Keep on dollar cost averaging if you can and always invest at your own risk and with caution!

Copano Energy, L.L.C. has 14.79% gain January 30 2013

Copano Energy, L.L.C. is a energy company that is best known for working with midstream services to natural gas producers. Today might have been the first you have heard of them but they are making big noise in their industry. This is because Kinder Morgan Energy is buying them for around $3.2 billion dollars.

This could be great news for investors as the buyout price is far higher than what the price has been. Copano Energy currently has a 6.05% dividend yield and with the buyout talks there are a number of reasons to take notice. Is Kinder Morgan making the right move buying out Copano Energy? Many people feel it's a great move because so much of what Copano Energy has built can be utilized to the fullest with the resources of Kinder Morgan.

Rumors of Investigations are swirling after news of the buyout reached the airwaves. Share holders will receive 0.4563 shares of KMP for each of their shares of Copano Energy which right now looks like a very good deal. Nobody is surprised that investigators will be looking into claims from the share holders. Finkelstein Thompson LLP is going to be investigating as well as WeissLaw LLP. Eventually there could be others investigating as well.

Kinder Morgan Energy Partners currently has a 5.89% dividend yield and lost $2.05 per share with news of the buyout. They are currently valued at a 31.98 billion dollar market cap. They seem like they are in a good position to make the purchase and move forward without any problems. They might be a stock to keep an eye on but their P/E ratio is 53.23 which is far higher than what we usually invest in.

Thinking about buying Netflix Stock NFLX

When I am thinking about buying Netflix stock I am thinking about putting money into something I love and use every day. Buying this type of stock can be a bit risky because the competition is fierce just recently AT&T put together something similar called screen pack that is only $5. Now in looking at the number you will see that Netflix currently has around 25.1 million monthly users while AT&T U-Verse only has about 4.3 million users. I think that U-Verse is a quality product and have often thought about getting it installed but I will not leave Netflix for anything. I once made that mistake with Hulu which I didn't like.

Investing in Netflix is a move to make if you truly believe in the companies future. Right now their P/E Ratio is around 125.56 which is over 10 times what I would normally invest in. There could be money to be made but from a value prospective it's not within range. If you look at the numbers so many things stand out and let you know that long term this might not be the best investment. The forward P/E Ratio is 248.00 so almost twice as bad as now. The current Price to book is 7.69 so there are many factors that might make you think twice before buying.

This is more of a gamble than the stocks I normally invest in and without a dividend this stock is not for me at this price. I might consider it if the price were $45 per share but it's more than double that now. We all know about it getting right around $300 per share in 2011 but the past is the past. I never invest in stocks by looking at what they have done in the past. Thinking about investing in Netflix makes sense but depending on your affordable risk you might want to choose something else. All the investments you make are what makes your stock portfolio. If you have a part of your portfolio that you use for risky investments you might get some Netflix but I'd rather purchase Verizon stock instead.

Buying growth stocks is something that we all do and Netflix stock is a great stock if everything works out for it. Currently though I feel it is overpriced but that doesn't mean the price won't increase. Investing comes with ups and downs but it's always better to avoid risk whenever possible.

Investing is not scary if you are willing to learn

If you have been on the outside looking in, investing can be a scary place. All of this information coming at you and all of these new terms that you don't yet understand. It's easy for a stock broker to blow your mind with all of his "knowledge". It's the same thing when a computer repair man comes into your home and tell you all about how he is going to fix your computer. This of course only applies if you do not know anything about how to repair a computer but you get my point.

Those people who have the knowledge can make themselves out to seem like what they know is impossible to learn yet the stock market is something that not only is fun to learn but rewarding. Once you have learned as much as you possibly can you go and find more and more to learn. This is a never ending cycle of learning. You will find new companies that come out of nowhere and each day that companies change from the price to their earnings to the guys running the company.

When you take on investing as something that you want to do you are putting yourself into a whole new world of possibilities. Finally you put yourself in a position to make some real money. Why play the lottery? when you can find companies that could potentially make you money. There are many people who are completely afraid of the stock market but have never taken the time to learn about anything to do with it. How can you judge something that you know nothing about?

I have never met anyone who knows a significant amount about the stock market and then told me to stay away from it because it is foolish. The truth is once you learn about everything from dividends to earnings reports you become addicted. If you are smart you don't let emotions take over. Usually the guys who lose the most are the ones that make stupid moves and turn it into gambling. Sure you can become very rich by putting your life savings on a no name company that sparks up and lights a fire in the market but really that is how people get burned.

Making money in the market the right way is about diversifying properly and taking risks while reducing risk. It's about looking at companies as more than just numbers. It's about taking the time to see what they offer and then looking at how long you think people are going to want them. Looking at their upper management and seeing if they truly care about the company or are they just trying to earn more money? There is a big difference between a company that wants what is the best for the company and a company looking only to make more money.

Making money is the easy part but building a business that is going to stand the test of time is completely different. Blockbuster once made money, lots of money. What does that matter now? You need to look at companies for the long term. If you are only investing short term than are you really investing? I see short term investing more like a gamble because you need the stock to rise up in a short amount of time so that you can jump ship and get away from it. Some say long term investing is dead but I disagree with them.

Investing can be a scary place for people who are new to investing but if you are willing to read the books that are out there. I'm talking about the good books such as 'The Intelligent Investor' and other books that are really teaching you the proper way to invest instead of telling you their "secrets to investing". There are so many bad investing strategy books out their misleading people. You need to do research on the books that you are going to research and that sounds funny but it is very true.

Make sure that when you are investing in the stock market the first thing you research are dividends. Dividends are the building blocks to any successful investing strategy. Some may say that is wrong but in the past I have relied on dividends to keep me strong in down times. If the market is bad and you aren't getting dividends what are you really getting? Making money on dividends helps you to either re-invest your dividend payments or have a little bit of extra spending cash for other opportunities or bills you may need to pay.

Make sure that you don't let the fees get you down. Remember to factor in all your costs when investing if you are going to be selling often. Not all investors want to buy and hold for long periods of time but just remember that the more trades you are doing the more you are paying in fees in the long term. Many people who invest in pennies pay a substantial amount of fees because they are paying so many times both to buy and sell.

If you ever invest in penny stocks make sure that you are watching for what is know as pump n dump stocks. These are the types of stocks that may be listed in a large paper promoting one stock. If the stock looks like it is being promoted by a so called expert do as much research as you possibly can on it. You don't want to be the one stuck holding a stock you paid $3.00 for but is now worth 0.10 now that doesn't sound so bad but what if you bought 10,000 shares? because you saw they projected the target price to reach $6.40. This happens all the time to good people and then the bad people that pumped it up are the ones who end up with all your money. Always do your research! Always.

What about stocks that don't pay out a dividend?

What if we wanted to look at stocks that didn't pay a dividend. When you are looking into growth stocks you have to understand that you are losing that dividend cushion. Dividend stocks are a beautiful thing because your overall stock price can go down but your dividend payments can bring you back up. Some of the obvious front runners would be Google or symbol: GOOG.

Google has a current market cap over 242 billion dollars. You could always buy some BRK.A but that will run you about $140,800 a share. Berkshire Hathaway has a market cap of 233 billion dollars. These are giants in the industry. When you are looking into a growth stock you just might make a good chunk of money with these or you could try small cap stocks. When you buy a small cap stock you have a significant amount of growth potential if the company ever truly takes off.

Facebook stock (Symbol:FB) is another one that doesn't pay a dividend but many people are very interested in. Facebook currently has only a 0.11 EPS which make their P/E ratio 267.34 which is ugly in comparison to Google's P/E ratio of 23.12. It's pretty clear that currently Google is the far better investment even though some might be more likely to buy Facebook stock just because the price is lower in terms of share price.

It's funny how people can react to share price as if the more shares you get the better deal you are getting. That is simply not the case but honestly many people I have talked to can't seem to understand that and they love to buy anything that is below 30 dollars just because they like to have 100 shares or a company instead of 10 shares or a stock that costs 300 dollars. Once you can understand how many shares of a company are  issued than you might understand why a lower per share price really doesn't mean that much. It's really all about how much are you getting for your money in terms of value. That's some pretty basic stock market investing logic but some newer investors have trouble understanding it.

Autozone inc. (symbol:AZO) also pays no dividend but could be seen as a good investment because of the current P/E ratio 14.85 with a share price of 360.85 there EPS is over 24.xx and they are continuing to do well in the auto maintenance industry. AutoZone still has room to grow and they can continue to make more money. They are smart and offer all of the services necessary to keep the customers happy. They keep a clean and organized store unlike some of the other local auto parts stores. These are thing that you should take in to account when investing. This is what separates them from the competition and the reason that they will continue to make money. I always look at companies from the customers point of view because that tells me if they are making people happy. Making customers happy is what keeps them coming back and what keeps the money rolling in.

Dollar Tree (symbol:DLTR) continues to prove that making money with cheap products is possible. They sell everything for a dollar and it works. They make taking care of your home easy with all of the cleaning supplies you need plus everything else you might need. You could probably only shop there and have most of your essentials. Their current share price is 39.62 and their P/E ratio is at 15.94 they are getting close to that point where they will be considered a bargain but not quite there yet. If I see them at 33.xx or lower I will buy a fair amount of shares. This is a good company because it can really thrive while in a down economy but can also sustain in a strong economy.

So it's not always necessary to buy dividend stocks but stocks that pay a dividend can really help you to hold them long term. Most of the time if a company is not paying a dividend I do not buy them just because it usually makes me want to sell them as soon as I see some gains to get out of it and buy a dividend stock. That's why dividend stocks are so great because they give you the comfort of knowing you are making money while your holding shares.

What stocks to buy in 2013

When you are trying to figure out what stocks to buy in 2013 you have to look at some numbers and try to figure out what is going to give you the best return on your money. If you were to say that you really believe in INTC Intel then you would have to believe that they are going to continue to make money. Some people of course do not believe that but I am pretty positive that Intel is one of my favorite stocks and will continue to make money. If you were to look at a smaller company and hope for them to grow then of course your risk would be a little higher. Looking at some of the smaller companies of the past few years I have seen many of them collapse under the pressure.

When you set out to buy stocks in 2013 make sure that you do solid research and don't listen to your buddy at work. Now maybe they have some good ideas but you are always better to at least look into it yourself. Some of my favorite stocks of 2013 are General Electric, Mcdonalds, Walmart and Intel because these are strong companies with a proven record of success. They also provide a nice dividend to help me hold onto them for as long as I would like to.

You certainly should diversify more than that though because there are loads of great stocks out there all you have to do is find them. You could also add Verizon (symbol:VZ) to your list of what stocks to buy in 2013 because it seems to be the best phone stock available at this point. There are many options out there that are either going to sustain and provide dividends or could go up by 200%.

Last year in late 2011 and the beginning of 2012 I bought DDD 3d systems corp and before I sold it I made about 200% on it. It was a company I heard about on television and then decided to buy after researching it. It's all about buying stocks at the right time and then knowing when to sell them. I am a long term investor so generally I buy things and stick with them. Although, when something goes up 200% and isn't earning enough money to warrant that price I will generally sell it.

We will continue updating our ex dividend list each month so that you will have the chance to buy companies that look good before the ex dividend and get paid the next dividend. Making money is about choosing the right companies at the right time and it's your job to try and figure out when that is. Way too many people rely on a broker or some guy on television to tell them when to invest but in reality if you are in it to make solid money you need to know what you are doing. When making your personal list of what stocks to buy in 2013 remember to include dividend stocks as well as growth stocks this way you are getting a little bit of everything you need to succeed. If you are going to buy funds that is your choice I have always bought them but I know some people don't like to.

So you should know what stocks to buy in 2013 once you do your research and I wish you the best luck possible. Then again this isn't about luck is it? It's about risk management and taking control of your future. Dig deep into all of the companies you invest in and you should come out ahead. Never just get a tip off a website and run with it. Make sure you do all your own research no matter what!