First, Here is a accurate description of the Dividend4Life web owner's goals & method of selection:http://http://www.slackerwealth.com/2008/07/review-dividends4life.html
Now what did I get for my $5.95/month?
1)Analyst report on 200 companies. Now I can get free ValuLine reports at the local library. But its a 15 mile drive & someone else could be using the book versus going to the website & logging on.
2)An Open Office spreadsheet on companies in the portfolio of the web owner & companies not owned but have potential for ownership. There was 199 companies on this week's list. Information provided was he estimate of a company's value versus current stock price. Approx 20 were in his estimation selling at a discount to the value of the company. Also indicated is the number of years that a company has paid a dividend & dividend yield & debt to total capitalization & whether the stock is on the dividend achiever &/or aristocrat list to name a few.
3)the Dividend4Life Dashboard. The dashboard basically highlight the best potential buy of the 200 listed companies.
I sold last week two bond ETFs [EMB/LQD] & wish to use that money to buy 4 stocks. Previously throughout the years I've been screening for stocks on the Fidelity website where I've come up with a list of stocks.
Now did I use the Dividend4Life information to make my selections. Well yes & no. I bought ABT & HGIC which have been on my radar screen for a while. Dividend4Life merely reinforced my decision. I bought MCD which wasn't rated for a buy solely because its payout is over 60%. That fact wasn't enough to dissuade me. Now Dividend4Life did persuade me to purchase OMI due to its 20% discount to his perceived value. Now OMI was on my list of potential buys from the Fidelity list. But I wasn't as keen on it due to a dividend yield of only 2.5%. So due to the perceived discount; I bought it.
Now to my estimation of value of the service. He doesn't come up with any stocks that you couldn't come up with. However there is the convenience factor of his doing a weekly spreadsheet. Its worth it to me. I feel the $5.95 a month saves this early retiree time for fun stuff. The spreadsheets act as a backstop/second opinion to my screening. Now as he allows a monthly subscription & I will probably only make 1 to 2 buys a year. I'll subscribe then cancel then subscribe when I'm in position to make a purchase again.
What's really important about website is the idea of yield to cost idea. A person buy a solid company that continually increase dividends so that that stock will be yielding 5% to 10% based on the purchase price in 10 years.