Verizon for dividends

[Lakewood90712]

To good to be true ? PE of 14 and div over 4% . Doesn't seem right.

 

[Blueskies123]

What is their debt to equity? What happens if interest rates go up? What if they do something stupid like ATT is doing? But 4% does look enticing?

 

[COcheesehead]

I would be concerned about subscriber growth. That is why ATT did what they did. Cell phones are a very mature industry. You need people to use the device (cell, tablet, etc) more, i.e. a substitute for TV's.

 

[Happyras]

My 2 cents, Verizon is a top ten core holding in Wellington, and minor in Wellesley. My former portfolio manager selected and still maintains it as a core stock position. Since I am not as smart as some of these folks, I would tend to follow their lead. Holding Wellington, it maintains a good position in stocks like Verizon as well as other LC value stocks.

 

[Danmar]

My 2 cents, Verizon is a top ten core holding in Wellington, and minor in Wellesley. My former portfolio manager selected and still maintains it as a core stock position. Since I am not as smart as some of these folks, I would tend to follow their lead. Holding Wellington, it maintains a good position in stocks like Verizon as well as other LC value stocks.

I hold the Canadian equivalents. Relatively low risk, good yield, fairly low growth.

 

[Exrook]

What if they do something stupid like ATT is doing?

Like buy Yahoo?

 

[Lakewood90712]

The pre hacking scandal proposed price for Yahoo was about 4.5 billion. Reports are that Verizon now wants a discount from that price, even though Verizon already knew about the hack.I have no idea what Yahoo is worth , but Verizon is offering pennies on the dollar vs. the stock price of a couple of years ago.

 

[Texas Proud]

The pre hacking scandal proposed price for Yahoo was about 4.5 billion. Reports are that Verizon now wants a discount from that price, even though Verizon already knew about the hack.I have no idea what Yahoo is worth , but Verizon is offering pennies on the dollar vs. the stock price of a couple of years ago.

They are not apple vs apple.... as they are only buying the US part of Yahoo... all the stuff that has real value they are not selling...

 

[hesperus]

I've held a couple thousand shares of VZ for years, with a cost basis of about 40 bucks a share. As far as wireless carriers go, they're in a dominant market position, so I'm comfortable holding. As mentioned, not much growth, but low risk. Just paid a nice dividend the other day. Reinvested, as usual.

 

[Montecfo]

To good to be true ? PE of 14 and div over 4% . Doesn't seem right.

I think growth is an issue, if you watch their earnings releases. I would be more interested in low 40's. Not a core holding IMHO but i have owned, sold mid-50's.

 

[mathjak107]

Verizon has been a dog . with dividends it has returned 2.56% the last 15 years vs just a balanced fund like fidelity balanced 6.58%

since rates on bonds ticked up Verizon fell almost 12% the last 3 months vs 3% for the s&p 500 .

 

[target2019]

To good to be true ? PE of 14 and div over 4% . Doesn't seem right.

It is what it is at the moment. Pretty sure the dividend has been over 4% recently.
V is in a lot of portfolios and index funds. Along with T it is something to hold for the dividend, like a utility.
As has been mentioned, growth is slow. As long as you don't mind fluctuation, of which there may be a great deal to come.

 

[mathjak107]

I couldn't give a rats behind what a dividend is . it is the total return only that means a thing .