# Strong Dividend plays for this month



## princeplanet (1 August 2014)

Hi guys, I'm looking at these companies for the div returns in the coming weeks, all with around 7% + :
KAM, STS, SKE, CNU, LCM, EPW

Neither haver run too hard yet, and all are well supported by the usual tipsters.

Any thoughts/comments/warnings?


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## tech/a (1 August 2014)

princeplanet said:


> Hi guys, I'm looking at these companies for the div returns in the coming weeks, all with around 7% + :
> KAM, STS, SKE, CNU, LCM, EPW
> 
> Neither haver run too hard yet, and all are well supported by the usual tipsters.
> ...




Id also want potential growth.
Technically--that's how I trade.
STS*
CNU 
LCM
EPW*
fit the bill for me.

Standouts *


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## systematic (1 August 2014)

Is this a short(er) time frame trading approach?  If so, ignore my take.  Otherwise...

None qualify for me (as yield plays).  LCM out of them...but not even that one for me.


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## Paavfc (1 August 2014)

SBB growth and dividend.
A great story..


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## galumay (1 August 2014)

Paavfc said:


> SBB growth and dividend.
> A great story..




Not sure a very high risk, speculative share like SBB is a "strong dividend play". There are a lot of concerns about the viability of thios company despite the shrills pumping and dumping on various forums!

To add to the original post, NWH is potentially a good divvy investment, with growth opportunity as well.


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## princeplanet (2 August 2014)

systematic said:


> Is this a short(er) time frame trading approach?  If so, ignore my take.  Otherwise...
> 
> None qualify for me (as yield plays).  LCM out of them...but not even that one for me.




Short or long term? Good question. A friend of mine says his strategy is to buy these kinds of stocks 6 weeks before they go ex div, then sell them the day before they go ex div. Says it works for him... me I'm not so sure, I'd rather get the dividend and stay with the stock til it bounces back. Of course, being new to the whole idea, the SP could quite easily go south ex div and never recover.

I guess you study the history of behaviour regarding past dividends, and I have a little, but couldn't establish any trend that you'd say was "predictable" with any degree of certainty. All opinions regarding the above are most welcome! cheers.


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## pixel (27 August 2014)

Four Heavyweights are trading ex-Div today: QBE, STO, TLS, WPL, plus a few smaller ones: PRY, TPI, WTP
Therefore don't be surprised if XJO *does not* rise quite as much as Overseas leads might suggest. 

PS: This may not quite fit in with the thread's topic, but is something to consider when the Big Guns pay.


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## princeplanet (29 September 2014)

Wel well well, how quickly did dividend stocks get to be "on the nose"... This is a hard market to trade...


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## Wysiwyg (12 October 2014)

Anyone sniffing for stocks that are running at an improved yield with lower share price and increasing dividends Y.O.Y? Is that how it works?


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## pixel (12 October 2014)

Wysiwyg said:


> Anyone sniffing for stocks that are running at an improved yield with lower share price and increasing dividends Y.O.Y? Is that how it works?




All you'd need is keep track of yield over time in a (macro) spreadsheet like this:




I usually run an update once a week or so and sort by ExDate, but Excel is quite flexible.
The above has been sorted by the last yield. Note: Last Yield is calculated from the *last grossed-up* dividend, relative to the *current *share price, meaning you wouldn't want to buy the share with a high yield *after ExDiv.*


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## burglar (12 October 2014)

princeplanet said:


> ... well supported by the usual tipsters.
> 
> ... warnings?




Avoid tipsters:-, they need to make tips to eke out a living!


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## Wysiwyg (12 October 2014)

pixel said:


> I usually run an update once a week or so and sort by ExDate, but Excel is quite flexible.
> The above has been sorted by the last yield. Note: Last Yield is calculated from the *last grossed-up* dividend, relative to the *current *share price, meaning you wouldn't want to buy the share with a high yield *after ExDiv.*



Thanks for that, Pixel. Suncorp stood out in that group for me.


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## skc (12 October 2014)

Wysiwyg said:


> Thanks for that, Pixel. Suncorp stood out in that group for me.




SUN's yield was boosted by special dividends because there were little major disasters hurting their insurance.

It's as sustainable as there being no major disasters.


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## burglar (13 October 2014)

Avoid tipsters, they need to eke out a living!


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## Wysiwyg (16 October 2014)

Monadelphous (MND), paid a 100% franked dividend of $1.23 which at share price of $12 is about 10%. I liked this arithmetic and bought with a long term view that the company dividend will continue increasing y.o.y. Out of favour price wise with a down trend in place. 

Please advise if I have left any critical factors out.


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## skc (16 October 2014)

Wysiwyg said:


> Monadelphous (MND), paid a 100% franked dividend of $1.23 which at share price of $12 is about 10%. I liked this arithmetic and bought with a long term view that *the company dividend will continue increasing y.o.y.* Out of favour price wise with a down trend in place.
> 
> Please advise if I have left any critical factors out.




What makes you believe this will be the case? MND is in mining services and, like any other company in the sector, will unlikely be immuned from the industry downfall.


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## Wysiwyg (17 October 2014)

skc said:


> What makes you believe this will be the case? MND is in mining services and, like any other company in the sector, will unlikely be immuned from the *industry downfall*.



Government has flagged infrastructure investment, *resource mining consolidates but highly unlikely to fall down*, forward contracts in place, diversified. Check dividends for last 10 years. 


Save you a click fella.

Company	                                        Ex Date     Pay Date  Amount Franking
Monadelphous Group Limited (MND)	10 Sep 14	03 Oct 14	0.63	100.00%
Monadelphous Group Limited (MND)	07 Mar 14	04 Apr 14	0.60	100.00%
Monadelphous Group Limited (MND)	09 Sep 13	20 Sep 13	0.75	100.00%
Monadelphous Group Limited (MND)	04 Mar 13	15 Mar 13	0.62	100.00%
Monadelphous Group Limited (MND)	10 Sep 12	21 Sep 12	0.75	100.00%
Monadelphous Group Limited (MND)	05 Mar 12	16 Mar 12	0.50	100.00%
Monadelphous Group Limited (MND)	05 Sep 11	16 Sep 11	0.55	100.00%
Monadelphous Group Limited (MND)	07 Mar 11	18 Mar 11	0.40	100.00%
Monadelphous Group Limited (MND)	06 Sep 10	17 Sep 10	0.48	100.00%
Monadelphous Group Limited (MND)	01 Mar 10	12 Mar 10	0.35	100.00%
Monadelphous Group Limited (MND)	31 Aug 09	11 Sep 09	0.44	100.00%
Monadelphous Group Limited (MND)	02 Mar 09	13 Mar 09	0.30	100.00%
Monadelphous Group Limited (MND)	01 Sep 08	12 Sep 08	0.43	100.00%
Monadelphous Group Limited (MND)	03 Mar 08	14 Mar 08	0.29	100.00%
Monadelphous Group Limited (MND)	31 Aug 07	14 Sep 07	0.44	100.00%
Monadelphous Group Limited (MND)	05 Mar 07	16 Mar 07	0.22	100.00%
Monadelphous Group Limited (MND)	04 Sep 06	15 Sep 06	0.15	100.00%
Monadelphous Group Limited (MND)	06 Mar 06	17 Mar 06	0.09	100.00%
Monadelphous Group Limited (MND)	05 Sep 05	16 Sep 05	0.09	100.00%
Monadelphous Group Limited (MND)	07 Mar 05	18 Mar 05	0.21	100.00%


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## skc (17 October 2014)

Wysiwyg said:


> Government has flagged infrastructure investment, *resource mining consolidates but highly unlikely to fall down*, forward contracts in place, diversified. Check dividends for last 10 years.




But you are not getting the dividends from the last 10 years. 

Check the most recent dividend movements (say last 3-4 payments) amongst companies in the same sector and see if there is a new trend.


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## Wysiwyg (17 October 2014)

Wysiwyg said:


> Monadelphous (MND), paid a 100% franked dividend of $1.23 which at share price of $12 is about 10%.



I bet two of the directors wake up with grins from ear to ear every morning while holding over 2 million shares at a value of 24 million dollars.


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## skc (17 October 2014)

Wysiwyg said:


> I bet two of the directors wake up with grins from ear to ear every morning while holding over 2 million shares at a value of 24 million dollars.




Yes... if they ignore the fact that their shares worthed $40m back in June.

But seriously, MND is not in a sector where you should imply that dividend stability (and growth) in the past 10 years will translate well for the next 10.

Anyhow, best of luck with the position.


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## Wysiwyg (28 October 2014)

skc said:


> But seriously, MND is not in a sector where you should imply that dividend stability (and growth) in the past 10 years will translate well for the next 10.



Yes I agree after further researching mining/construction/engineering companies that there is still trend down. Thanks skc for the insight. It is too good to be true.


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## Wysiwyg (6 November 2014)

Wysiwyg said:


> Yes I agree after further researching mining/construction/engineering companies that there is still trend down. Thanks skc for the insight. It is too good to be true.



But looking back at a purchase of 10000 MND shares in 2005 for 20k would mean a this year dividend of $12600 bucks (63%) plus the franking credit calculations. Long term holders would be sitting on a massive free carry. Nice dreams anyway.


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