Dividend, Share Price: Is there a connection?

[rozella]

Re: Dividend, Share Price. Is there a connection?

hello rozella,

from looking at your equity graph you have come off a bit.

do you start to alter your stops ie. to may be hang-on a bit longer hoping for a lift?

or just move on?

thankyou
robots

G'day robots & MS,

If I added in the pending dividends, then the equity chart would not look so savage, however, this will start to catch up in August as all those dividends are paid....there is a considerable amount plus the new reporting season will keep it topped up.

The equity chart follows the liquid cash if the portfolio is cashed out. The pending dividends are guaranteed but not received & not included in the chart. If I was using CFD's the the equity chart would have the dividends included as they are paid to compensate on exdiv day.

On the 26th June 2006 we had 14 stocks quoted exdividend, so it was unfortunate to have a double whammy of a correction + exdivs, however, divs will be paid shortly & for those that trade dividends, they will know that we have pushed profits into the next FY by doing this.

robot, you are referring to the end of day strategy that is shown on my website, & MS you are refering to my own personal trades that I post on the forum.....two different strategies using the same pool of stocks.

MS said

Hi i wonder hwo u go when market is bearish liek as in now?

We have certainly had bearish periods & disasters over the past 8/9 years since I have been trading this way, however, I have been able to make a decent living from trading cum-dividend stocks during that time.

Cheers,

 

[rozella]

Re: Dividend, Share Price. Is there a connection?

Here is the comparison between 2004/2005 & 2005/2006 for the portfolio on my website exdividendwatchlist go to Archives on the menu

or

 

[robots]

Re: Dividend, Share Price. Is there a connection?

hello,

great effort, plenty of people would be over the moon with those reults.

thankyou
robots

 

[rozella]

Re: Dividend, Share Price. Is there a connection?

Thanks robots.

Bought ALS today @ 899.25 with a margin of 60%
Investment 359.70/share
Exdiv 11th August, dividend 31.0/share fully franked 13.29/share

 

[rozella]

Re: Dividend, Share Price. Is there a connection?

Sold WDC today @ 1845.0
Bought 6th January @ 1786.0 with a margin of 75%
Investment 446.50/unit
Exdist 7th February, distribution 55.5/unit, 7.37% franked 1.75/unit
Gross profit 116.25/unit = 26.03% return on investment. 206 days

 

[rozella]

Re: Dividend, Share Price. Is there a connection?

Re-entered WDC @ 1835.0 today with a margin of 75%
Investment 458.75/unit
Annoucement expected this week, exdistribution expected 9th August, last years distribution was 51.07/unit, 12.57% franked 2.75/unit.

 

[rozella]

Re: Dividend, Share Price. Is there a connection?

Entered another parcel of WDC on the close today @ 1835.0 with a margin of 75%
Investment 458.75/unit
Announced today, exdistribution 9th August, distribution 54.5/unit, franking TBA

 

[robots]

Re: Dividend, Share Price. Is there a connection?

hello,

any interest in WES, I think is coming up for dividend

thanks
robots

 

[rozella]

Re: Dividend, Share Price. Is there a connection?

G'day robots,

WES is expected to announce on 15th August & usually pays a nice dividend....it was 127.0/share fully franked this period last year, however, I don't like the direction its price is travelling atm. Hopefully it will bottom out soon for an entry, but it will need to hurry.

 

[michael_selway]

Re: Dividend, Share Price. Is there a connection?

Entered another parcel of WDC on the close today @ 1835.0 with a margin of 75%
Investment 458.75/unit
Announced today, exdistribution 9th August, distribution 54.5/unit, franking TBA

hi u bought so many WDC?

also it appears u are buyign closer to the ex dividend date recently?

thx

MS

 

[rozella]

Re: Dividend, Share Price. Is there a connection?

G'day MS,

hi u bought so many WDC?

The truth is that I was off to golf early on Monday morning & said to Mrs rozella "keep an eye on WDC, & do what you gotta do if I am not back by open".......I was late back....it dropped so she sold it. During the week I re-entered in two separate parcels as above for slightly less than it was sold at....no worries. WDC has been reasonably strong this week.

also it appears u are buyign closer to the ex dividend date recently?

Yes, I am 103% in the market (into buffer most of the time) so to buy something, I must sell something, but deals have not been too frequent lately & my existing stocks have been climbing very slowly. So of late, I have been mainly waiting for the announcement, selling my worst stock for a replacement that I think will run up quicker.

The reporting season has just kicked off, so there will be some action shortly.

 

[rozella]

Re: Dividend, Share Price. Is there a connection?

Entered another parcel of CBA today @ 4620.0 with a margin of 75%
Investment 1155.0/share
Reported today, exdiv 14th August, dividend 130.0/share fully franked 55.71/share

 

[rozella]

Re: Dividend, Share Price. Is there a connection?

Sold WAN today @ 915.0
Bought WAN 18th July @ 858.0 with a margin of 70%
Investment 257.4/share
Exdiv 11th September, dividend 28.0/share, fully franked 12.0/share
Gross profit 57.0/share = 22.14% return on investment. 27 days.

 

[rozella]

Re: Dividend, Share Price. Is there a connection?

Sold 2 parcels of WDC today @ 1837.0

Sold WDC today @ 1837.0
Bought 2nd August @ 1835.0 with a margin of 75%
Investment 458.75/unit
Exdistribution 9th August, distribution 54.5/unit, franking TBA.
Gross profit 56.5/unit = 12.31% return on investment. 12 days

Sold WDC today @ 1837.0
Bought 4th August @ 1835.0 with a margin of 75%
Investment 458.75/unit
Exdistribution 9th August, distribution 54.5/unit, franking TBA.
Gross profit 56.5/unit = 12.31% return on investment. 10 days

 

[robots]

Re: Dividend, Share Price. Is there a connection?

hello rozella,

when you set up margin lending

being a full-time player from what I gather, did u have any issue with providers regarding employment ie paying margin loan

or is this not as critical when applying for margin loan

thankyou
robots

 

[michael_selway]

Re: Dividend, Share Price. Is there a connection?

Entered another parcel of CBA today @ 4620.0 with a margin of 75%
Investment 1155.0/share
Reported today, exdiv 14th August, dividend 130.0/share fully franked 55.71/share

Hi how did this parcel of CBA go?

Havent sold yet?

thx

MS

 

[rozella]

Re: Dividend, Share Price. Is there a connection?

G'day robots,

Yes, trading is my full time occupation.

When applying for a margin loan, there is a space to provide your assets, liabilities & income. They don't usually ask to provide any info to justify these, however, you sign on the dotted line saying all is true.

Banks may be different as they usually want everything you own.

 

[rozella]

Re: Dividend, Share Price. Is there a connection?

G'day MS,

Originally Posted by rozella
Entered another parcel of CBA today @ 4620.0 with a margin of 75%
Investment 1155.0/share
Reported today, exdiv 14th August, dividend 130.0/share fully franked 55.71/share

This is how I do it.
Bought CBA on 9th August @ 4620.0 stoploss 4481.0
10th August closing price 4579.0 stoploss 4481.0
11th August closing price 4575.0 stoploss 4481.0
14th August closing price 4457.0 (exdiv date)
stoploss adjusted by div + fc = 185.71
new stoploss 4296.0

CBA usually takes 45 to 60 days to return to the buy price, so this works in okay with claiming the franking credits.
As I type the current price is 4439.0 plus dividend & franking credit = 4624.71 so we are square atm.

 

[rozella]

Re: Dividend, Share Price. Is there a connection?

Bought WES on the close today @ 3380.0 with a margin of 75%
Investment 845.0/share
Announced today, exdiv 21st August, dividend 150.0/share fully franked 64.286/share

 

[NettAssets]

Re: Dividend, Share Price. Is there a connection?

Bought WES on the close today @ 3380.0 with a margin of 75%
Investment 845.0/share
Announced today, exdiv 21st August, dividend 150.0/share fully franked 64.286/share

This should be a good trade there is a lot of upside here and it would not suprise me to get a few aquisition rumours to help the SP along.
Actually I thought the terrible season in the west would have impacted the fertilizer business more but I guess most of the sales up to june where prepaid so the impact will be spread into 2007 more.