First of, happy mother's day to the mother(s) who read this blog. I know at least one does. Not that I didn't already wish the appropriate ones already, but just in case.
So, after some deliberation, I decided on getting some Glaxo Smith Kline (GSK). I don't have much information about their drug patents and the extent of their R&D efforts but I saw that they give a very high dividend yield of 4.9% AND a high absolute yield of $0.52 which has been increasing for the last 10 years. The stock has spiked a little recently, going from ~37 to ~43 USD/share in the first quarter of this year but it's still way off it's 5 year peak of ~57 USD in 2007. The only downside of GSK is that the 2011 Q1 reported earnings dropped tremendously from +0.81 USD to -0.18 USD/share. I'm not sure what caused such a drastic drop but the history of strong consistent and healthy dividend payout was enough to convince me to chance some stock. I'll have to read their Q1 report in more depth.
However, it's time for bed and I will talk about the other stocks I am looking at - Lockheed Martin, ConAgra, Shell and PepsiCo another time.
So, after some deliberation, I decided on getting some Glaxo Smith Kline (GSK). I don't have much information about their drug patents and the extent of their R&D efforts but I saw that they give a very high dividend yield of 4.9% AND a high absolute yield of $0.52 which has been increasing for the last 10 years. The stock has spiked a little recently, going from ~37 to ~43 USD/share in the first quarter of this year but it's still way off it's 5 year peak of ~57 USD in 2007. The only downside of GSK is that the 2011 Q1 reported earnings dropped tremendously from +0.81 USD to -0.18 USD/share. I'm not sure what caused such a drastic drop but the history of strong consistent and healthy dividend payout was enough to convince me to chance some stock. I'll have to read their Q1 report in more depth.
However, it's time for bed and I will talk about the other stocks I am looking at - Lockheed Martin, ConAgra, Shell and PepsiCo another time.