Want a REAL stock tip?

[GasX]

I see a lot of stock threads with people talking about tech stocks as wise investments. Technology is a scary place to have money at the moment.

Take a look at: REI.A - $18/share today It is the preferred stock of a utility (underlying security is REI)

What is important to you?

Low risk of capital depreciation?

It's a preferred stock and the liquidation value of this company is $25/share. Go forbid the world goes to hell, you money is relatively safe.

Generation of Income?

This stock is currently paying a quarterly dividend at >10% annualized yield. You bank is paying 2%

Chance of Capital Appreciation?

This stock has definite upside (offset by it's negligible downside and steady dividend). It will see $25 within 6 months.


****usual disclaimers**

don't invest money you don't have
don't invest without doing your own research
thank me when you get your quarterly dividend

 

[GasX]

stock quote $ more info

 

[Aquaman]

My best interent stock tip is not to take any internet stock tips

Seriously if you are going to invest money in stocks .......... do some research.......... I always hear of guys who lose a load of money that they can't afford to lose.

Another tip......... only invest money that you can afford to lose.

Cheers,
Aquaman

 

[GasX]

fair enough - do yourself a favor and put it on your watchlist..

 

[kherman]

If that's the stock I think it is, I'd go with KIM instead.

REI, to my knowledge is a canadian REIT with ha 50/50 partnership with KIM. Time to go shcek my stock market knowledge.

 

[GasX]

Originally posted by: kherman
If that's the stock I think it is, I'd go with KIM instead.

REI, to my knowledge is a canadian REIT with ha 50/50 partnership with KIM. Time to go shcek my stock market knowledge.

REI is Reliant Energy - It's a Texas based utility stock. REI.A or REI-A is a preferred stock of Reliant Energy.



At today's price it gives an 11% yield!!! Yes, folks, that means an 11% return on your investment just for playing. Add in the likely rise in the stock price and you got yourself a pretty good return!

 

[ChrisIsBored]

and it's going down... hehe...

 

[GasX]

If the stock price goes down and you buy at the lower price, your yield goes up. It is a steady $2.03 per share. Paid on a quarterly basis.

 

[glenn1]

Yes, folks, that means an 11% return on your investment just for playing. Add in the likely rise in the stock price and you got yourself a pretty good return!

If it survives. I'm not suggesting it's going belly-up, but it definitely faces some challenges. For an interesting read on the sector, click here...

article link

 

[GasX]

Good Article.

Think on this:

Reliant Stock pays a 7% dividend
REI.A (the preferred stock) pays a 11.5% dividend.

If the company fails (doubtful, but not impossible) preferred stockholders have first crack at the company's assets, which protects your downside. REI is a much more volatile stock, but in these times, higher dividends seem pretty damn attractive.

 

[richardycc]

Check out FB! pays $5/yr, you can make your money back in 5 years or so, and if you own 8000 shares, which it will only cost you around 200k, you can pretty much not have to work again. $10,000 every 3 month isn't too bad. I still have to long way to go.

rich

 

[GasX]

That is a serious effing dividend yield. I wonder if this company has anything actually going for it. You don't get an 18% yield with no risk...

 

[kherman]

Originally posted by: Mwilding
That is a serious effing dividend yield. I wonder if this company has anything actually going for it. You don't get an 18% yield with no risk...

Usually, when ahigh yielding stock dops in price, it's because, in all likelyhood, they will be utting their dividend.

I'd rather go after preferred stock of KIM. It goes at about 8% and have an excelent financial history. Their stock has dropped lately, so now is a very good dtime to get in!