Hi E_K_S,
My stink bid was at 3.07 and it is getting very lonely.
I added some shares at 3.50 and it looked like I was smart for a while. sigh
That being said I added some large chunks at 3.30 to 3.33.
My total position now is 65,000 shares at a average of $2.73 (4.40 % yield).
I have had stink bids down there to build a final accumulation of 100,000 shares, and I have had to consistently up my buy price.
You make a great point about the $6.95 OTC commission. It has been hard to add to on my IRA , until larger dividends have been accumulated for bigger size adds.
I like this stock a lot.
As they increment up their dividend with their better performance, it fits one of just a few of my holdings that I view as defensive.
I think they have pricing power to maintain their margins. Transportation impacts all food makers. I'm sure they can keep up with the looming increases. Not sure how much of their product they raise themselves.
Tomatoes are always the most expensive component I use for my Salsa. I grow 70-75 tomato plants every summer and process 1200 to 1500 tomatoes as we make 75 to 80 quarts of salsa and my wife puts up 10 to 15 quarts of her Italian seasoned sauce.
My impression is their product is a high end product that is primarily used by restaurants.
Restaurants are much more expensive now vs. pre-covid.
It may dent some "Eating out" activity, but we also have a very pent up demand that is encouraging for the future.
The management of this company appears to be very on top of their growth.
I loved the solution of reducing the dividend and paying off debt earlier than originally planned.
They stayed true to their word that as revenue reached pre-covid levels again, the dividend will be recouped and it has been.
They now are more efficient with new equipment and have reduced debt servicing.
I'm hopeful their new higher revenues will bring more bottom line results.
I like this company and joke about buying 100,000 shares, letting it grow and become worth a million bucks at $10.00.
Hope I live long enough to see it.
In between I'm tickled pink to be earning 4.4% on one of the friendliest stock holder companies I own.
Every time I get some dividends and my other stocks are higher in valuation, I just add some more AMNF.
AMNF has had a larger seller of late.
When I look at level II pricing the size of the ask has been much higher.
We endured some vicious selling of late. When AAPL and TSLA drop like they have, it forces selling of stocks that hold their price. Some time a position is sold because it is the only one having a bid.
I also bought some INTC as I had 10 $42.50 puts assigned in the May expiration.
I have also sold farther out in time some June $42.50's and July 40.00's.
INTC has been in a decline and I'm not sure we have begun to go sideways. The $1.46 dividend / $41.50 ish yields a 3.50% plus.
If you study the new CEO Gelsinger, he's more than qualified to lead and turn INTC into the powerhouse it has been in the past. The contract source business is needed to grow revenue (even if at a slightly lower margin than their cpu/gpu NICHE).
en.wikipedia.org
I hope to find a sideways action that goes on for a length of time such that by selling puts I can grow a new dividend stream that works up into the 4% plus yield much like AMNF has.
Both are solid growth stories that pay while we wait for revenue growth to develop.
I will patiently build a position by selling a strike price that given a down into expiration close, I get shares assigned. I'll also have sold a double down (twice as many) put at the next lower price that hopefully expires to 00.00. I'll use those funds to help pay for the assigned shares on the higher price.
It's not quite correct, but I look at that acquisition approach from a cash flow perspective. If one takes the put premium received on the shares assigned and add to it, the put premiums of the double down strike price on the lower strike price, it gets the yield on the assigned share into the 4% yield range.
Buying Intel at 40 for me is a risky trade. For years I sold INTC $20.00 puts. That was back years ago and the dividend was closer to $1.00 a year.
I'm going slowly into this trade and still getting a feel for its price action.
I can confirm that the price swings of the puts - swing more wildly vs the price swings of the underlying stock : INTC.
Those have been my newer trades of late.
Thanks for turning me on to AMNF now several years ago!
Bob |
