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Technology Stocks : Apple Inc. -- Ignore unavailable to you. Want to Upgrade?

To: Moonray who wrote (151164)	3/5/2013 2:30:58 PM
From: rnsmth	1 Recommendation Respond to of 213173

<< Not if the dividend is boosted to the 3% per year that I expect.>> I do not think it is appropriate to talk of dividend growth in terms of the boost it might give to the current yield, since that is dependent on the share price as the denominator. It is appropriate to talk about dividend growth in terms of the absolute increase. To get to a 3% current yield, as Moon expects, would require an increase of about 23% in the current dividend of $10.60 - that would take it near $13 a share. But, if the share price increases to $532 over the next year, that $13 a share dividend would create a current dividend yield of about 2.4% at a share price of $532- or about the same it is now. Think of dividend increase percentages, not of current yield. An increase of 10% means your income from Apple shares will have increased about 6 times more than inflation did last year. (CPI rose 1.7% in 2012). This is a good pay raise. Think like an income investor when thinking of dividends. Reliable, safe, increasing sources of income. We get ours from about 25 dividend growth positions.