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Strategies & Market Trends : Dividend investing for retirement -- Ignore unavailable to you. Want to Upgrade?

To: JimisJim who wrote (20836)	10/3/2014 3:33:36 PM
From: Steve Felix	Read Replies (2) \| Respond to of 34328

My daughter is still enjoying the change in color scheme. Of course it isn't winter yet. Seems everyone is travelling. I'll be taking the Megabus us.megabus.com Sunday morning to see her, and then we will drive home together next week. Her husband is off flying around for three weeks, ultimately ending in Japan, just when my grandson fully got his feet under himself. After just two days without dad coming home in the evening to help out / give her a break, I'm pretty sure I can't get there fast enough. I don't think anyone would argue that more dividends hitting the account was a bad thing. This is not an argument, just thoughts, as it doesn't matter to me how my DGI holdings give raises, just that they do. To prove the non buyback side, wouldn't someone need to show companies that haven't done buy backs, and had larger dividend increases than say LMT and IBM, continually increasing the dividend payout $ amounts, compounding year after year? In the end, imho, this is what buy back companies ( talking DGI ) do, giving the raises, but keeping the amount going out as dividends corralled. Using Ron's figures, "from 447 million shares in 2004 to a TTM figure of 325 million shares". Over the last year LMT will have paid out roughly 1.73 billion in dividends. Divided by the 2004 shares, that comes to a $3.86 dividend, not the $5.32 they have paid. Without the buy backs, they would be paying out another $650 million this year. Seems the numbers we would be looking for would match up to: 2004 dividends paid ( .91 x 447m ) 407 million. 2014 dividends paid ( 5.38 x 447m ) 2.378 billion. That would be a 10 year dividend CAGR of 19.31. According to Robert Allan Schwartz tessellation.com we only need to look at Airgas, ARG, so it can't be a common thing. Airgas has done buy backs, problem is they have issued almost as many as they have bought back since 2005. vuru.co