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Non-Tech : Kirk's Market Thoughts -- Ignore unavailable to you. Want to Upgrade?


To: robert b furman who wrote (9865)5/27/2020 10:00:35 AM
From: Kirk ©  Respond to of 26431
 
Good morning Bob,
Yup , and in 10 years, my bet is the dividend based on cost is higher than 1.75% to boot.

Couple that with qualified dividends get taxed at a max of 20% and interest income gets taxed at up to 35%, it's a no brainer.

One thing it is , for sure, CHEAP MONEY for AMAT!!!
Not only that but what will the value of the original $1.5 Billion of Senior Unsecured Notes be after 10 and 30 years.... especially with what may eventually be $10T added to the Fed balance sheet?

It seems another case of the strong get stronger during the downturns. It is a big reason I like to keep raising profits during up markets... it gives me cash to not only survive but get stronger during downturns.

Also, stocks like AMAT are options on stocks like Apple, Intel, TSMC, Micron, etc. that don't expire so you can hold them through the cycles to eventually take some profits to pay higher dividends in your taxable accounts.

I also take advantage of the ROTH features to add stocks like AMAT when way down so their dividends and eventual capital gains are not taxed at all!