Welcome to Hidden Profits and thank you for this opportunity to help you increase your investment successes with the addition of pay-you-first companies to your portfolio.
I’ll do all the hard work. The digging, the weeding, the analyzing to bring you stock picks that pay you three ways to own – dividends, share buybacks, and debt pay down.
You don’t need me to tell you that the investment road is littered with potholes. Many companies have driven along smoothly, unaware. They paid a high dividend, only to hit a slack period in the business, get stuck in the pothole, and watch the stock price crater (crying as their stock options become worthless). Or they bought back stock at high prices, only to see the stock drop and not have any money to buy more at a bargain. Or they paid the dividends and bought back stock with money that would have been better used to pay down debt and save on interest payments.
Cheap (on sale) + River of cash + one or more of…
- Sustainable dividends that can grow;
- Buying back stock at a sale price; and/or
- Paying down higher interest debt.
This small checklist can yield big results.
Because it requires so much of a company’s cash, shareholder yield restrains management from wasting our money.
My picks will usually be companies the crowd doesn’t know… or is even scared of. They won’t be sexy sports car stocks that get totaled.
They are more likely to be hidden in the corners of the market where most people don’t look.
When people do see them, they think: “Oh, that’s a dying business.” Or, “if it were so good, why don’t others know about it?”
In a world of surface thinking, I’m in the deep blue sea. I like to read the fine print. In fact, if I don’t, it’s like I skipped breakfast! That’s how hungry I am to find the hidden ways to make profits. And I don’t like to stay hungry long.