Market Correction

Today’s post is about the market correction going on. This is like a sale at Macy’s to me. Days like this are when I want to pick up stocks I have been keeping an eye on. GE has made a nice comeback off of its bottom in the high $6 a share range. It got all the way back up to $17 so now that its fallen back to below $15 I would buy more shares today or pick up my initial investment in it. You won’t be able to buy stocks at their lows but buying quality companies at beat down prices is great. As long as the stock price isn’t falling because of problems in the company itself I say now is a great buying opportunity. If you are a conservative buy and long term holder, like me, market corrections are a great time to pick up stocks. This seems like common sense but many people do the opposite and sell into these corrections, not me. Happy investing. Tony

McDonalds Revisited

MCD is doing everything right to drum up business during these tough economic times. I can buy dinner there for the same price as making dinner at home myself. They have attacked their opponants on all fronts. They have developed premiem sandwiches for an affordable price. While at the same time their dollar menu fights Burger King and Wendy's on price also. The new coffee is just as good as Dunkin Donuts for a better price. At the current price you can hold the stock and collect the 3.3% dividend that they will raise again at the end of this year. How can you go wrong? This is perfect stock for a conservative lomg term investment. Tony

Dividend Play Update

At&t is looking really cheap right now. At the current price the dividend yield is 6.6%, yum. Also it looks like their deal with Apple will continue an extra year at least. Providing the Iphone is creating a loyal following to use their voice and more profitable data services. Plus once a user buys an Iphone it can't be transferred over to another cell provided so they are locked in to using AT&T for awwhile. PE is low and the company is solid! I like all these factors for the long term. Happy investing. Tony