For reasons that escape me, UK financial stocks are massively out of favour.
For example, Admiral, one of the UK’s largest motor insurers, has a dividend yield of 7.5% at its current share price of £25.
That kind of yield is usually reserved for cigar butts and basket cases, so does that describe Admiral, or is the market materially undervaluing this business?
You can continue reading this blog post on my new website, UKDividendStocks.com:
Continue Reading…Results season is finally over, which means it’s time for the first quarterly review of the year.
I’ll start with short-term performance and then move on to long-term performance, strategy tweaks, recent trades and my outlook for 2022.
You can continue reading this article on my new website, UKDividendStocks.com:
Continue Reading…Originally posted on March 10th.
For obvious reasons, markets were volatile this week and many UK stocks saw their share price absolutely crater.
To be frank, it was pretty shocking.
The FTSE 100 held up well and was only down about 9% from its recent high, mostly thanks to its large exposure to defence, mining, utilities and international stocks.
The more UK-focused FTSE 250 didn’t fare so well and officially entered bear market territory this week, having fallen slightly more than 20% from its recent all-time high.
You can continue reading this article on my new website, UKDividendStocks.com:
Continue Reading…Unilever has been through something of a PR disaster in recent weeks.
In January, Terry Smith questioned why Unilever felt that Hellmann’s mayonnaise needed to have a social purpose beyond tasting great. Shortly after that, Smith wrote a somewhat scathing post mortem of Unilever’s recent attempt to buy GSK Consumer Healthcare, calling it a “near-death” experience.
So are the wheels falling off the Unilever wagon, or is this all just a storm in a teacup?
You can continue reading this blog post on my new website, UKDividendStocks.com:
Domino’s Pizza Group is one of the UK’s highest quality dividend growth stocks and I have been a fan for many years and a shareholder for almost five years.
But increasing debts, an increasing share price and the rise of dark kitchens have left me wondering whether Domino’s is still a good investment.
You can continue reading this article on my new website, UKDividendStocks.com:
UK house prices have been in a bubble for almost 20 years, which makes it one of the longest-running bubbles in history.
This is very interesting because bubbles almost never last this long. They usually only last a few years, and every bubble in history has ended when the temporary factors that inflated it came to an end.
So will the UK house price bubble be the first in history to last forever, or will it end just as all other bubbles have ended?
Read the full article over on my new website, UKDividendStocks.com:
Unlike the FTSE 100, the FTSE 250 has put in a pretty decent performance over the last couple of decades.
Since it peaked in 2007 (at the end of the early 2000s credit bubble), the FTSE 250 has just about doubled and since its peak in 2000 (at the end of the dot-com bubble) the FTSE 250 has more than tripled.
Given that the FTSE 100 has produced zero capital gains since 1999, a 200+% price increase for the FTSE 250 isn’t too bad at all.
And if you take your starting point as the 2003 low which followed the dot-com bust, the FTSE 250 is up more than 500%.
But have these healthy gains come at the expense of sane valuations? In other words, is the FTSE 250 dangerously expensive?
You can find out what I think on my new website, UKDividendStocks.com:
The FTSE 100 has become unloved and unwanted by an increasing number of investors.
I guess you can’t really blame them. After all, the FTSE 100 has grown from 6,900 in 1999 to 7,500 today, which is less than a 10% capital gain over 22 years.
By any reasonable stretch of the imagination, that’s a terrible return for an investment as volatile as the stock market.
To rub salt into this particular wound, US stocks have gained more than 200% over those same 22 years, as has the UK housing market.
And as you might expect, most investors today are keen to put more money into US stocks and UK property, precisely because they’ve performed so well over the last decade or two.
But are they right to do so, or should investors instead be shovelling at least some of their money into the relatively unloved UK stock market?
Click the button below to read the full article on my new website, UKDividendStocks.com:
Another year has whizzed by and so, inevitably, it’s time for investors up and down the land to review their portfolio’s performance over the last 12 months and beyond.
In my case, I’m going to review the UK Dividend Stocks Model Portfolio, which I set up in 2011.
It’s a virtual portfolio that I manage using ShareScope’s portfolio tool and it holds exactly the same stocks as my real-world portfolio, with approximately the same position sizes.
This is, somewhat obviously, a dividend-focused portfolio, so it invests in a diverse basket of 20-30 quality UK dividend stocks that I think are trading at a material discount to fair value.
The portfolio reinvests all dividends and is benchmarked against the Vanguard All-Share Unit Trust (accumulation), which tracks the FTSE All-Share. Both portfolios were launched with 50,000 virtual pounds in March 2011.
You can read the full review on my new website:
UK Dividend Stocks Portfolio: 2021 Full Year Review…
You can read or watch my full review of Ferrexpo over on my new website:
https://www.ukdividendstocks.com/blog/is-ferrexpo-a-good-dividend-investment
You can also listen to the review on the UK Dividend Stocks Podcast:
You can read or watch my full review of the S&P 500 and its sky-high valuation over on my new website:
https://www.ukdividendstocks.com/blog/sp500-cape-overvalued-2021
You can also listen to the review on the UK Dividend Stocks Podcast:
UK Dividend Stocks Podcast Episode 4: S&P 500 Massively Overvalued?
SThree is the world’s number one recruitment firm focused solely on science, technology, engineering and maths-related roles (typically abbreviated to STEM).
I think it’s a high-quality dividend growth stock and I added it to the UK Dividend Stocks Portfolio and my personal portfolio back in April 2020.
You can read the full review of SThree on my new website over at UKDividendStocks.com.
Next is a popular UK clothing and homeware retailer and it’s popular with dividend growth investors too.
It recently announced relatively positive half-year results, so I thought this would be a good time to review the company’s current situation, its underlying qualities and why Next is a holding in both my personal portfolio and the UK Dividend Stocks model portfolio.
You can see the full review on my new website, UKDividendStocks.com:
ukdividendstocks.com/blog/next-quality-dividend-stock-2021-10
You don’t have to be a rocket scientist to invest in dividend stocks, but if you want to do more than just buying stocks because they have a high yield, then there is quite a lot you’ll need to know.
So in this article, I break down everything I know about dividend investing into five basic steps. These steps form a solid foundation upon which everything else in an investment strategy can be built.
You can read the full article on my new website at UKDividendStocks.com:
In my latest blog post on UKDividendStocks.com, I reviewed PayPoint, a dominant market leader with a history of impressive growth but where the core market has started to decline.
The question now is whether PayPoint can successfully pivot away from its old core business fast enough to keep growing.
2021 has been a pretty good year so far for the UK stock market.
The FTSE 100 is up around 10%, the FTSE 250 is up around 18% and my portfolio of dividend stocks has also performed quite well.
To read the full performance review, along with some of the major tweaks I’ve made to the portfolio and my general outlook for the UK stock market, please head on over to my new website at UK Dividend Stocks.
There is little doubt that Burberry is a high-quality business.
That’s one of the reasons I added it to my model portfolio and personal portfolio in 2015.
The share price at purchase was £13.70 and at that price, the company seemed to be pretty good value.
Fast forward to today and Burberry is still a quality business but the price, in early August, had reached more than £21.50.
Although Burberry has grown over the last six years, I don’t think it’s grown enough to justify that price increase.
So a couple of weeks ago I sold Burberry, somewhat reluctantly because quality companies are hard to find.
You can read my full and detailed review of Burberry, which includes my target buy price, on my new website, UKDividendStocks.com:
QinetiQ is the UK’s leading defence evaluation and research company. It’s listed in the FTSE 250, has paid a dividend for many years and operates in an industry that is usually quite defensive.
Continue reading “Is QinetiQ a good dividend growth stock?”
In this half-year review I outline my portfolio’s performance, take a brief look under the covers and run through each major buy or sell trade of the last few months.
Continue reading “Million Pound Portfolio: 2021 half-year results”
In this article, I calculate a Buy Price and Sell Price for Dunelm’s shares based on a review of the business and its potential future dividends.
Continue reading “Calculating a Buy Price and Sell Price for Dunelm”