News Focus
News Focus
Followers 127
Posts 13879
Boards Moderated 1
Alias Born 09/21/2016

Re: bar1080 post# 233753

Sunday, 03/29/2026 5:48:27 PM

Sunday, March 29, 2026 5:48:27 PM

Post# of 234016
? I am not talking about chasing high dividend equity. I am talking about rotating out of something overvalued to gain yield. The income yield declines on something overvalued so you rotate out and rebalance. Especially when something is overweighted. I'm not talking about closing out..you could and I have in the past...but a partial fits the best

Sell 100 shrs' of IBM @ $300 and it pays a dividend of $6.72 per share annually($672)-said yield to price is 2.24% with $672 annual income

-rotate out with $30,000

buy 150 shrs' of IBM @ $200 paying a dividend of $6.72 per share annually($1008)-said price to yield is 3.4% with $1008 annual income.

It's not a chase, it's not a trade....it's a rebalance in order to maximize utility. It's not a quick turn around but can be at specific times when the overall market panics. Which is hopefully soon...lol.

Discover What Traders Are Watching

Explore small cap ideas before they hit the headlines.

Join Today