Value Investing News

Weekly roundup of stocks moving in and out of the Magic Formula Investing screen.

Weekly roundup of stocks moving in and out of the Magic Formula Investing screen.

5 current Magic Formula stocks that look like excellent long-term dividend plays.

’Tis the season for stock predictions! Virtually every financial writer will pen an article selecting his or her top picks for the upcoming year. I enjoy reading them and the logic behind the picks and sometimes there is a gem to be found.

It was only a few months ago that many experts declared dividend investing dead, after almost all financial companies in the US cut or eliminated their distributions to shareholders. In recent months there has been a slow but steady trend of many companies showing their confidence in the economic rebound by raising distributions.

You can’t spend earnings! At first glance, this may seem like an odd statement. However, it is an important axiom for all types of investors. Through fraud and manipulation financial statements can be made to look quite impressive, but the cash that arrives in your brokerage account is real.

The latest 10-K filing by Hillenbrand, Inc.

Weekly roundup of stocks moving in and out of the Magic Formula Investing screen.

Hillenbrand, a recent spin-off of Hill-Rom, is the holding company for Batesville Casket, the leading player in the casket industry. With a strong brand, a good dividend, and a predictable business, Hillenbrand is an interesting look for conservative or dividend investors.

Weekly roundup of stocks moving in and out of the Magic Formula Investing screen.

Weekly roundup of stocks moving in and out of the Magic Formula Investing screen.

In Triumph of the Optimists: 101 Years of Global Investment Returns (2002), the authors determined that performance in any given year was driven by capital appreciation, but long-term returns were largely the result of reinvested dividends.