Low or No Dividend Yield Companies Belong in Your Portfolio
The purpose of this post is to explain why I think low or no dividend yield companies belong in your portfolio. [...]
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FFJ Portfolio – November 2024
Another month has flown by thus triggering this FFJ Portfolio - November 2024 report; all monthly reports are accessible here. I deployed only ~$94,793 USD during the month and reinvested minimal dividend income. The value of the FFJ Portfolio, however, increased ~$ 35,427 CDN and ~$ 440,440 USD in one month. None of my existing [...]
Zoom Communications – Stock Based Compensation Distorts Free Cash Flow
The company has been renamed to Zoom Communications, Inc. from Zoom Video Communications, Inc. effective November 25, 2024. Valuing a company based on GAAP and non-GAAP EPS can sometimes lead to poor investment decisions. It is for this reason that I like to look at a company's valuation based on Free Cash Flow (FCF). [...]
Emerson Electric Is A Trapped Dividend King
Companies with an investor base that expects annual dividend increases are, in my opinion, trapped and should be avoided. Emerson Electric (EMR), a Dividend King because it has consistently increased its annual dividend for at least 50 consecutive years, is a good example. I suspect many of us have investment holdings we rarely/never look at. [...]
Paycom Is Almost Fairly Valued Following Share Price Surge
In my May 2 2024 post, I disclosed that Paycom's (PAYC) attractive valuation prompted me to acquire additional shares @ ~$163 thus bringing my exposure to 700 shares in a 'Core' account within the FFJ Portfolio. At the time of that post, the most currently available financial information was for Q1 2024 and the Q2 [...]
Low-Risk Paychex Is Too Richly Valued
When I last reviewed Paychex (PAYX) in this April 3, 2024 post, the most current financial information was for Q3 and YTD2024. In that post, I disclosed the purchase of additional shares @ ~$117.55. Fast forward to October 1. We now have Q1 2025 results and shares are trading @ ~$140.80 as I compose [...]
How Stock Based Compensation Distorts Free Cash Flow
Lately, I have been giving more thought to how stock-based compensation (SBC) distorts Free Cash Flow (FCF). What If Employee Compensation Was 100% SBC? I have no objection to the use of SBC to reward employees. My concern is when it goes overboard. As a shareholder, I want the weighted average number of diluted outstanding [...]
Invest In Starbucks Now? – Not A Chance
In my Starbucks (SBUX) guest post at Dividend Power I explain why there is not a chance that I would invest in the company. Starbucks' (SBUX) investors have been rewarded with an annual rate of return in the upper teens if shares were acquired at the end of August 1995 and never sold. It [...]
Broadridge – Free Cash Flow Conversion Improving
I last reviewed Broadridge Financial Solutions (BR) in this August 9, 2023 post. At the time, BR had just released its Q4 and FY2023 results and FY2024 guidance. Now, we have BR's FY2024 results and FY2025 guidance which were released on August 6. Time to revisit this existing holding. Business Overview BR operates in [...]
I Am Not Initiating An Amazon Position
On August 1, 2024, Amazon (AMZN) released its Q2 and YTD2024 results. I have never invested in AZMN but negative investor sentiment has prompted me to review its results to determine whether I should initiate a position. Based on my analysis I conclude this post explaining why I am not initiating an Amazon position. Business [...]