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Sunday, January 27, 2013

Lesson of Apple

I did make money from Apple stock, but look backward, I can understand why Buffett avoids high tech companies. Severe competition, quick change. Easily, a great company can face difficult time. Eg. AOL, Yahoo, Microsoft? Without a moat, it's not a safe investment and it's only sooner or later to pay back.
So although we are excited with great products, but different from investment point of view.

I will still stick to high dividend stocks (dividend yield >8%), or better, high dividend with growth stock (dividend yield >6%).

Mostly, only S-REIT pays >8% dividend, but as low growth rate, enter point is important for long term holding.

Apple – A History Lesson in the Making

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