I uncover a high-quality dividend growth stock that appears to be undervalued each week for Daily Trade Alert, which is a site that focuses on dividend growth investing, stocks, and unique investment opportunities. I’ve been writing for them for years now, and they’re just great over there. Each week, I publish an excerpt of my work, when it’s fresh off the press. That way, you readers are given the opportunity to check it out. The content is totally free. I hope you enjoy!
Famed economist John Maynard Keynes once predicted that people in progressive/developed countries would be working 15-hour workweeks, as abundance and the power of capitalism would end up providing enough basic needs and lifestyle desires at a level of work that was much less than historically necessary.
He had a vision of the future where one of humanity’s biggest challenges would be how to spend so much leisure time.
While Keynes was right about the living standards in progressive/developed countries increasing dramatically over time, allowing for the possibility of dramatically less work, he failed to account for humanity’s never-ending desire for “more”.
In addition, without a massive “buy in” from employers all over the world, the traditional workweek structure remains largely unchanged, which further limits flexibility for the worker class.
Many people are actually working more than ever.
Image courtesy of: Stuart Miles at FreeDigitalPhotos.net.
Thanks for covering companies like this in your weekly post. We’re in the early innings of building our dividend portfolio, and we find ourselves drawn to lower-yielding, higher-growth companies at this point. We’ve had our eye on McKesson, as well as AmerisourceBergen and Cardinal Health for a while, so it’s always nice to hear another opinion.
SFD,
Yeah, McKesson is definitely on the growth end of the yield-growth spectrum. But if you’re young and have the time, it looks fairly appealing as a long-term idea. I personally prefer CAH in this space, as the balance between yield and growth are more favorable for my needs. Either way, gotta love a good oligopoly. 🙂
Cheers!
Completely agree that the pharma distributors and PBM’s are out of favor. McKesson has a lot going for it. Investments in international growth, retail pharmacy, growing specialty business, spinoff of MTS with Change Healthcare and not to mention the JV with Walmart. The generic pricing is of concern because of razor thin margins.
turningpointmoney,
Definitely. These names are out of favor, which is why they’ve been popping up recently in the series (CVS was recently featured). John Templeton made a lot of money buying up businesses that were out of favor. Seemed to work pretty well for him. 🙂
But the razor-thin margins are a bummer. That’s why the fact that there are only a few major players is such a benefit. If you had more competition with those margins, it would be far less attractive.
Thanks for dropping by!
Best regards.