UnThreaded | Threaded | Whole Thread (12) | Ignore Thread Prev | Next
Author: numbrel Big red star, 1000 posts Old School Fool Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 8711  
Subject: Re: Why not MSFT? Date: 8/26/2005 1:30 PM
Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Recommendations: 1
Are there any compelling reasons why I should not buy more of MSFT

I think the question is, are they any compelling reasons why you SHOULD buy more MSFT?

Using TMF charting for the last 10 years, it shows that the stock price has pretty much leveled out, with a slight downward slope. I don't think this will change much. A lot of people, companies, and yes, even countries are starting to look at alternatives to MSFT. The softies can trot out all kinds of "new" operating systems and "upgrades" but their market is going to be soft because operating systems and programs already do more than the average person wants to learn how to use. Upgrades are largely for show and trying to drive sales. People are not waiting in line at midnight for new releases any more, they're waiting for other people to find the bugs and for MSFT to fix them before they buy in. There are still a lot of large companies running Win98 because it does what they need it to do.

I like dividends (especially since its only taxed 15%), and I can't see any reason whatsoever why Microsoft would not increase their dividends.

I like dividends, also, that's why I look to get as great a yield as I am comfortable with. I class MSFT on the "why bother" side. Low yield and the only reason for MSFT to increase their dividend is to prop up stock prices in the future, but their little $3 stunt last year really didn't help to do that. The question is, how long will it be before they do raise the dividend and how much will that be? Bill seems to be very resistant to parting with cash and this whole dividend thing is very, very new to them. If it can't prop up their stock price, Bill might decide it's not worth it and get rid of it altogether.

Barbara
Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Print the post  
UnThreaded | Threaded | Whole Thread (12) | Ignore Thread Prev | Next

Announcements

Motley Fool Income Investor
Are you a dividend-savvy investor? Check out our Income Investor newsletter.
Post of the Day:
Macro Economics

Intel's Broadwell Potential
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Community Home
Speak Your Mind, Start Your Blog, Rate Your Stocks

Community Team Fools - who are those TMF's?
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and "#1 Media Company to Work For" (BusinessInsider 2011)! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.
Advertisement