Top Dividend Stocks Are On Sale (This Time May Be Different) [Video]

Core dividend stocks that everyone loves are finally on sale. However, I believe this time may be different. While I continue to invest in such quality stocks, I also remain cautious while quickly diversifying my portfolio into new sectors.
#dividend #stock #strategy

Timestamps:
0:00 INTRODUCTION
1:33 SLIDE 1: TOP QUALITY DIVIDEND STOCKS ARE ON-SALE (And Out-of-favor)
1:52: High Treasury Rates are competing with dividend stocks
2:05 Slower Anticipated Growth
2:27 Increased Risk Factors – new administration, weight loss drugs, etc.
3:19 The investor who needs immediate yield may benefit. Starting dividend yields are higher!
3:50 Starting dividend yield on PepsiCo (PEP) is 3.74%, which is very high for such a high quality stock.
4:38 The higher starting yield may compensate for lower possible dividend growth.
5:23 Buying PepsiCo (PEP) now is very different than buying PEP back in 2011, when I started.
5:46 SLIDE 2: A MAJOR SHIFT HAS HAPPENED (AND CONTINUES TO HAPPEN)
7:00 A fundamental shift is happening. It’s more difficult to beat the S&P 500 with a traditional dividend growth investing strategy. (This was not so difficult 5-10 years ago.)
8:04 In 2025, it is much more difficult for traditional dividend stocks to beat the S&P 500, due to the emergence of the Magnificent 7 stocks.
8:31 No longer am I beating the S&P 500, for now at least. This is ok.
8:50 I invest for cash flow, and lower risk. I need cash flow to pay my bills. My risk tolerance has gone down over time.
9:14 SLIDE 3: I NEED TO QUESTION EVERYTHING
9:23 Great investors need to be self-critical.
9:34 Is my strategy of 2011 still valid? (I think it is, for my personal situation.)
9:47 I must adjust my expectations.
10:00 At least, I get a higher starting yield.
10:14 Are the risks higher for me now? Yes, I see a lot more risk for myself now.
10:28 Are the value stocks really lower risk?
10:45 I’m not so sure the Magnificent 7 is of higher risk than some of the dividend stocks I own.
11:20 I see more risk with MO than GOOGL. I may even see more risk with PEP than GOOGL.
12:04 I don’t plan any wild changes in my portfolio, but I must be real with myself.
12:15 Do I need to adjust? Yes. I have a huge exposure to CPG, CPG Food, and Restaurants.
12:55 Diversification is key to me right now. SCHD, CVX, O, GOOGL, etc.
13:26 It’s more complex to be an investor in 2025.
14:46 SLIDE 4: I NEED TO GO ALL-IN ON DIVERSIFICATION (But not lose sight of my traditional strategy)
15:12 This time, in my humble opinion, is different.
15:17 I’m CEO of my stock portfolio.
16:43 EXCITING NEWS: I initiated a position in Alphabet (GOOGL) recently.
16:44 Link in the pinned comment to my Patreon.
17:00 My thought: I de-risk my portfolio by having exposure to the Magnificent 7.
18:24 I need to remind myself to add SCHD, CVX, and O.
19:33 BLOSSOM SOCIAL Check out my pinned comment for my affiliate link. (Disc: I’m an affiliate of Blossom and I’m compensated for sign-ups.)
20:30 “Stocks climb a wall of worry.””
22:25 Shout out to Joe and Chris!
22:53 DISCLOSURE AND DISCLAIMER

DISCLOSURE: I am long PepsiCo (PEP), Johnson & Johnson (JNJ), Altria (MO), Alphabet (GOOGL), Realty Income (O), Chevron (CVX), and SCHD. I own these stocks and this ETF in my personal dividend stock portfolio. I am also long Treasuries.

DISCLOSURE: I’m an affiliate of Blossom Social. I’m compensated for Blossom sign-ups.

DISCLAIMER: All information and data on my YouTube Channel, blog, email newsletters, white papers, Excel files, and other materials is solely for informational purposes. I make no representations as to the accuracy, completeness, suitability or validity of any information. I will not be liable for any errors, omissions, losses, injuries or damages arising from its display or use. All information is provided AS IS with no warranties, and confers no rights. I will not be responsible for the accuracy of material that is linked on this site.

Because the information herein is based on my personal opinion and experience, it should not be considered professional financial investment advice or tax advice. The ideas and strategies that I provide should never be used without first assessing your own personal/financial situation, or without consulting a financial and/or tax professional. My thoughts and opinions may also change from time to time as I acquire more knowledge. These are, as discussed above, solely my thoughts and opinions. I reserve the right to delete any comments for any reason (abusive in nature, contain profanity, etc.). Your continued reading/use of my YouTube Channel, blog, email newsletters, whitepapers, Excel files, and other materials constitutes your agreement with and acceptance of this disclaimer.

COPYRIGHT: All PPC Ian videos, Excel files, guides, and other content are (c) Copyright IJL Productions LLC. PPC Ian is a registered trademark ™ of IJL Productions LLC.